Automotive crisis causes short scrap supply, Assofermet

Italian steel trade association Assofermet reported a recovery in demand for long products in November and difficulties in sourcing scrap. This has pushed up scrap prices both in Italy and on the wider international arena.

However, the crisis in the automotive sector is persisting, particularly in Germany where scrap supply from this sector is becoming more challenging, the association says in its monthly market report monitored by Kallanish.

The association also noticed a pig iron price increase last month. However, Italian buyers are purchasing material that has reached ports in a late cargo and are therefore paying lower prices than the current producers’ asking prices. Assofermet says it also registered some stabilisation of ferroalloy prices during November.