Japan Ferrous Scrap Composite Price Continues Lowering

Japan Ferrous Scrap Composite Price continued decreasing for October 4-8, which is an averaged purchase price by scrap dealers in Tokyo, Osaka and Nagoya. The price lowered by 600 yen to 21,800 yen per tonne for H2 as of October 8 compared with the previous week while downed by 1,000 yen to 26,100 yen per tonne for new cutting scrap with press.

Around Tokyo, the market price was around 24,500 yen per tonne for H2 on October 8, down by 1,000 yen from the beginning of this month. Local electric furnace steel makers paid 29,000-30,500 yen for H2 and some paid as high as 31,000 yen. Local steel makers lowered their scrap purchasing price at the beginning of October and scrap dealers also moved to down the purchasing price. One dealer said the market price is likely to decline more since the latest export contract price is still lower than the regional market price.

Around Nagoya, the market price was around 18,800 yen per tonne for H2. Local electric furnaces paid around 29,000 yen for H2 and around 35,000 yen for new cutting scrap. Scrap dealers are increasing shipment to local users when scrap export market maintains weak. Regional supply and demand balance is easing mainly for high grade scrap.

Around Osaka, the market price downed to around 22,000 yen per tonne for H2. Local electric furnaces paid 30,000-31,000 yen for H2. Electric furnaces lowered their scrap purchasing price at the beginning of this month.