Japan: Kanto scrap tender price eases marginally in June after 10-month rally

• Weaker yen pulls dollar-equivalent value down by $6/t
• Bangladesh returns to Kanto tender after two-month gap

Japan’s June Kanto H2 scrap export tender prices edged down by JPY 96/t ($1/t) m-o-m to JPY 54,506/t ($340/t) FAS for a 20,000 t cargo, marking the first correction after ten consecutive monthly increases. Despite the marginal decline in yen-denominated prices, the tender value in dollar terms fell more sharply by $6/t m-o-m from $346/t in May. This was largely due to the depreciation of the Japanese yen against the US dollar, with the currency weakening from around JPY 157.1/$ on 11 May to nearly JPY 160.4/$ currently.

The cargo was awarded to a Japanese trading company, with market participants indicating Chattogram, Bangladesh, as the likely destination. The latest tender also marks Bangladesh’s return to the Kanto market after a two-month absence. A Japanese trader noted that the softer yen helped maintain the competitiveness of export offers despite largely stable domestic scrap market fundamentals.