Japan Ferrous Scrap Export Price Hits FAS 36,565 yen/t

Japanese ferrous scrap export price hit FAS 36,565 yen per tonne for H2 grade at monthly export tender for May shipment held by Kanto Tetsugen on Tuesday. The price was 674 yen lower than previous tender on March 9 but the price is same level as local electric furnace steel makers’ purchase price. Local scrap dealers expect the tender results would support local market price.

An exporter won the tender at 36,800 yen per tonne to ship 5,000 tonnes of scrap. Other export won the tender at 36,330 yen to ship 5,000 tonnes. The exporters will ship the scrap by end of May. The total tender volume was 10,000 tonnes, which was 11,000 tonnes lower than previous tender.

Eight exporters out of eligible 16 companies submitted 9 bids for the tender. Three bids offered more than 36,000 yen per tonne. Their offers totaled 45,000 tonnes, which was 41,000 tonnes lower than previous tender.

Local electric furnace steel makers pay 35,500-37,000 yen per tonne for H2 grade scrap around Tokyo. The price increased by 2,000-2,500 yen per tonne in a week under higher scrap export transaction price.

Japanese scrap export price is around FOB 36,000 yen per tonne for H2 grade to East Asia. The price is 2,000-3,000 yen higher than recent bottom in late March when South Korean steel makers increase the transaction of Japanese scrap.