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Japan tapping China's potential as scrap iron supplier

Tokyo Steel Manufacturing breaks with tradition, buys scrap from China

If China becomes a large exporter of scrap iron, it will shake up the steel industry.

TOKYO -- Tokyo Steel Manufacturing, Japan's largest independent maker of electric-furnace steel, has begun importing scrap iron from China, expecting the country to become a key supplier.

Between May and June, the company bought about 3,000 tons of scrap for its plant in Kitakyushu, Fukuoka Prefecture, on the southern island of Kyushu, on a trial basis. It is believed to be the first major Japanese electric-furnace steelmaker to import scrap iron from China. Most Japanese producers obtain scrap metal from domestic sources.

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