TOKYO Tokyo Steel Manufacturing Co. Ltd. has reduced its scrap buying prices by another ¥500 ($5) per tonne effective Jan. 24.
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 tonne.
A version of this article was first published by AMM sister publication Steel First.