Tokyo Steel lifts scrap buying prices after auction price jump

The huge jump in price in Thursday's auction for Japanese H2 grade scrap for export through Tokyo Bay before end-May has prompted Japan's largest domestic mini-mill, Tokyo Steel Manufacturing, to announce an increase in its buying prices in an effort to dissuade traders from exporting. But the increase seemed symbolic rather than determined, Mysteel Global notes.

The auction held earlier on Thursday morning by the Kanto Tetsugen grouping of scrap dealers around Tokyo decided the winning price at Yen 54,329/tonne ($342/t) FAS, higher by a huge Yen 4,208/t than the winning bid in last month's tender for shipments this month and marked an all-time high.