Mixed Japan Copper Scrap Market

Japanese copper scrap market is divided in view by the buyers including rolled copper makers and the scrap dealers. The buyers are reluctant to buy large volume of copper scrap when Japanese official copper ingot price keeps high. Some rolled copper makers limit the scrap purchase volume under slower market while scrap dealers try to avoid increase of scrap purchase price under slower demand. The scrap buyers including electric wire makers and rolled copper makers try to minimize the purchase volume under surging copper price. A major rolled copper maker in Osaka terminated advance purchase temporally in May citing the brass bar demand dropped and scrap inventory increased. The scrap dealers’ mind changed after the termination under slower demand. The move changed the market from sellers market to buyers market. Major electric wire and rolled copper maker of Furukawa Electric reduced the purchase condition and volume for advance purchase for July-September. Nippon Shindo increased the purchase price for brass turning scrap to 725 yen per kilogram last week. However, the scrap dealers are negative to increase the scrap purchase price to avoid building inventory when the buyers are reluctant to buy.