Tokyo Steel Raise Scrap Purchase Price at Tahara Works by USD 9/MT
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After three consecutive price cuts for domestic scrap purchase, Japanese steel maker - Tokyo Steels has raised prices at its Tahara works from today.
Japan's leading steel producer Tokyo Steel Manufacturing has increased its scrap buying prices by Yen 1000/MT (USD 9) at Tahara works however, bid prices at all other works remain unchanged. As per new price circular, new prices would be effective from today (i.e. 27th Oct'17) for all grades of scrap at all its five works of the company in Japan.
After witnessing successive downtrend in its domestic scrap purchase prices since last week of Sept'17, the steel maker has lifted scrap buying prices at one of its works in order to strike a balance between local supply and demand.
Now H2 scrap fetches Yen 32,000/MT (USD 280) at largest work in central Japan-Tahara. While the same grade fetches Yen 31,000/MT(USD 271) at Utsunomiya works in north Japan, Okayama and Kyushu works in west Japan respectively. For its Takamatsu Steel Center company keeps bids at Yen 30,500/MT.
Prior to this, the company declined its buying prices for all grades of ferrous scrap at all its plants twice in the same week in Oct'17 by Yen 1000 on 07th Oct'17 and by Yen 500 on 05th Oct'17 respectively. Thus, this is third price revision the company has undertaken in Oct'17 so far.
A market source shared that-"This price revision is done only for Tahara works in Japan to balance local supply and demand in the domestic market. For time being it is not yet influenced by trend change amid restocking sentiments in the global market ahead of upcoming winter."
Tokyo Steel's scrap purchase prices with effective from 27 Oct'17 -
| Scrap Grade | Name of Work of Tokyo Steel | ||||
| Tahara Plant | Okayama Plant | Kyushu Factory | Utsunomiya Factory | Takamatsu Steel Center | |
| Special Class | 32,000 | 31,000 | 31,000 | 31,000 | 30,500 |
| First Grade | 31,500 | 30,500 | 30,500 | 31,000 | 30,000 |
| Second Grade | 30,000 | 29,000 | 29,000 | 29,500 | 28,500 |
| Shredder A | 32,500 | 31,500 | 31,500 | 31,500 | 31,000 |
| Shredder C | 32,000 | 31,000 | 31,000 | 31,000 | 30,500 |
Prices in Japanese Yen/MT for transport on land
Source: Tokyo Steel Reports
