Japan Steel Scrap Composite Price Hits First Drop in 6-Week

Japan Steel Scrap Composite Prices, which are averaged price in Tokyo, Nagoya and Osaka, decreased for the first time in 6 weeks. The price decreased by 700 yen to 22,600 yen for H2 grade and to 25,800 yen for new cutting press at the dealers’ purchase price last week.

Local dealers’ ferrous scrap purchase price is around 23,500 yen per tonne for H2 grade around Tokyo last week as previous week. Local electric furnace steel makers kept the purchase price at 32,000-33,000 yen for H2 grade. One dealer source sees the makers kept the price when the export price decrease was smaller than expected in early March. The source sees the price could decrease when the makers hold overstock of scrap while the scrap shipment is increasing for western Japan.

Local dealer’ ferrous scrap purchase price kept 21,800 yen per tonne for H2 grade around Nagoya last week as previous week. Local electric furnaces pay 32,000-32,500 yen for H2 grade and around 34,500 yen for new cutting press.

Local dealers’ ferrous scrap purchase price is around 22,500 yen per tonne for H2 grade around Osaka. The price is decreasing in March but one dealer source sees the price is hitting the bottom when the export price hit FAS 33,520 yen per tonne for H2 grade at export tender in Osaka held on Thursday. The export price is higher than local electric furnaces’ purchase price at 32,000-33,500 yen for H2 grade.