Reduced buying activity helps dampen prices

Global – Steel scrap prices lost a little ground towards the end of April, not least because of the decision by mills in Turkey to step back from the international market. The early-month flurry of deep-sea ferrous scrap purchases by Turkish mills dwindled to a trickle in the second half of April, prompting prices to drift.

Meanwhile, the World Steel Association (WSA) is predicting that the pace of global steel demand growth will slow from 3.6% in 2013 to 3.1% this year before climbing to 3.3% in 2015. If these projections prove to be accurate, overall demand will total 1.527 billion tonnes in 2014 and 1.576 billion tonnes in 2015.

The WSA’s statistical review of this year’s first quarter shows that global crude steel production was almost 10 million tonnes higher than in the same period last year, with China accounting for approximately half the increase. The combined output of the 65 countries reporting to the WSA was 405.7 million tonnes versus 395.9 million tonnes in January-March 2013.

The full version of Recycling International’s latest ferrous market analysis will appear in its May 2014 issue.