Steel Manufacturing Co. Ltd. has reduced its scrap buying
prices by another ¥500 ($5) per tonne effective Jan.
The reduction applies
to deliveries to its Tahara and Okayama plants, as well as its
Takamatsu service center. Prices for the first two now stand at
¥37,000 ($361.81) per tonne f.o.t., with those for
Takamatsu at ¥36,000 ($352.03) per tonne. Prices for
deliveries to its Utsunomiya plant remain unchanged at
¥37,000 per tonne, and those to its Kyushu unit at
¥37,500 ($366.69) per tonne.
This is the fifth
downward revision in scrap buying prices by Japans
largest electric-arc furnace operator and effective benchmark
price-setter since late 2013, when prices hit their highest
levels in more than two-and-a-half years.
The companys latest move will put additional pressure
on domestic prices, which this week slid by another ¥349
($3.41) per tonne to an average of ¥35,065 ($342.88) per
tonne. This marks a fifth consecutive week of declines, during
which time prices have dropped by ¥2,206 ($21.57) per
A version of this
article was first published by AMM sister publication Steel