Product
May 9, 2025
Written by Ethan Bernard
Domestic scrap prices tumbled across the board in May, but could the market find a bottom in June?
“Prices fell generally as most predicted in the $30-40 per-gross-ton (gt) range,” one source told SMU. “However, as buying went on, there was some noticeable additional weakness. This could mean June could be another down month.”
Sheet and plate prices continued to tick mostly higher this week amid a supply squeeze that shows no signs of loosening its grip on the US market.
The current plate market squeeze has been driven by improved demand and heightened import barriers, including 50% Section 232 tariffs. But the timing of fall outages—even if they were planned—is exacerbating the supply crunch.
U.S. Steel held a ceremonial groundbreaking on Monday for its new $475-million quench-and-tempering facility at its Fairfield Tubular Operations in Alabama.
The scrap market for October is looking for direction as some participants on both sides of the furnace are indicating scrap prices are poised for an increase.
SMU’s latest Flat-Rolled Steel Buyers Survey shows that in a tight US market marked by long lead times, low inventories, and rising prices, foreign products continue to gain the interest of domestic buyers.