Brass Bar Market Price Slightly Surges, Tokyo

Brass bar market price keeps flat with potential strongness around Tokyo. The price is around 610 yen per kilogram for free-cutting bar with 25 millimeters diameter, around 620 yen per kg for free-cutting bar with 10 mm diameter and around 670 yen per kg for cadmium-free round bar with 25 mm diameter.

Japanese major brass bar makers’ purchasing price for brass turning scrap, the indicator for brass bar market price, was revised up by 6 yen to 490 yen per kg on Monday. The purchasing price was revised up twice in October and hit the highest since 499 yen on January 20 to reflect strong copper market price at overseas.

Brass bar dealers have tried to raise the reselling price by 15-20 yen since early October. One major dealer implemented price hike by 20 yen effective for order receipts at the end of last week. Other dealers continued to appeal price hike by about 10 yen at least.

Brass bar shipment is slowing. The demand seems weakening due to inventory adjustment at automobile and industrial machine makers. One dealer source said brass bar dealers cannot raise the reselling price widely and the price hike is difficult to penetrate due to weak demand. The market price is likely to surge slightly.