The leading Japanese EAF-based steel producer Tokyo Steel has increased its local scrap purchase prices at all its plants except for Takamatsu where scrap purchases have been suspended. The upward revision of prices is the result of the depreciating Japanese yen and also due to the producer’s desire to secure scrap flow to its yards. Market sources report that other Japanese producers are expected to follow suit and raise their local scrap quotations accordingly.
Tokyo Steel’s general price range for H2 grade scrap has increased by JPY 1,000/mt as compared to the levels recorded on February 21 to JPY 45,500-46,500/mt ($288-295) depending on the mill. Taking changes in the exchange rate into account, the dollar-based quotations have increased by $1/mt on the upper end.
On the other hand, Tokyo Steel’s shindachi scrap prices have moved up by JPY 1,000/mt to the range of JPY 47,000-49,000/mt ($298-311/mt) delivered, up by $1/mt on dollar basis. The prices shared in the table below are effective as of March 3.
| Plant | H2 scrap | Shindachi | ||
| Price (JPY/mt) | Price change (JPY/mt) | Price change (JPY/mt) | Price change (JPY/mt) | |
| Tahara | 46,000 | +1,000 | 48,500 | +1,000 |
| Nagoya | 46,000 | +1,000 | - | |
| Okayama | 46,000 | +1,000 | 47,000 | +1,000 |
| Kansai | 45,500 | +1,000 | - | - |
| Takamatsu | Suspended | Suspended | ||
| Kyushu | 46,000 | +1,000 | 47,000 | +1,000 |
| Utsunomiya | 46,000 | +1,000 | 47,500 | +1,000 |
| Tokyo Bay | 46,500 | +1,000 | 49,000 | +1,000 |
$1 = JPY 157.76
