Tokyo Steel cuts scrap purchase price for 6th time in June on weak demand

Japan’s Tokyo Steel has cut its ferrous scrap purchase price for the sixth time in June on the back of squeezed margins and weak demand.

The country’s largest operator of electric-arc furnaces, and the domestic benchmark price-setter for ferrous scrap, lowered its purchase prices by ¥500-1,000 ($4.67-9.34) on Wednesday June 26. The reduction resulted in the mill paying ¥27,000 per tonne for scrap delivered to its Tahara steelworks, ¥26,500 per tonne to its Okayama works, ¥26,500 per tonne to the Kyushu facility, ¥27,000 per tonne to its Utsunomiya base, and ¥29,000 per tonne to the Takamatsu mill. The latest reduction has caused more bearish sentiment in Asia to set in, with buyers waiting for further price falls before deciding whether to take...

Published

Paul Lim

June 26, 2019

10:12 GMT

Singapore