Japan: Tokyo Steel’s third scrap price hike in Oct’26 strengthens bullish market sentiment

• Expectations of demand pick-up post mill maintenance add to positive sentiment
• Kanto-Tetsugen tender result, stronger export offers boost seller sentiment

Tokyo Steel, Japan’s largest EAF steelmaker, raised H2 scrap buying prices by JPY 1,000/t ($6/t) across all plants, effective 14 October 2026. This marked the company’s third price increase in October, taking buying prices to JPY 50,000-52,500/t ($316-332/t) DAP.

Japan’s ferrous scrap market sentiment remained bullish through 14 October, supported by successive domestic buying price hikes, stronger export offers, and a higher Kanto-Tetsugen tender result. The weaker yen improved the competitiveness of Japanese scrap exports, while expectations of recovering demand following scheduled mill maintenance added to the positive sentiment. However, export activity remained limited, with no Japanese H2 scrap deals reported during the week. Despite supportive market fundamentals, the lack of confirmed transactions made the strength of actual export demand difficult to gauge.