The leading Japanese EAF-based steel producer Tokyo Steel has cut its local scrap procurement prices for Utsunomiya and Tokyo Bay, leaving other prices stable for now. Market sources report that the other Japan-based steel producers have followed suit and reduced their scrap procurement prices after Tokyo Steel's announcement.
Despite the price revision, Tokyo Steel's general price range for H2 grade scrap has moved sideways as compared to the levels recorded on July 18 at JPY 51,500-54,000/mt ($316-331/mt) depending on the mill. Considering the changes in the exchange rate, the dollar-based quotations have decreased by $1/mt.
Also, Tokyo Steel's shindachi scrap prices have remained unchanged at JPY 53,000-57,000/mt ($324-350/mt), down by $1/mt on dollar-basis on the upper end. The prices shared in the table below are effective as of July 23.
The Tokyo Bay FAS-based prices for H2 grade scrap are currently at JPY 51,000/mt ($312/mt). The FOB-based export price remains at JPY 52,000/mt ($319/mt) for the grade in question. The Tokyo Bay HS and shindachi grade scrap prices are at JPY 55,000/mt ($337/mt) FAS.
| Plant | H2 scrap | Shindachi | ||
| Price (JPY/mt) | Price change (JPY/mt) | Price change (JPY/mt) | Price change (JPY/mt) | |
| Tahara | 54,000 | 0 | 57,000 | 0 |
| Nagoya | 52,500 | 0 | - | 0 |
| Okayama | 52,500 | 0 | 53,500 | 0 |
| Kansai | 51,500 | 0 | - | - |
| Takamatsu | 52,000 | 0 | 53,000 | 0 |
| Kyushu | 52,000 | 0 | 53,000 | 0 |
| Utsunomiya | 52,000 | -500 | 54,000 | -500 |
| Tokyo Bay | 51,500 | -500 | 54,000 | -500 |
$1 = JPY 163.05
