Japanese Fe Scrap Export to South Korea Stays Flat at 30,000 Yen/t

Japanese ferrous scrap export price for South Korea stays flat at around FOB 30,000 yen per tonne. Japanese trader source said Dongbu Steel and Daehan Steel, electric furnace steel makers in South Korea, currently contracted Japanese ferrous scrap at around FOB 30,500-30,700 yen per tonne after Hyundai Steel previously contracted Japanese scrap at around FOB 30,600 yen.

Japanese ferrous scrap export price is slightly weakening for other countries than South Korea. Latest contract price for Turkey is around CFR US$ 375 per tonne (approximately 31,600 yen) for heavy melting, down by US$ 20-30 from the recent peak in August. Turkish importers are decreasing new scrap procurement in balance with less order receipts for steel products.

Weak export for Turkey is negatively affecting scrap exporting market for EU and USA. Japanese scrap dealer said US domestic scrap market may decline more and impact Japanese scrap exporters’ new price negotiations with Hyundai Steel and other South Korean steel makers restarting this week.