Following the price increase recorded in Japan’s Kanto scrap export tender, the leading Japanese EAF-based steel producer Tokyo Steel has today, October 9, announced another increase in its domestic scrap purchase prices. Earlier this week, the producer had raised its prices by JPY 500/mt on the upper end, leaving the lower end stable on yen basis. The producer has again kept its price for Takamatsu stable, while raising its local scrap purchase prices for its other yards. In the Kanto export tender, the highest bid was at JPY 44,316/mt ($290/mt) FAS, JPY 2,346/mt higher than last month. The dollar-based price moved up by $5/mt from last month’s $285/mt FAS, taking the changes in the Japanese yen-US dollar exchange rate into account. Since September 12, Tokyo Steel has raised its local scrap prices gradually, with the total increase now reaching JPY 1,500/mt on the upper end, while the lower end has remained stable. On dollar basis, not much has changed due to the depreciation of the Japanese yen against the US dollar, with the upper end moving up only by $2/mt, while the dollar-based price for the Takamatsu region has declined by $8/mt.
The general range for H2 grade scrap prices has moved up on the upper end by JPY 1,000/mt to JPY 37,000-42,000/mt ($242-275/mt) depending on the mill. The Takamatsu region still represents the lower end of the general range, while prices in other regions are in the range of JPY 41,000-42,000/mt. Taking into account the changes in the exchange rates, the dollar-based price has moved down by $4/mt on the lower end and moved up by $2/mt on the upper end as compared to the levels announced on October 7.
Meanwhile, the shindachi scrap prices of Tokyo Steel have also increased, by JPY 500/mt on the upper end to JPY 38,000-43,000/mt ($253-286/mt) delivered, while down by $1/mt on the lower end and up by $2/mt on the upper end in US dollar prices. The prices shared in the table below are effective as of October 10.
| Plant | H2 scrap | Shindachi | ||
| Price (JPY/mt) | Price change (JPY/mt) | Price (JPY/mt) | Price change (JPY/mt) | |
| Tahara | 42,000 | +1,000 | 44,000 | +1,000 |
| Nagoya | 41,500 | +1,000 | - | - |
| Okayama | 42,000 | +1,000 | 43,000 | +1,000 |
| Kansai | 41,000 | +1,000 | - | - |
| Takamatsu | 37,000 | 0 | 38,000 | 0 |
| Kyushu | 42,000 | +1,000 | 43,000 | +1,000 |
| Utsunomiya | 41,000 | +1,000 | 42,500 | +1,000 |
| Tokyo Bay | 42,000 | +1,000 | - | - |
$1 = JPY 152.77
