Having increased its local scrap procurement prices by $26/mt on March 9, the main EAF-based steel producer in Japan, Tokyo Steel, has decided to hike its scrap procurement prices again. On March 14, the company has raised purchase prices for H2 and shindachi scrap for all its plants by JPY 2,500/mt ($21/mt).
Tokyo Steel’s new price levels for H2 scrap are now in the range of JPY 60,500-62,500/mt ($513-530/mt), while for shindachi scrap they are at JPY 63,000-66,500/mt ($534-564/mt). All prices are delivered and effective from March 15.
SteelOrbis has already reported that demand for Japanese H2 scrap has been rising in both domestic and export markets over the past weeks amid the sanctions on Russia and its difficulties in concluding sales, and this has also impacted demand for shindachi scrap since Russia is the major source of pig iron export to buyer countries such as Taiwan. At the end of last week, the SteelOrbis reference price for ex-Japan H2 scrap was at JPY 63,500-64,500/mt ($538-547/mt) FOB. Accordingly, domestic scrap prices in Japan are moving up.
|
Plant |
H2 |
Shindachi |
||
|
Price (JPY/mt) |
Price change (JPY /mt) |
Price (JPY/mt) |
Price change (JPY/mt) |
|
|
Tahara |
62,500 |
+2,500 |
66,500 |
+2,500 |
|
Okayama |
62,500 |
+2,500 |
66,000 |
+2,500 |
|
Kyushu |
62,500 |
+2,500 |
64,500 |
+2,500 |
|
Utsunomiya |
62,500 |
+2,500 |
64,500 |
+2,500 |
|
Takamatsu |
60,500 |
+2,500 |
63,000 |
+2,500 |
$1 = JPY 117.95