Japan Ferrous Scrap Export Price Increases by 1,000 yen/t

Japanese ferrous scrap export price rebounded for South Korea. The price is around FOB 35,000 yen per tonne for H2 grade, which was 1,000 yen higher than the beginning of June, at recent 10,000 tonnes export transaction for Daehan Steel, Japanese trading firm said. One dealer source sees higher export transaction price could lift market price around Tokyo.

One dealer source sees ferrous scrap market price is hitting bottom around Tokyo due to higher shipment to Nagoya and western Japan. Japanese scrap exporters increased the offer price for South Korea. South Korean steel makers are trying to increase the import from Russia when the offer price is increasing from Japan and USA.

Russian ferrous scrap export price for South Korea is around CFR US$ 470 per tonne for A3 grade, of which quality is regarded higher than No.1 heavy, said Japanese trading firm source. The source said South Korean steel makers increase lower priced ferrous scrap import from other countries than Japan and USA while the makers are importing the scrap mainly from Japan and USA.

Japanese trading firm source sees ferrous scrap demand decreases in South Korea when electric furnace steel makers reduce the output in and after July as same as Japan. One dealer source sees the export price and volume would not increase enough to lift Japanese market price.