The leading Japanese EAF steel producer Tokyo Steel announced its new prices for its domestic scrap purchases, announcing cuts for two regions, Tahara and Utsunomiya by JPY 500/mt both for H2 scrap and shindachi grades. Meanwhile, Japanese yen has lost significant strength against the US dollar since the previous price announcement made on December 11 when JPY-US dollar exchange rate was standing at 152.15. The depreciation of the yen caused a price decline on dollar-basis for all plants.
Despite the cuts announced for Tahara and Utsunomiya plants, Tokyo Steel’s general range for H2 grade scrap remains stable at JPY 40,000-41,500/mt ($255-264/mt) depending on the mill. Due to the depreciation of the Japanese yen against the US dollar, the dollar-based quotations have moved down by $8-9/mt since December 11.
Shindachi scrap prices of Tokyo Steel are down by JPY 500/mt on the upper end to JPY 41,000-42,500/mt ($262-271/mt) delivered. The dollar-based prices have moved down by $7-12/mt from the levels announced for December11.
Meanwhile, Tokyo Bay FAS-based prices for H2 grade scrap have also declined by JPY 1,500/mt over the past week and are currently at JPY 41,000/mt ($262/mt - $17/mt lower than the previous level). This level shows that FOB prices are now at JPY 42,000/mt ($268/mt) for this grade.
Tokyo Bay HS scrap prices stand at JPY 46,500/mt ($296/mt) FAS, while shindachi scrap quotations are at JPY 45,000/mt ($287/mt) FAS.
Plant |
H2 scrap |
Shindachi |
||
Price (JPY/mt) |
Price change (JPY/mt) |
Price change (JPY/mt) |
Price change (JPY/mt) |
|
Tahara |
41,000 |
-500 |
42,000 |
-500 |
Nagoya |
40,000 |
0 |
- |
- |
Okayama |
41,500 |
0 |
42,500 |
0 |
Kansai |
40,500 |
0 |
- |
- |
Takamatsu |
40,000 |
0 |
41,000 |
0 |
Kyushu |
40,500 |
0 |
41,500 |
0 |
Utsunomiya |
41,000 |
-500 |
42,500 |
-500 |
$1 = JPY 156,76
