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| HOME >> Topics List >> December, 2009 >> 29 (Tue) |
| Domestic Price Of Ni-Based Stainless Scrap Passes Over Year On Level Of Yen 140,000/Ton |
| = Large Melting Furnace Installed At Yawata Works Of Nippon Steel Is Scheduled To Operate From March / 10 |
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The market price of nickel-based stainless steel scrap (new clippings) to be collected by dealers from domestic sources of Japan had bottomed out by Yen 135,000 per ton and, then, has risen up to a level of Yen 140,000 - 145,000 per ton in December, on which this year is passing over. Reflecting the fact that LME nickel prices have risen steeply to a level of US$18,600 - 18,700 per ton, the price of nickel-based stainless steel scrap to be paid for collection has been already proposed in advance of a sharp rise of LME nickel prices by dealers to rise to Yen 140,000 per ton and this rise of LME nickel prices has functioned to sustain a level of Yen 140,000 per ton as price of nickel-based stainless steel scrap. The production activities of stainless steel at stainless steel companies in Japan from January of 2010 and afterwards are still not stable. Among two specialized stainless steel companies, Nippon Metal Industry has decreased their production from November but is reported to recover it from New Year. However, Nippon Yakin Kogyo is supposed to continue their production still on a low level. On the other hand, the Yawata Works of Nippon Steel constructed one new large electric furnace for melting and is scheduled to operate this new furnace on a substantial scale from March of 2010. Therefore, this large electric furnace is expected to play hereafter an important role of melting stainless steel and the converter, which has been so far producing chrome-based stainless steel, will be shifted to operate for the purpose of buffer. Nippon Steel does not have a plan to strengthen the facilities for continuous casting and, accordingly, it is hard to expect the Yawata Works to increase actual output of stainless steel. Even after this new and large electric furnace starts to operate from March of next year, there is a view in the market that, in relation with the stocks of ferro-chrome held by this Works, it will need a certain time to resume purchases of stainless steel scrap and to increase consumption of this scrap. Even when this large electric furnace commences to operate, it seems to be difficult to react immediately and sensitively to the market of stainless steel scrap. |
| last modified : Fri 08 Jan, 2010 [11:01] |
