Higher Ferrous Scrap Price in Tokyo

Electric furnace steel makers around Tokyo increase the ferrous scrap purchaser price to secure the material. The purchase price increased by 2,000 yen to 51,500-53,000 yen per tonne for H2 grade compared with last week level. Tokyo Steel Manufacturing’s Utsunomiya plant and other local makers increased the purchase price by 1,000 yen late last week. The supply keeps tight due to strong demand from integrated steel makers and electric furnaces in other areas. The dealers apparently try to hold the inventory with expectation for higher price. Tokyo Steel’s Utsunomiya plant increased the purchase price by 1,000 yen to 53,000 yen per tonne for H2 and to 55,500 yen for pressed new cutting scrap effective on Friday. Other makers also increased the purchase price and the averaged purchase price increased by 3,000-3,500 yen during the month.