Copper Scrap Price Drops by 18-24 yen/kg in Tokyo, Osaka

Copper scrap market price decreased by 18-24 yen per kilogram around Tokyo on Thursday when Japanese official copper ingot price decreased by 30,000 yen to 610,000 yen per tonne for July shipment. The scrap market price also decreased by 18-28 yen around Osaka when Nippon Shindo reduced the scrap purchase price by 18 yen. The dealers concern the lower price results in lower scrap generation and they cannot meet commitment with the buyers.

The copper scrap market price decreased by around 24 yen to 545-555 yen per kg for No.1 copper wire scrap and to 520-530 yen for new cutting copper scrap around Tokyo. A dealer said the dealers cannot pay more than 550 yen with expectation for lower price while other dealer source said they cannot secure large lot scrap even at 560 yen.

The brass scrap price decreased by 18-20 yen to 360-370 yen per kg for brass turning scrap and to 395-405 yen for brass new cutting scrap. A dealer source said the dealers try to secure brass turning scrap at less than 400 yen to make money with selling price for major rolled copper makers but they have to pay more than 400 yen under the limited supply.

The official copper ingot price reflected lower offshore market price when settlement at London Metal Exchange decreased by US$ 70 to US$ 6,515 per tonne on Wednesday from previous day. Japanese scrap dealers expect the copper ingot price could decrease to less than 600,000 yen per tonne under the uncertainty for international copper price and yen rate.