Japan Domestic Ferrous Scrap Price Shows Weak Signs

Ferrous scrap price seems to turn slightly weak in Japanese domestic market. Tokyo Steel Manufacturing, Japanese largest electric furnace steel maker, revised down its scrap purchasing price by 1,000 per tonne on Tuesday. This is the first price down by Tokyo Steel in recent 4 weeks. Around Osaka, a local scrap dealers’ group, Kansai Tetsugen held a ferrous scrap export tender on Monday and the successful bid was FAS 37,630 yen per tonne for H2 grade. The price downed by 390 yen from the previous tender on February 18. Weak scrap export price may cool down the uptrend of domestic scrap market price, said a scrap dealer around Osaka.

Tokyo Steel’s purchasing price lowers to 41,000 yen per tonne for H2 at Okayama, Kyushu and Tahara plant while to 40,000 yen at Utsunomiya plant and 39,000 yen at Takamatsu plant.

Kansai Tetsugen’s export tender was won by at FAS 37,630 yen per tonne to ship 5,000 tonnes of H2 grade. The shipment will be implemented by June 18. Ten exporters out of 14 eligible companies submitted 10 bids for the tender. The bid price averaged 35,928 yen, lower by 1,103 yen than the previous tender.

Electric furnace steel makers around Osaka presently purchase H2 at 39,500-41,000 yen and some pay as high as 42,000 yen.