Analysis
November 5, 2025
US November scrap market trading flat, sources say
Written by Stephen Miller
The November scrap market in the US is appearing sideways across the board, according to several sources.
The domestic scrap trade is underway this month, but not yet entirely complete. Most scrap market participants on both sides of the furnace had predicted sideways pricing. The firm export market has remained firm. This and other considerations should keep obsolete grades sideways for November.
The real question was what would happen to prime grades, but they seem to be trading sideways as well.
There were concerns busheling could be weaker, but SMU has not seen this in the marketplace. Mill-owned brokers are buying scrap at the same levels as October, busheling included.
The dealer trade has basically accepted these prices. However, it remains to be seen how much they will sell with winter weather, the holidays, and reduced flows on the horizon.
SMU spoke with a purchasing manager for a large steelmaker with multiple melt shops throughout the US. He said his mills are out buying sideways.
He commented, “I think it (sideways) sticks across the country.”
Referring to the strategy of keeping prices level, he thought it could avoid the wild swings in prices that we have seen in past winters.
Another scrap source in the Southeast had a slightly different explanation, although he agreed sideways pricing was a good strategy for steelmakers to embrace.
He also said HRC producers have increased the price for their products.
Perhaps they decided to keep scrap prices the same, so as not to have to explain to their customers an increase in HRC while they pay less for ferrous scrap, the source said.
Additionally, he thinks scrap prices will rise this winter significantly, especially if steelmakers get busier, as they have predicted.
He noted the flows of obsolete scrap have steadily dropped 10% in September and another 10% in October at his numerous facilities. With winter coming, only increased prices can result in better flows.
The source added that flows of industrial material have edged down as well.
