Tokyo Steel, one of the main EAF-based producers in Japan, has announced a price increase for all five of its assets from December 1, while the previous increase for one of its plants, Utsunomiya, was only announced last Friday, the previous working day. Strong local demand and prices will provide further support for export scrap prices from Japan.
Tokyo Steel has increased prices for all plants by JPY 500/mt ($4.8/mt). As a result, the H2 price level for Tahara Works has reached JPY 32,500/mt ($312/mt), while the price has increased to JPY 32,000/mt ($308/mt) for the Okayama plant. The price for Kyushu is at JPY 30,500/mt ($293/mt) and that for Takamatsu is at JPY 29,500/mt ($284/mt). The price for H2 has been hiked at the Utsunomiya plant to JPY 29,000/mt ($279/mt). All prices are delivered and effective from December 1.
The reference price for ex-Japan H2 scrap is at JPY 32,500-33,500/mt ($312-322/mt) FOB, as SteelOrbis reported late last week. But a deal to Vietnam has already been confirmed at close to the higher end of the range and most offers have been heard at JPY 33,500-34,000/mt ($322-327/mt) FOB.