Japan Ferrous Export Scrap Price

Japanese ferrous scrap market price continued to rise. The price increased by about 1,500 yen per tonne in the end of last week around Tokyo and increased for the first time in the half and 2 months in Himeji area near Osaka. Electric furnace makers are maintaining the output reduction, but export contract price is higher than domestic makers’ purchase price.

Makers’ purchase price increased to 17,500-18,000 yen per tonne by 1,500 yen for H2 grade from April 4 around Tokyo and some pay as high as 18,500 yen. Some makers increased the purchase price from last week and Tokyo Steel Manufacturing, Japanese biggest electric furnace maker increased the purchase price from April 4. Other makers increased the purchase price, too.

Ferrous scrap generation is dropping, while small dealers are increasing shipment to bigger dealer in Tokyo bay due to rising export price. The purchase volume of ferrous scrap by makers is expected to largely decrease in April from a year earlier, while increase from last month. A dealer source said the supply and demand is starting to be tight around Tokyo.

The purchase price of ferrous scrap by makers around Osaka is 16,500-17,500 yen per tonne for H2 grade. Some makers increased the price in last week around Osaka. Moreover, Yamato Steel and JFE Bars & Shapes in Himeji area increased the price by 1,500 yen when Tokyo Steel Manufacturing increased. Yamato Steel’s price is 17,500 yen. JFE Bars & Shapes increased for the first time in 2 months.

Japanese ferrous scrap export price to Asia is pulling up domestic ferrous scrap market price. Ferrous scrap is increasing from around Osaka. The export priced is exceeding the purchase price by domestic electric furnace makers around Osaka. A dealer source said domestic makers are raising the purchase price in accordance with the export price.