SSS: Big River strategies challenge status quo

Big River Steel will continue to challenge traditional conventions in the US domestic steel industry by overhauling its scrap procurement strategies and chasing atypical and specialised end markets, according to ceo David Stickler.

The scrap supply chain typically involves three main parties: the generator, broker and processor, plus the consumer, he told delegates at the Steel Survival Strategies XXXII conference in New York on June 27. “Why not eliminate one of those? [...] Why buy scrap at all?” Stickler asked at the event, hosted by Metal Bulletin sister publication AMM and World Steel Dynamics. “The scrap generators have something that we desperately need, which is scrap; we have something that we hope they want, which is quality steel. Why do you need that middle man in there?” he asked. “Some scrap is generated and loaded into a rail car and goes right into our furnace. We may just convert that scrap for people. [...] We’re gaining traction there; in fact, certain large scrap generators have actually approached us on that.” USA-based Big River will continue to take advantage of the scrap futures markets...

Published

Grace Lavigne Asenov

June 27, 2017

22:38 GMT