The major EAF-based steel producer in Japan, Tokyo Steel, has announced JPY a 1,000-1,500/mt cut in its local procurement scrap prices. As the pressure on Japanese scrap suppliers’ prices has increased in the absence of meaningful demand from abroad, Japanese steel producers are successfully lowering their scrap procurement quotations in Japan. Tokyo Steel has been reducing its domestic scrap purchase prices since May 6, when H2 grade scrap prices were in the range of JPY 63,500-65,500/mt and shindachi was at JPY 66,000-69,500/mt. The downtrend may continue in the coming period.
With its latest announcement, Tokyo Steel’s prices for H2 scrap have declined by JPY 1,000/mt as compared to prices shared by SteelOrbis on July 1, to JPY 50,000-52,000/mt ($369-384/mt) depending on the mill. The dollar-based prices have decreased by $7/mt.
Following the price adjustments, the shindachi scrap price range of Tokyo Steel has decreased JPY 1,000-1,500/mt to the range of JPY 51,500-55,000/mt ($380-406/mt). Prices have indicated a $11/mt decrease on the lower end and a $7/mt fall on the upper end. All prices are delivered and effective from July 6.
|
Plant |
H2 |
Shindachi |
||
|
Price (JPY/mt) |
Price change (JPY /mt) |
Price (JPY/mt) |
Price change (JPY/mt) |
|
|
Tahara |
52,000 |
-1,000 |
55,000 |
-1,000 |
|
Nagoya |
51,500 |
-1,000 |
- |
- |
|
Okayama |
51,000 |
-1,000 |
54,000 |
-1,000 |
|
Kyushu |
51,000 |
-1,000 |
53,000 |
-1,000 |
|
Utsunomiya |
50,000 |
-1,000 |
51,500 |
-1,500 |
|
Takamatsu |
50,000 |
-1,000 |
52,500 |
-1,000 |
$1 = JPY 135.7