Japan Ferrous Scrap Price to Rise from Low Generation

Ferrous scrap price increased by 1,000 yen to around 8,400 yen per tonne for turning scrap, to around 8,900 yen for A grade pig iron turning scrap, to around 8,400 yen for B grade pig iron turning scrap at dealer’s purchase including freight. Meanwhile local electric furnace steel makers pay 14,000-15,000 yen per tonne for turning scrap.

Dealers raised the purchase price by 1,000-2,000 yen per tonne from Thursday when the electric furnaces’ purchase price increased from the lower supply. A market source said, the scrap generation is very slow around Tokyo and the dealers have to follow the electrics’ purchase price to maintain their scrap purchase volume. Market price is firm around Tokyo.

Scrap price is firm at around 9,500 yen for H2 grade at dealer’s purchase around Osaka.