Ferrous Scrap Prices Headed Down in April

Ferrous scrap prices are expected to drop sharply in April as a result of all the market disruptions from the coronavirus. How sharply is unclear. Almost certainly lower scrap prices will add to the downward pressure already being felt on finished steel prices.

Some reports claim scrap could plummet by as much as $100/GT, but one Steel Market Update source calls that figure “unrealistic and sensational.” He added: “If business does not improve, we could see a drop of $50/GT or more, but that’s not the reality today.”