Japan Electric Furnace Steels Cut Scrap Buy Price

Japanese ferrous scrap market turned into decrease at 37,500-39,500 yen per tonne for H2 grade at electric furnace steel makers’ purchase price. Slow new export order pressures on the domestic market. The steel makers’ purchase price decreased for the first time in 7 months around Tokyo while the price already decreased around Osaka.

The makers’ purchase price is 37,500-38,500 yen per tonne for H2 grade around Tokyo. Tokyo Steel Manufacturing and other local makers reduced the purchase price by 500 yen on Thursday. Some steel makers stopped the acceptance of scrap delivery. A dealer said the supply is getting loose at least temporarily. The scrap export FAS price also decreases due to slow offshore demand.

Osaka’s steel makers pay 38,000-39,500 yen per tonne for H2 grade scrap. Many makers reduced the purchase price from late last week to early the week but they keep the price level even after Kanto Tetsugen’s export tender on Wednesday and Tokyo Steel’s price cut on Thursday. The makers’ purchase price decreased by 1,500-3,000 yen after a week long holiday in early May.