On April 19, SteelOrbis reported Japanese H2 scrap export prices at JPY 27,000-27,500/mt ($248-253/mt) FOB Tokyo Bay which translated to dock prices of JPY 25,100-26,000/mt ($231-239/mt) FAS at port of origin. Domestic mills were heard paying higher prices of JPY 29,000-30,000/mt ($267-275/mt) delivered to mill.
South Korean mills have been heard this week bidding for H2 scrap at JPY 24,000-25,500/mt ($215-229/mt) FOB Tokyo Bay for June delivery with some low volume active trading heard at JPY 25,000-25,500/mt ($224-229/mt) FOB Toyko Bay. Japanese traders are currently reportedly paying dock prices of JPY 24,000-25,000/mt ($215-224/mt) FAS for export H2 material. Prices are down approximately JPY 1,000/mt from a week ago, but due to currency fluctuations the decline is more pronounced at $15-16/mt in US dollar terms.
According to sources, South Korean mill deals at JPY 25,000-25,500/mt ($224-229/mt) FOB Toyko Bay translate to approximately $244-249/mt CFR South Korea and $254-259/mt CFR Vietnam under the traditional freight charges.
Japanese domestic mills have cut scrap purchase prices now for 6-7 consecutive weeks, with price now at JPY 26,000-27,000/mt ($233-242/mt) delivered to mill. Some mills have also been heard reducing the amount of scrap delivered through the week due to the upcoming Golden Week holiday; Japanese companies will be closed accordingly during the first week of May.
Japanese H2 grade ferrous scrap export offers are presently at JPY 26,000-26,500/mt ($233-238/mt) FOB Tokyo Bay.
$1=JPY 108.81, 4/19/2017
$1=JPY 111.44, 4/28/2017