Tokyo Steel Raises Ferrous Scrap Purchase Price

Tokyo Steel Manufacturing increases ferrous scrap purchase price by 500 yen to 33,000 yen per tonne at Utsunomiya plant for purchase on Friday. Ferrous scrap market price is steady at around 24,500 yen per tonne for H2 grade, 26,300 yen for H1 grade and 28,000 yen for HS grade at the dealers purchase price including freight around Tokyo. The scrap price could increase more under tight supply.

Tokyo Steel also increases the scrap purchase price by 500 yen for ocean transport to Okayama plant. The firm increases the price by 1,000 yen at Takamatsu plant, Tahara plant and for land transport to Okayama plant.

Local dealers around Tokyo increased the purchase price by around 4,000 yen per tonne in December when local electric furnace steel makers increased the scrap purchase price under the tight supply. One dealer source said the trading volume is around 20% lower than the level in a year earlier. The makers are increasing the price to secure raw material.