Cu Scrap Price to Increase around Nagoya

Copper scrap price is likely to increase around Nagoya. Market price is around 430-440 yen per kilogram for higher grade electric wire scrap and around 315-325 yen per kilogram for brass shredding scrap, which contains around 65% copper.

Copper settlement at London Metal Exchange increased by US$ 128 to US$ 5,011 per tonne on Tuesday from the previous day, which marked more than US$ 5,000 per tonne for the first time since 7 July. Domestic Smelters’ breakeven point became 20,000-30,000 yen higher than 500,000 yen per tonne of Japanese official price.

However, dealers hesitate to hike purchase price despite copper price increase at LME. One dealer source plans to hold the purchase price until the domestic official copper price decides.

Copper scrap demand in China is stagnant. Low grade copper scrap inventory at bay increases due to the low demand in China, according to market source. Collection of scrap seems to be at low level. The purchase price for low grade brass scrap by dealers, which sells for export is flat at 280-290 yen per kilogram.