Four out of five of the regional zones that break up the United States had monthly changes, positive or negative, of 3.5% or less. Zone 4 or the northeast stretching out to the Great Lakes region had the only significant month to month differential. Compared to June Zone 4 decreased almost 13%. We haven’t seen too much volatility in August in the past 5 years but we will have to keep an eye on it to see if steel scrap prices continue to drop for the third month in a row.
At the recent G-20 meeting, world leaders “agreed to address growing overcapacity and rock-bottom prices in global steel markets.” With the threat of a trade war on steel negotiations were proving to be difficult accord to a recent Bloomberg article. A key passage urges world leaders to “urgently” seek the removal of “market-distorting subsidies and other types of support by governments and related entities.” U.S. officials were able to get language inserted to set deadlines for members to address excess steel production. We will see how these meetings effect pricing going forward and if there is any trickle down effect on the scrap metal market.
NOTE: All figures are believed to be reliable and represent approximate pricing based on information obtained prior to publication. Data is sourced from American Recycler, London Metal Exchange, iScrap App, and Scrap Monster. Advanced Remarketing Services is not responsible for the accuracy or completeness of the information provided, or for the use or application of information herein.