As expected, scrap prices in the Italian domestic market have indicated a further slight strengthening since February 26, on the back of the uptrend in the international markets. Moreover, local supply is relatively low "due to speculative action, as many scrap suppliers are holding back their material as they expect further price increases," one local mill told SteelOrbis. The same source expects prices to reach January levels, and then a balanced situation may be sustained. Meanwhile, scrap demand has been good though some finished steel markets are suffering more than others. This is the case in the local rebar market where mills have been struggling to pass on the scrap price increases on to their sales prices with the aim of raising their margins.
Scrap prices in the Italian scrap market are at the following levels:
Quality |
Average spot price (€/mt) |
Change |
Turnings (E5) |
300-305 |
+2.5 |
HMS (E3) |
320-330 |
+2.5 |
Shredded scrap (E40) |
350-355 |
+2.5 |
Busheling (E8) |
345-355 |
0 |
Prices include delivery and exclude VAT.