On the final day of the SteelOrbis 2026 Spring Conference and the 94th IREPAS meeting held in Amsterdam on April 26-28, Jens Björkman from Stena Metal International, also Chairman of the Raw Materials Suppliers Committee, shared the committee's assessments of the current dynamics and challenges in global raw materials markets.
Mr. Björkman highlighted significant changes in global market dynamics over the past year, pointing to tightening supply conditions, shifting trade flows and increasing geopolitical influences on pricing and demand.
China production slowdown supports global sentiment
One of the key developments was the slowdown in steel production in China, with output in March falling to the lowest monthly level in six years.
The decline was due to lower margins and tighter controls supported sentiment in other regions, while iron ore prices remained relatively steady at $105-$110/t due to supply constraints.
India continues to stand out as a large growth market, supported by strong domestic sponge iron production. This has reduced its dependence on scrap imports, although the country remains opportunistic, adjusting purchases based on freight costs and price conditions.
Protectionism shapes European market, US market turns inward
The chairman of the Raw Materials Suppliers Committee said that in Europe, protective measures and regulations have strengthened protectionist dynamics, supporting intra-regional demand for scrap. However, concerns remain about high energy costs and the risk of stagflation, which could affect long-term demand.
In the United States, rising domestic steel production has led to increased domestic demand for raw materials. At the same time, the attractiveness of scrap exports has declined, especially for high-quality grades, as supply shifts increasingly towards domestic consumption.
Turkey drives scrap demand and prices
Mr. Bjorkman noted that sentiment is improving in Turkey, supported by rising steel production and demand. Reduced supplies of semi-finished products from Iran have led to increased dependence on scrap imports, pushing prices up to around US$410 per tonne, a one-year high.
Rising transport costs caused by rising bunker fuel prices and disruptions in oil supplies across
