Japan Steel Scrap Composite Price Continues Increase

Japan Steel Scrap Composite prices, which are averaged price in Tokyo, Nagoya and Osaka, increased for 3 weeks in a row through last week. The price increased by 700 yen to 23,300 yen per tonne for H2 grade and to 26,500 yen for new cutting press at the dealers’ purchase price.

Local dealers’ ferrous scrap purchase price is around 24,500 yen per tonne for H2 grade around Tokyo last week as previous week. Local electric furnace steel makers pay 33,000-34,000 yen for H2 grade. The market price increased by 3,000 yen or more by middle of February than January level but local electric furnaces kept he purchase price since late February. The shipping decreased for export and export price increase slowed when the dealers finished shipment for order backlog.

Local dealers’ ferrous scrap purchase price increased by 500 yen to 22,800 yen per tonne for H2 grade around Nagoya last week. Local electric furnaces pay around 33,000 yen for H2 grade and 35,500 yen for new cutting grade. Market source sees the scrap price peaked out when local two electric furnaces reduced the scrap purchase price last week for the first time in a month. The price would decrease when the supply remains normal level for the makers.

Local dealers’ ferrous scrap purchase price is around 23,000 yen per tonne for H2 grade around Osaka. Tokyo Steel Manufacturing increased the scrap purchase price by 500 yen for all plants other than Utsunomiya plant on Friday. Other local electric furnaces followed the move around Osaka late last week. The electric furnaces pay 32,000-32,500 yen for H2 grade and some makers pay around 34,500 yen.