In June, scrap prices in Germany fell, while in the US they rose

The latest statistics provided by the German Steel Recycling Federation (BDSV) show that scrap prices in the country fell during June 2015. During this period, prices declined slightly, almost EUR 0.44 per tonne. Prices for old scrap metal decreased by 1 euro per tonne and touched 204 euro per tonne.

Demand for scrap metal in Germany remains low during June due to the weak construction sector in the country. Further development of the scenario of weakening demand may lead in the coming months to a decrease in prices for scrap metal in Russia, as noted by traders.

Prices for crushed ferrous scrap dropped by € 1 /tonne to reach € 231 /tonne during this period. On the other hand, prices for new generated scrap reached 221 euros per tonne, an increase of 3 euros per tonne compared to the previous month. At the same time, in May this year, German scrap prices increased slightly. Old scrap prices were € 205 per tonne, cut scrap metal at € 232 per tonne and newly formed scrap at € 218 per tonne in May 2015.

Trading sources indicate that scrap prices are likely to experience further declines as steel mills are unlikely to purchase more scrap steel while rebar prices continue to fall. Metallurgists and scrap metal recyclers also confirmed the likelihood of this trend.

At the same time, scrap prices in the United States were stable from the previous week, averaging $ 253.83 per tonne as of June 22nd. Average scrap metal prices in Pittsburgh were $ 249.5 per tonne, in Chicago - $ 258.5 per tonne, in Philadelphia - $ 253.5 per tonne, remaining unchanged. At the same time, it was reported that prices for scrap metal in the United States as of June 15 were on average $ 253.83 per tonne, an increase of $ 2.33 per tonne compared to the previous week.