Japanese scrap export offers rise further on strong demand from Vietnam

Japanese scrap export offers have increased sharply this week on limited availability. South Korean mills have remained less active in booking Japanese scrap due to enough inventories of domestic scrap. Also, few market participants reported that Korean mills have booked Russian scrap this week, however price levels could not be confirmed till the time of publishing this report.

SteelMint's assessment for Japanese scrap export offers stands at JPY 32,500/t FoB, up by JPY 1,500/t w-o-w.

Scrap prices in Vietnam climb in recent deals from Japan - Scrap supply tightness and continued purchasing of billets by China have continued to drive Vietnamese import prices up in this week. Trade sources have reported SteelMint that bookings Japanese H2 scrap have already been concluded at $354/t CFR Vietnam levels, which is higher by $10/t compared to offers seen towards the beginning of this week.

Japanese bulk scrap offers for Bangladesh rise further - With limited offers available for bulk, offers for Japanese scrap to Bangladesh have increased further. Current offers for H2 scrap are now heard at $360-365/t CFR Chittagong levels. SteelMint's assessment for bulk Japanese H2 stands around $360/t, up by $25/t w-o-w. Most of the bulk suppliers are sold out for Dec'20 due to a shortage of cargoes and offers were absent at the starting of last week, by the end of the week.

Mills lift bids for domestic scrap purchase - Japan's leading EAF mill- Tokyo Steel has announced a price hike for scrap purchase today by JPY 1,000/t ($10) for Utsunomiya works situated in the Kanto region. The company would now pay JPY 28,500/t ($274) for H2-scrap delivered to the Utsunomiya plant. This is the company's second price revision made this week. On 24th Nov'20, it announced a price hike for scrap purchase by JPY 1,000/t ($10) for Tahara and JPY 500/t ($5) for Okayama works.

Tokyo Steel scrap purchase price effective from (28th Nov'20)Price in JPY
Source: Tokyo Steel report