Copper scrap generation is seriously decreasing in Japan. The dealers have trouble to secure the materials since mid-July due to lower spot sales from the market. The dealers report their scrap purchase volume from manufacturers also decreases.Scrap generation decreased when copper metal market turned into downtrend. The dealers can purchase almost no scrap at spot basis in early August. The low level scrap supply continues even after mid-August holiday. The dealers said the supply volume from metal manufacturers is also decreasing compared with usual years when the manufacturers’ operations decrease due to slower demand for housing and automobile industry. The generation is expected not to recover soon.Scrap dealers concern they couldn’t meet monthly commitment with domestic rolled copper makers for and after September while they already shipped the commitment volume in the month. Brass and phosphor bronze product makers are reducing scrap procurement recently. However, the supply is tightening due to less generation.
Japan Steel Scrap Composite Prices (Sangyo Press)
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