Analysis
June 17, 2026
SMU's June scrap prices land flat
Written by Ethan Bernard
Ferrous scrap prices for June came in sideways, scrap sources told SMU.
“The June ferrous trade was straightforward as all markets traded sideways from May levels,” one source said. “Market dynamics had not changed much over the last 30 days.”
SMU’s June scrap pricing stands at:
- Busheling at $450-470 per gross ton (gt), averaging $460/gt, down $2.50 from May.
- Shredded at $425-440/gt, averaging $432.50/gt, even with May.
- HMS at $365-385/gt, averaging $375/gt, unchanged from May.
The source noted that lead times for finished steel are healthy, inventories are generally low, and imports—while slightly stronger than earlier this year—remain historically low.
Meanwhile, a second source believes talk of excessive shred overhanging the market was exaggerated.
“In fact, there are record amounts of shred being shipped out of the (Ohio Valley) region via the river, whose mills are gobbling any scrap they can get their hands on,” he said.
Outlook
Looking forward, the first source expects the strength in the US scrap market to continue into July.
Still, he said, “There will be some auto shutdowns, which could crimp prime scrap supply and could push markets higher,” and shredder feed flows will also slow a bit seasonally.
Overall, he thinks we will continue to see more of the same healthy US demand until one of the variables regarding finished steel lead times, inventories, and imports begins to change.
The second source was cautiously optimistic.
“July markets look to be sideways with a hint of optimism,” he said, seeing strong demand with what will likely be smaller inbound flows due to summer weather.
