The main EAF-based steel producer in Japan, Tokyo Steel, has decided to lower its purchase scrap prices for its Utsunomiya plant by a further JPY 500/mt ($4.5/mt). The second consecutive revision since the beginning of the current month may provide definitive proof of the continuation of the bearish mood in the market. Nevertheless, in comparison with the low bids in the export market, domestic H2 scrap prices in Japan are remaining at relatively high levels.
Accordingly, the company has announced a JPY 500/mt ($4.5/mt) decrease in its purchase prices for H2 and shindachi scrap at its Utsunomiya plant to JPY 47,000/mt ($427/mt) and JPY 49,000/mt ($445/mt), respectively. Meanwhile, the scrap purchase prices at the company’s other plants have remained unchanged.
On balance, the current general range of Tokyo Steel’s purchase prices for H2 scrap is JPY 47,000-49,500/mt ($427-450/mt), with the highest price valid for the Okayama plant. Prices for shindachi scrap have been set at JPY 49,000-54,000/mt ($445-491/mt), with the highest end of the range relevant for the Kyushu mill. All prices are delivered and effective from September 9.
SteelOrbis’ assessment for ex-Japan H2 scrap is staying at JPY 45,000-46,000/mt ($409-418/mt) FOB after some increase last week.
|
Plant |
H2 |
Shindachi |
||
|
Price (JPY/mt) |
Price change (JPY /mt) |
Price (JPY/mt) |
Price change (JPY/mt) |
|
|
Tahara |
48,000 |
0 |
54,000 |
0 |
|
Okayama |
49,500 |
0 |
53,000 |
0 |
|
Kyushu |
48,000 |
0 |
50,000 |
0 |
|
Utsunomiya |
47,000 |
-500 |
49,000 |
-500 |
|
Takamatsu |
47,000 |
0 |
49,500 |
0 |