Japan's stainless scrap purchasing price has been reduced by ￥30,000/ton in May.

Prices of stainless scrap are now around ￥25,500~26,000/ton. The main reason is that nickel price on the LME was falling since last week.

The International Nickel Study Group forecasts a nickel surplus of 70,000 tons this year. Besides, major stainless steel mills will continue to cut production in June. A market analyst said the slide will be limited by high production costs.

Japanese stainless steel mills will keep a close eye on scrap market developments