Japan’s EAF mills cut billet exports on scrap price rises

Japan’s electric-arc-furnace (EAF) steel producers have been retreating from billet exports for now until they are clear what prices to offer with the rising scrap costs, though inquiries from the buyers in the Asian market have stayed active, according to sources in Tokyo and Osaka November 18.

Japan-produced SD295A 120-150mm billets are being bid at around Yen 45,000-46,000/tonne ($432-442/t) FOB, translated to around $450-460/t CFR East Asia or up Yen 1,000-1,500/t from early November, according to sources. Japan’s domestically-generated H2-grade scrap prices in contrast, rose Yen 2,000-2,500/t in the past two weeks, and the uptrend may sustain in the near term, the Japanese