Tokyo Steel Further Raise Scrap Purchase Price; Up by USD 40 in Last 6 Weeks
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Tokyo Steel has raised scrap purchase prices consecutively sixth time in Nov'17. The steel maker has increased prices at all its works by Yen 500/MT (USD 4).
Japan's leading EAF steel producer - Tokyo Steel has raised scrap purchase prices for the sixth time in a row in Nov'17. After five consecutive price hikes on 2nd, 8th,10th and 14th and 18 Nov'17, the steel maker has again raised scrap purchase prices with effect from today (22nd Nov).The company has increased its scrap buying prices further by JPY 500/MT (USD 4.45) at all its works.
Now H2 scrap fetches JPY 35,500/MT (USD 316) at largest work in central Japan-Tahara. While the same grade fetches JPY 34,500/MT (USD 308) 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 34,000/MT (USD 303).
Earlier to this, the steel maker had raised scrap purchase prices on 18 Nov'17 by Yen 500/MT at its west Japan works.
Tokyo Steel's scrap purchase prices with effective from 22 Nov'17 -
| Scrap Grade | Name of Work of Tokyo Steel | ||||
| Tahara Plant | Okayama Plant | Kyushu Factory | Utsunomiya Factory | TakamatsuSteel Center | |
| Special Class | 35,500 | 34,500 | 34,500 | 34,500 | 34,000 |
| First Grade | 35,000 | 34,000 | 34,000 | 34,500 | 33,500 |
| Second Grade | 33,500 | 32,500 | 32,500 | 33,000 | 32,000 |
| New Cutting Press A | 39,000 | 36,500 | 36,500 | 36,000 | 36,000 |
| Shredder A | 36,000 | 35,000 | 35,000 | 35,000 | 34,500 |
| Shredder C | 35,500 | 34,500 | 34,500 | 34,500 | 34,000 |
Prices in Japanese Yen/MT for transport on land (Exchange Rate USD 1 = JPY 112.2)
Source: Tokyo Steel Reports
Tokyo Steel raised scrap purchase price by USD 40 since 07 Oct'17 - In last 6 weeks (since 07 Oct'17), the steel maker has raised scrap buying prices up to USD 40/MT. H2 grade scrap purchase price of Tokyo Steel's Tahara plant was Yen 31,000/MT as per its price circular dated 07 Oct'17. Now the price is at Yen 35,500/MT. Thus prices have increased by Yen 4,500/MT (USD 40).
Japanese H2 scrap export prices also increased - Japanese H2 scrap prices now hiked to JPY 33,500/MT (USD 299), FoB Japan. Presently, price for other grades of scrap - HS is accessed at Yen 36,500/MT and Sindachi Press at Yen 38,500/MT, FOB Japan respectively.
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.
