Following the increase recorded in March, local Italian scrap prices have continued their upward trend, increasing by €20-25/mt ($23-28/mt) so far in April. Market players agree that scrap prices have risen because of international price trends and also because of the improved order books of Italian producers which are exporting good quantities of rebar to the Algerian market.
Average spot prices in the local Italian scrap market are as follows:
Quality | Average spot price (€/mt) |
Turnings (E5) | 160 ($181/mt) |
HMS (E1/E3) | 200/210 ($226-237/mt) |
Shredded scrap (E40) | 210-220 ($237-249/mt) |
Busheling (E8) | 210/220 ($237-249/mt) |
Prices include delivery and exclude VAT.
Market sources are now wondering how long the upward trend of scrap prices will last, because the potential improvement of demand is limited and the recovery of demand is seasonal in any case. Many market sources think that during the month of May there could be a correction, at least to the upper part of the price range.
In the meantime, scrap offers elsewhere in Europe have increased by larger margins than in Italy, with the latest French and German scrap offers indicating increases of up to €40/mt ($45/mt) in comparison with March price levels.
€1 = $1.13