Following the JPY 500/mt cut in scrap purchase prices announced only for its Kyushu plant on May 21, the leading Japanese EAF-based steel producer Tokyo Steel has reduced its domestic scrap purchase prices by JPY 500/mt for its Okayama, Takamatsu and Kyushu plants. The move has caused a drop on the lower end of the producer’s Japanese yen-based scrap purchase prices, though at the same time prices on US dollar-basis have increased due to the appreciation of the yen against the US dollar since May 21
Tokyo Steel’s general range for H2 grade scrap price has declined by JPY 500/mt on the lower end to the range of JPY 38,500-41,500/mt ($269-291/mt) depending on the mill. The scrap purchase price for Tahara still represents the upper end of the price range. The dollar-based prices have remained stable on the lower end and moved up by by $4/mt on the upper end as compared to May 21 due to the fluctuation of the Japanese yen against the US dollar.
Meanwhile, shindachi scrap prices of Tokyo Steel are also stable, at JPY 39,500-43,500/mt ($277-305/mt) delivered, up by $1/mt on the lower end and by $5/mt on the upper end in US dollar prices. The prices shared in the table below are effective as of June 3.
| Plant | H2 scrap | Shindachi | ||
| Price (JPY/mt) | Price change (JPY/mt) | Price change (JPY/mt) | Price change (JPY/mt) | |
| Tahara | 41,500 | 0 | 43,500 | 0 |
| Nagoya | 40,500 | 0 | - | |
| Okayama | 40,500 | -500 | 41,500 | -500 |
| Kansai | 41,000 | 0 | - | |
| Takamatsu | 38,500 | -500 | 39,500 | -500 |
| Kyushu | 40,000 | -500 | 41,000 | -500 |
| Utsunomiya | 40,500 | 0 | 42,000 | 0 |
$1 = JPY 142.76