Tokyo Steel Cuts Ferrous Scrap Purchase Price Again

Tokyo Steel Manufacturing reduced ferrous scrap purchase price by 1,000 yen per tonne at all plants for land transport and ocean transport from October 3 arrival, which is the second price cut in October.

The revised price for H2 grade is 26,000 yen per tonne at Okayama plant, 25,500 yen at Kyushu plant and 25,000 yen at Takamatsu plant and Utsunomiya plant.

Ferrous scrap price is decreasing around Tokyo. The dealer’s purchase price including freight is around 18,500 yen per tonne for H2 grade, 20,300 yen for H1 grade and 22,000 yen for HS grade. The purchase price by local electric furnace steel makers is 25,000-26,000 yen per for H2 grade while some makers pay as high as 26,500 yen.

Local electric furnace steels have reduced the purchase price while scrap export volume decreases. The price decreased by 3,000-3,500 yen per tonne until Friday from the recent peak in third week of September. The market sources see the supply could decrease when the price decline more while scrap generation stays at low level.

The market price is decreasing around Osaka. The dealers’ purchase price is around 20,500 yen per tonne for H2 grade while local electric furnace steels’ purchase price is 27,000-29,000 yen.