Ferrous Scrap Export Price Hits 44,300 yen/t in Osaka

Ferrous scrap export successful bid was FAS 44,300 yen per tonne for H2 grade at tender held by Osaka based dealers’ group on Thursday. Tokyo based trader won the tender to ship 3,000 tonnes by October 16. The higher export price than local market could support the local market. The successful bid was 6,350 yen per tonne or 13% lower than the tender results by Kanto Tetsugen on August 12. However, the recent price is more than purchase price by Tokyo Steel Manufacturing and offer by Hyundai Steel of South Korea. The dealers expect the tender could support Japanese scrap market while the market shows sign to hit bottom recently. The dealers expect the higher price expectation could impact on the scrap supply when the dealers try to build the inventory preparing for rebound of the market. The lower scrap supply could support the price.