On September 14, SteelOrbis reported domestic scrap prices in Mexico as stable with some mixed movements in the Northern region from August levels. According to sources, the scrap prices in the Monterrey region are trending sideways while the El Bajio region has increased MXN 100-400/mt ($6-23/mt) across all grades due to strong industrial demand and limited delivery disruptions from Southern and Eastern Texas.
According to a source, shredded and P&S scrap grades are on strong demand in the region, and in some deals, have met or surpassed the price of busheling scrap. As October approaches, the same source noted that “downward corrections are unlikely soon on US effect as the exchange rate seems to have reached a healthy equilibrium and the region is growing.” He also noted, “Runaway upward prices also unlikely given the higher scrap availability from Texas in upcoming months and the struggling US domestic prices that will place pressure on import prices.”
$1= MXN 17.72, (Sept 14)
$1= MXN 17.90, (Sept 25)