Japan: Tokyo Steel Hikes Scrap Purchase Price Upto USD 9

As per the new price circular released, Japan’s leading EAF mini-mill - Tokyo Steel has hiked its scrap purchase bids by JPY 500/MT (USD 5) at all of its 5 works, coming days after the last price hike, Japanese scrap market seems to finally be in the uptrend again. The new prices for all grades shall be effective from tomorrow (19th Nov'19).

After the said price hike, the company will pay JPY 23,000 /MT (USD 211) for H2 scrap delivered at Tahara plant in central region while JPY 21,500 /MT (USD197) for Okayama plant. For H2 delivered to Kyushu works in the western region, Utsunomiya works located in the Kanto region and Takamatsu Steel Center the new price will be JPY 24,000/MT (USD 220), JPY 23,500/MT (USD 216) and JPY 20,500/MT (USD 188) levels respectively.

Notably, the purchase price for higher grade scrap “New Breaking Press A” to Tahara Plant was hiked by JPY 1000/MT(USD 9). This is the second successive price hike made by the company in a weeks time, after a 7 month long successive downtrend since Apr’19. Since there is still a considerable difference in domestic prices and export offers of Japanese scrap, it is being anticipated by the market that further price hikes in the coming days are likely.