The Spanish scrap market is set to begin March with an upward correction, Kallanish learns from local sources.
After it had fallen by nearly €30/tonne ($32.6/t) in the first two weeks of February, the price for new arisings E8 quality is now estimated to recover by €10/t this week. The current price is in line with the growing seasonal demand in the Spanish construction sector and the movement seen in international raw materials’ market.
“Expected adjustments in Spain should reflect the movement seen in the Turkish scrap market, although with a lower margin. Larger local mills are trying to push for higher prices, while domestic demand for some qualities is increasing at the end of February,” a Spanish merchant says.
“The Spanish domestic scrap market is anticipating a price increase and prices could even move up €5-10/t this week. This follows better demand due to the seasonal improvement in activity in the industry,” another market participant adds.
Before the expected increase is applied, E8 quality in the domestic Spanish market is still offered at €230-235/t delivered. E40 is at €225-230/t delivered, while demolition quality grade E3 is at €225/t delivered. Type E1 scrap is priced at €205/t on the same basis.