2012 REVIEW: A difficult year for the ferrous scrap trade in China

For Chinese ferrous scrap traders, 2012 proved to be a challenging year. Prices remained under pressure and fell for almost three quarters of the year.

Turmoil in China’s steel markets drove price volatility, and forced many companies in this fragmented sector into financial trouble. Prices While scrap prices in China had largely trended upwards since the global financial crisis, this year, average prices were 20% lower than last year. And it is the price swings that really demonstrate the volatile course of the market. There was a disappointing first quarter, as the typical seasonal rebound in scrap prices did not materialise, and prices remained steady as demand difficulties in the steel market first began to emerge. But the problems...

Published

December 31, 2012

14:55 GMT

Shanghai