Japanese EAF-based producer Tokyo Steel has continued to follow the uptrend in the scrap market and has increased local scrap purchase prices for all of its five assets by JPY 500/mt ($4.7/mt) on Tuesday, August 25. The increase margin is smaller than the hike of JPY 1,000/mt announced on August 19.
Tokyo Steel’s prices for H2 scrap have increased to JPY 25,500/mt for the Tahara and Okayama plants, to JPY 26,500/mt for the Kyushu factory and to JPY 24,500/mt for the Takamatsu plant, all prices delivered. The price for Utsunomiya has reached JPY 26,000/mt.
Firm demand in the local market has supported Japanese exporters. The workable price level is seen by sellers at not below JPY 28,000/mt FOB for now. The tradable value for ex-Japan H2 is at JPY 27,000-28,200/mt ($253-265/mt) FOB, stable compared to last week. The latest deal from Japan to Dongkuk Steel was done at JPY 27,500/mt FOB last week.
