SteelOrbis observes that local scrap prices in Germany are following diverse trends depending on the grades of scrap.
While market sources report that E2 grade scrap in the local German scrap market has indicated a price rise of €15-20/mt, with E2 scrap prices now at €460-480/mt delivered to mill. Meanwhile, E3 grade scrap prices are at €430/mt delivered to mill. Old scrap prices such as E1 grades which are equal to HMS I/II 75:25 scrap have remained stable at €400/mt delivered to mill, according to market players. On the other hand, cut grade scrap prices in Germany are considered to be on the high side as collection prices have reached €360-370/mt.
Additionally, a Germany-based seller has stated that bids have been received from France for E8 grade scrap at €460/mt DDP, indicating a €10/mt increase month on month.
Market sources state that collection prices are currently very high in Germany due to the previous export sales from the country to Turkey done in early and mid-June. Another source stated that the decreasing trend of the Turkish deep sea scrap market is causing some concerns, and hence scrap flow has gained momentum. As demand for higher grades in the EU is still strong, market players think that the price difference between heavy (bonus) and light (HMS) scrap will increase further in the coming period.
