Japan Ferrous Scrap Export Price Drops to FAS 27,260 yen/t

Japanese ferrous scrap export price became to FAS 27,260 yen per tonne averagely for H2 for December shipping at export tender held by Kanto Tetsugen on Thursday. The price decreased by 227 yen from November shipment, while increasing slightly from FOB 27,500-28,000 yen per tonne of latest export price around Tokyo bay.The successful bidders will ship total 15,000 tonnes of ferrous scrap in December. An exporter won 5,000 tonnes at 27,300 yen per tonne, another exporter 5,000 tonnes at 27,250 yen and another 5,000 tonnes at 27,230 yen shipping by January 15, 2007.Twelve exporters out of 15 eligible exporters submitted 16 bids for the tender while 3 exporters rejected to bid. The 9 of 16 bids were more than 27,000 yen per tonne. The total volume of the bids increased by 7,500 tonnes to 98,500 tonnes from tender in October.The chairman Atsushi Watanabe of Kanto Tetsugen said the averaged successful bid was higher than expected when Hyundai Steel increased the purchase price of ferrous scrap from Japan. He said ferrous scrap market price around Tokyo had seemed to decrease in November but could keep the level when the export price from Tokyo bay keeps flat and local electric furnace steel makers entered demand season.