The export price in the latest Kanto Tetsugen tender in Japan has reached its highest level in the past year and a half, exceeding JPY 30,000/mt FAS and showing a rise of $21/mt compared to the previous month’s auction.
On November 11, the monthly Kanto Tetsugen scrap export tender in Japan was closed at the average price of JPY 30,605/mt FAS, up by JPY 2,198/mt ($21/mt) compared to last month's results.
This average price on FAS basis translates to JPY 31,605/mt ($300.6/mt) on FOB basis, higher by at least $20/mt compared to the previous deals in the export market for Japanese H2 scrap.
The total volume sold in two lots was 20,000 mt: one for 15,000 mt at JPY 30,717/mt FAS, and the second for 5,000 mt at JPY 30,270/mt FAS. One of these contracts was concluded to the Vietnamese market, sources have told SteelOrbis. The price on CFR Vietnam basis should be at around $325/mt or above, according to estimations, far above the previous workable level of $310/mt CFR reported last week. The destination of the second cargo has not been confirmed by the time of publication, but sources said that a trader will aim for Taiwan or Bangladesh, where a shortage of containerized scrap persists.