Japan’s Kanto scrap export tender was closed with a price increase today, October 9. This is the first price improvement recorded in the tender since June this year. While the Japanese yen-based price in July had indicated a small increase, the dollar-based equivalent had declined at the time.
In the Kanto export tender, the highest bid was at JPY 45,680/mt FAS, JPY 2,960/mt higher than last month. The dollar-based prices have increased from $302/mt to $307/mt FAS, including the changes in the Japanese yen-US dollar exchange rate. The depreciation of the Japanese yen from $1 = JPY 141.46 recorded on September 11 to today’s rate had a big impact on the small change recorded on the dollar-based price. This time, the volume sold under the tender was 15,000 mt. The FAS price translates to JPY 46,680/mt FOB or $314/mt FOB, $5/mt higher than last month.
Right after the Kanto tender, Tokyo Steel’s general purchase price range for H2 grade scrap moved up to JPY 40,000-41,500/mt ($269-279/mt) depending on the mill. Before the Kanto tender, Tokyo Bay FAS-based prices for H2 grade scrap were at JPY 38,500/mt ($259/mt).
$1 = JPY 148.57