Tokyo Steel Cuts Ferrous Scrap Purchase Price by 1,000 yen

Tokyo Steel Manufacturing cut ferrous scrap purchase price by 1,000 yen per tonne for land transport and ocean transport to all plants, announced on Friday. The revised price for H2 grade is 24,000 yen at Okayama plant, 23,500 yen at Kyushu plant, 23,000 yen at Takamatsu plant and 22,000 yen at Utsunomiya plant.

Ferrous scrap market price is flat around Tokyo. The dealers’ purchase price is around 15,500 yen per tonne for H2 grade, 17,300 yen for H1 grade and 18,000 yen for HS grade including freight. Local electric furnace steel makers’ purchase price is 22,000-23,000 yen for H2 grade and some makers pay as high as around 23,500 yen.

Local dealers follow the purchase price cut by electric furnace steels. The price decreased by 2,000-3,000 yen per tonne in last week.

Many market sources are concerned about the decrease in scrap shipment while one dealer source said the makers’ purchase price cut has no influence on scrap arrivals to the dealers.