- Japanese scrap offers to China up by $20 w-o-w
- Offers to Vietnam and Bangladesh up by $10-20
- Tokyo Steel raised scrap purchase price by up to JPY 1,000/t, except for Tahara and Utsunomiya plant
The uptick in Japanese scrap export offers continued for yet another week. Interestingly, the leading South Korean steel mills did not bid for Japanese scrap this week. Increased inquiries from other prominent Japanese scrap buyers like Vietnam, Bangladesh, and China before the Japanese Golden Week holidays have kept scrap prices at higher levels.
SteelMint’s assessment for Japanese H2 scrap export now stands at JPY 44,000-45,000/t ($408-417) FoB, up by JPY 500/t FoB w-o-w.
Japanese scrap suppliers raise offers for China by $20: Japanese scrap offers have spiked by $20 before the Golden week holidays and offers have increased to $520/t CFR levels. Trades of around 3,000 t have been concluded recently at $505/t CFR basis for Japanese HRS 101-grade scrap. However, Chinese mills are yet to raise their bids for Japanese scrap to the tune of quoted offers. Hence, the disparity in bids and offers is likely to keep market muted.
Bangladesh and Vietnam offers rise further: Vietnamese buyers are actively procuring Japanese scrap and small trades continue to happen. Offers for Japanese H2 rose by $15 to $480/t CFR as compared to the beginning of the week.
Meanwhile, Bangladesh-based buyers remained quiet this week after few bulk cargoes were booked a couple of weeks back. Fresh offers for Japanese H2 now stand at $490/t CFR Chittagong basis, registering a hike of $10 against the beginning of the week.
Tokyo Steel hikes scrap purchase price by up to JPY 1,000/t ($9): Japan’s leading EAF mill – Tokyo Steel has announced a hike in scrap purchase price on 21st April’21 for three works by up to JPY 1,000/t ($9). The company is now paying JPY 44,000/t ($405) and JPY 43,500/t ($401) for H2 scrap delivered at Okayama and Kyushu works respectively. No price revision has been made for Tahara and Utsunomiya works. This is the company’s third price hike this month.
Price in JPY
Source: Tokyo Steel
Outlook: Japanese scrap export offers and domestic prices in Japan are likely to increase further ahead of the approaching Golden Week holidays.
Leave a Reply