Japan’s Kanto scrap export tender was closed with a price increase on August 8 on Japanese yen basis, though the dollar-based price moved sideways. Even the yen-based price increase was very small and failed to give hope to the market. The Japanese scrap market remains weak as both local and export demand remains sluggish.
In the Kanto export tender, the highest bid was at JPY 41,888 /mt FAS, JPY 172/mt higher than last month. The total tonnage of the cargo was 20,000 mt and the cargo is believed to have been bought by a Vietnamese mill. The dollar-based prices have remained at $284/mt FAS, taking into account the changes in Japanese yen-US dollar exchange rate. The FAS prices translate to JPY 42,888/mt FOB or $290/mt FOB, down just $1/mt as compared to last month.
Meanwhile, the market price in the Kanto area is currently at JPY 40,000/mt ($271/mt) FAS. As a result, the difference between the Kanto export price and domestic scrap prices has increased to JPY 1,888/mt or $12.7/mt.
$1 = JPY 147.6