Tokyo Steel has raised scrap purchase prices consecutively fifth time in Nov17. Prices hiked further at its western Japan-based works today by USD 5/MT (JPY 500)
Japan’s leading EAF steel producer – Tokyo Steel has raised scrap purchase prices for the fifth time in a row in Nov’17. After four consecutive price hikes on 2nd, 8th,10th and 14th Nov’17, the steel maker has again raised scrap purchase prices with effect from today (18th Nov).The company has increased its scrap buying prices further by JPY 500/MT (USD 4.46) at its west Japan-based works of the company.
As per latest price circular, new prices would be effective from today (i.e. 18th Nov’17) for all grades of scrap at three of its works Okayama, Kyushu and Takamatsu Steel Centre in western Japan. While scrap purchase prices at Tahara and Utsunomiya works kept unchanged.
Now H2 scrap fetches JPY 35,000/MT (USD 312) at largest work in central Japan-Tahara. While the same grade fetches JPY 34,000/MT (USD 303) at Utsunomiya works in north Japan, as well as at Okayama and Kyushu works in west Japan respectively. For its Takamatsu Steel Center company keeps bid at JPY 33,500/MT (USD 299).
Earlier to this, the steel maker had raised scrap purchase prices on 14 Nov’17 by USD 9/MT (JPY 1000) at its all five works Japan.
Japanese H2 scrap reference prices now hiked to JPY 32,500-33,000/MT (USD 290-295), FoB Japan while for New Cutting (Press) scrap to JPY 35,100/MT (USD 313), FoB Japan. These prices have increased by USD 6-8/MT on W-o-W basis.
Steel demand in Japan continues to remain strong amid bullish construction activities taking place for 2020 Olympics in Tokyo and rising production from auto makers.
Tokyo Steel’s scrap purchase prices with effective from 18 Nov’17 –
| Scrap Grade | Name of Work of Tokyo Steel | ||||
| Tahara Plant | Okayama Plant | Kyushu Factory | Utsunomiya Factory | Takamatsu Steel Center | |
| Special Class | 35,000 | 34,000 | 34,000 | 34,000 | 33,500 |
| First Grade | 34,500 | 33,500 | 33,500 | 34,000 | 33,000 |
| Second Grade | 33,000 | 32,000 | 32,000 | 32,500 | 31,500 |
| New Cutting Press A | 38,500 | 36,000 | 36,000 | 35,500 | 35,500 |
| Shredder A | 35,500 | 34,500 | 34,500 | 34,500 | 34,000 |
| Shredder C | 35,000 | 34,000 | 34,000 | 34,000 | 33,500 |
Prices in Japanese Yen/MT for transport on land (Exchange Rate USD 1 = JPY 112.06)
Source: Tokyo Steel Reports
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