ArcelorMittal confirms restart of alloy purchases on spot market

The world's largest steel producer ArcelorMittal has confirmed to SteelOrbis that it has been purchasing small volumes of noble and bulk alloys from producers on the spot market since mid-December to satisfy its reduced needs. However, ArcelorMittal declined to comment in relation to its purchases of scrap and other raw materials.
 
On November 5 last, ArcelorMittal had announced the cancellation with immediate effect of all raw material supply contracts signed before September and undelivered by that month, in line with its temporary 35 percent cut in global production due to the prevailing conditions in the steel markets and the reduction in demand for scrap.
 
In December 2008, as reported by SteelOrbis, the Bureau of International Recycling (BIR) had sent an official letter to the EC in relation to the issue to express serious concern regarding commercial behavior in the purchase of secondary raw materials in the EU and in other countries worldwide.
 
There had been speculation in the steel market that ArcelorMittal was unlikely to restart purchasing supplies within three to six months.