Tokyo Steel Manufacturing, the biggest electric furnace steel maker in Japan, raised scrap purchase prices by 1,000 yen per tonne at all its plants to 24,500 yen per tonne for H2 at Utsunomiya plant. Scrap export prices to Asian countries are increasing sharply, and Tokyo's ferrous scrap prices rise off and on. Scrap supplying industrial plants build scrap inventory under expectation of higher scrap price. Local electric furnaces get smaller scrap arrival than before.

Scrap shipping prices from Tokyo bay increased to around FAS 23,000 yen per tonne for domestic vessel bound for western Japan and FAS 21,500-22,000 yen for export for H2. Tokyo's dealers are getting higher price for new export order. The domestic markets are likely to seek for the higher price. Scrap supply is tight due to expectation of higher price and lower handling operation under heat wave. Offshore market is expected to increase too.