Domestic scrap prices in Italy move down

This month domestic scrap prices in Italy have decreased by €20/mt on average compared to December. SteelOrbis sources attributed the decrease to several reasons, namely, the decreases recorded in international scrap prices in late 2018, which had not yet influenced the Italian scrap market due to seasonal factors; the decrease in finished steel prices; the increase in production costs for Italian mills (such as energy costs); and in general, the current climate of uncertainty.

According to several scrap suppliers, however, Italian mills' demand is satisfactory and the decrease in prices may have been too strong and too rapid. To see whether this is true or otherwise, it will be necessary to wait for the full recovery of production activities, as not all steel producers have resumed their activities yet.

Average spot prices in the local Italian scrap market are as follows:

Prices include delivery and exclude VAT.

€1 = $1.14