Scrap steel is a valuable commodity, playing a crucial role in the recycling industry. It’s melted down and reused to create new steel products.
But understanding what the price of scrap steel is can be tricky. Prices are always changing, influenced by market ups and downs, supply and demand, and even the grade of the steel itself.
What affects the price of scrap steel?
Like any commodity, scrap steel’s price is affected by a number of factors, including:
- Supply and demand. When worldwide demand for steel rises, scrap steel prices rise, too. Construction and manufacturing activity often drive demand. Also, scrap availability varies with the seasons. Construction and demolition projects are more common in warmer months, which leads to more scrap.
- Steel grade and quality. Different grades of steel fetch different prices. Clean, prepared steel is more valuable than contaminated scrap. Also, if the steel contains alloys or coatings, that can affect the price.
- Location and transportation costs. Scrap steel prices vary depending on how close you are to recycling centers and steel mills. Transportation costs also affect how profitable it is to collect and sell scrap steel.
Current Scrap Steel Pricing
Because the price of scrap steel changes so fast, it’s hard to give exact numbers. Here are some general guidelines:
- Steel is priced per pound.
- Prices are estimates only and could change without notice.
Also, some recycling centers have minimum purchase requirements. For example, Rockaway Recycling requires a 500 lb minimum for steel and iron.
For the most up-to-date pricing, your best bet is to contact local recyclers directly and ask about current rates.
Types of scrap steel and how they affect price
The type of steel you’re selling or buying can have a big impact on the price. Steel that’s already been cut and sorted (“prepared steel”) will usually fetch more than unprepared steel, which may need extra processing.
Some common types of steel scrap are:
- Heavy melting steel (HMS)
- Shredded steel
- Plate and structural steel (P&S)
The cleanliness of the steel also matters. Rust, paint, and other contaminants can lower the price of scrap steel, so clean steel is more valuable.
Final Thoughts
The price of scrap steel depends on supply and demand, the grade of steel, where you’re located, and how you’ve prepared the metal for recycling.
To get an accurate idea of the current price, call your local recycling center for a quote. If you have a large volume of scrap steel, contact Rockaway Recycling to find out if you can get an even better price. Just remember that the scrap metal market is always changing.