Japan Export Price Peaks for Electric Wire

Japanese export price of nonferrous metals scrap is peaking out mainly for coated electric wire and mixed scrap in the week when the major buyer of China has less appetite due to drop of international copper ingot price. The market confirmed Chinese buyers try to avoid purchase at higher price.

Copper ingot price at London Metal Exchange decreased to less than US$ 8,000 per tonne after the price hit recent high at US$ 8,233 on July 11. The price at Shanghai Futures Exchange (SHFE) dropped to 65,000 yuan per tonne for August delivery after the recovery to more than 70,000 yuan last week.

Chinese buyers accelerated the cautious attitude to avoid high price purchase. Japanese exporters again have trouble to get new order from Chinese buyers.

Many Japanese scrap collecting dealers report no buyers wants to buy now after some buyers increased the purchase temporally and the market interests expected the mood improved.

Market price of coated electric wire scrap with 40-45% of copper recovered to 260-270 yen per kilogram and was expected to get firm foothold. However, the price turned into weak again due to drop of international copper ingot price. The transaction is very rare after some buyers paid as high as 300 yen. The market is peaking out generally though the market is still firm in some trading route. Mixed scrap market is in line with coated electric wire.