Ferrous Scrap Price Drops in Tokyo, Osaka

Ferrous scrap market price decreased in Tokyo and Osaka under weak market both for export and domestic market. The dealers try to increase the shipment for electric furnace steel makers with expectation for lower price when Tokyo Steel Manufacturing reduced the scrap purchase price on Saturday, which was third price cut in April.

Local electric furnace steel makers’ scrap purchase price is 32,000-33,000 yen per tonne for H2 grade around Tokyo. Tokyo Steel reduced the price by 500 yen at Utsunomiya plant on Thursday and most of local makers followed the move.

Local exporters’ scrap purchase price decreased to FAS 31,000-31,500 yen per tonne for H2 grade around Tokyo bay. The exporters reduced the price to match export price increase peaked out.

Electric furnaces pay 32,000-33,000 yen per tonne for H2 grade around Osaka and some makers’ purchase price is around 33,500 yen. Local makers reduced the price by 500-1,000 yen while Tokyo Steel’s price cut was 500 yen.