Posted on 12 Apr 2021
The latest Kanto Tetsugen export tender indicates that the Japanese scrap export market has stabilised on-month, Kallanish notes. The market experienced price volatility previously.
The Kanto Tetsugen Cooperative Association auction on 9 April awarded Itochu four 5,000-tonne parcels each at JPY 43,380/tonne ($396/t) fas for H2 grade scrap. The association announced that 15 companies submitted bids for a total of 146,900t. The winning bid is JPY 404/t higher than the average award price of JPY 42,976/t in last month’s tender on 10 March.
Previously, the tenders registered wider price fluctuations. Last month’s tender closed JPY 3,705/t higher than the Association’s February tender, while the February tender’s award price was JPY 5,480/t lower than January.
Meanwhile, prices for Japanese scrap are rising in Vietnam. Deals for Japanese H2 scrap were struck in the week ending 9 April at $455/t cfr Vietnam, and offers were prevailing at $460/t cfr on 8 April. Previously, offers on 2 April were at $445/t cfr Vietnam, while deals took place lower, at $432-435/t cfr Vietnam during the week ending 26 March.
In the Japanese domestic scrap market, prices have been stable in the past two weeks. Tokyo Steel is paying JPY 40,000/t for H2 grade scrap trucked to its Utsunomiya steelworks, unchanged since 26 March. Its H2 price was JPY 41,500/t effective 13 March, JPY 41,000/t effective 19 March, and JPY 40,500/t effective 23 March.
Source:Kallanish
