UK FERROUS SCRAP: Market climbs after rise in exports, but uncertainty ahead

UK suppliers of steel scrap to domestic consumers have increased their prices for the latest monthly settlements to be delivered in March, marking a choppy period for the market so far this year, a trend that looks set to continue in April, market sources told Fastmarkets on Friday March 13.

March contracts were up by £10 ($12) per tonne after dropping by £25 per tonne in February, which partially reversed the increase of £35 per tonne achieved over the three months to January.
While some March monthly deals were settled as much as £15 per tonne higher, most deals were reported at £10 against higher European export prices into Turkey and the Indian subcontinent early in the month. Turkish import prices have since fallen due to weaker sales for Turkish rebar and other long steel products. Typically, Indian importers track what happens in scrap prices into Turkey, as well as factoring in their own domestic and export steel market demand.

“UK domestic markets have held off settling prices until the last few days citing internal issues and late completion of February contracts,” one United Kingdom-based supplier source said. "However, our view is that they have held back to let the...

Published

Declan Conway

March 16, 2020

07:45 GMT

Galway