Japanese Steels’ Heavy Scrap Purchase Increases by 8.1% for 2008

Heavy ferrous scrap purchase by Japanese steel makers increased by 8.1% to 19.319 million tonnes for 2008 from 2007, weight of which increased by 1.0 percentage point to 59.8% of the total purchase volume while rate of shredding, steel turning and pig iron scrap dropped by 0.9 percentage point to 26.8%, according to Japan Ferrous Raw Materials Association.

The purchase volume of HS grade scrap by steel makers increased by 2.6% to 4.491 million tonnes for 2008 from 2007 while H1 grade purchase volume decreased by 0.9% to 5.135 million tonnes and H2 grade purchase volume increased by 1.4% to 5.76 million tonnes. Other heavy scrap purchase volume increased by 3.0% to 3.933 million tonnes.

The purchase of shredding scrap increased by 1.9% to 5.389 million tonnes for 2008 from 2007 while steel turning purchase decreased by 3.0% to 2.478 million tonnes and pig iron purchase was 0.811 million tonnes, down by 3.0%.

Total ferrous scrap purchase by Japanese steel makers declined by 0.2% to 32.332 million tonnes for 2008 from 2007, which showed first year-to-year decrease in 3 years due to the steel output reduction after fall 2008.