Scrap Metal Market: May 2016

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Scrap Metal Market Trends

Scrap metal prices for crushed autobodies have slightly increased 17.60% over the past month (see April 2016 Scrap Metal Market Watch), and a small uptick of 3.62% over the past year.

Over the past month, the automotive industry has struggled to look for an innovative response to continued devaluation. The downward trend in scrap metal pricing has continued through 2015 into 2016, as end-of-life vehicle buyers are struggling to stay afloat. The Institute for Scrap Recycling Industries has identified over 75 parts and recycling yards that have been forced to close in 2015, noting in their analysis that some were multiple yards owned by a single company.

The domestic marketplace has been engaged in speculation, holding scrap in reserve and waiting for prices to bounce back. “From the environmental standpoint, it’s the worst thing that can happen, because you don’t want these heavy metals in a landfill, you want them recycled.” said Dan Marks. “That’s the worst part about it all. As prices go down, people get sloppy.”

Zone Pricing

All zones have seen a slight uptick in prices. A similar increase was observed in June of 2014, prior to a sharp decline months later. Scrap value per zone remains unstable in a declining market, and no single zone can be compared in terms of access to: aluminum, copper, nickel, palladium, platinum, steel, or zinc.

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NOTE: All figures are believed to be reliable and represent approximate pricing based on information obtained prior to publication. Advanced Remarketing Services is not responsible for the accuracy or completeness of the information provided, or for the use or application of information herein.

Ethan Frederick GrantScrap Metal Market: May 2016

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