Higher Ferrous Scrap Price in Tokyo

Electric furnace steel makers around Tokyo increase ferrous scrap purchase price under tight supply and higher export price from Tokyo bay. They pay 41,000-43,000 yen per tonne for H2 grade scrap and some makers pay as high as 44,000 yen, which increased by 2,000-3,000 yen from the beginning of the year. Scrap dealers around Tokyo bay increase the scrap purchase price when the export price increases for East Asia. The price increases under low level supply and diversion for bay area. A dealer source said the market condition impacts on local makers’ scrap arrivals. Tokyo Steel Manufacturing’s Utsunomiya plant increased the scrap purchase price by 500 yen to 44,000 yen per tonne for H2 and to 46,500 yen for pressed new cutting scrap on Saturday. Other makers followed the move. The local makers pay 2,000-3,000 yen more for scrap compared with the beginning of the month.