- Supply crunch fuels 300-series scrap price rebound
- Japanese mills hike prices amid bullish sentiment
SteelDaily: Prices of 300-series stainless steel scrap in Japan are climbing sharply, buoyed by a supply squeeze triggered by an intense heatwave that has disrupted market imports and curtailed collection volumes. The market, which had slumped in April, is now staging a robust rebound.
Steelmakers have moved to capitalise on the tightening supply. Several mills have raised purchase prices by around JPY 5,000/t ($32/t) this month, while Aichi Steel announced a similar hike effective 1 August. Market participants say other mills are also aligning with the bullish sentiment, with pre-furnace transaction levels edging closer to JPY 180,000/t ($).
In contrast, 400-series scrap supply remains relatively stable, offering less upward pressure on prices. Seasonal weakness has been magnified this year, as scorching summer temperatures slowed collection activity more than usual.
On the global front, LME nickel prices are holding steady. A weaker JPY has provided some support to domestic markets, but overseas demand – notably from South Korea – continues to lag, tempering the rally.
Note: This article has been published in accordance with a content exchange agreement between SteelDaily and BigMint.
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