Metallurgical enterprises did not change their purchase prices last week, leaving them at the level of UAH 8,000/mt. Although the profitability of scrap metal purchases has decreased, it is above the standard value.
The prices of scrap collecting companies for grade 3 scrap in the regions were at the level of 6.46-6.51 thousand UAH per ton. The upper border of the price range prevails in the southeastern regions of the country.
Supplies to steel plants
Scrap deliveries to metallurgical plants (June 10-16) decreased to 58.3 thousand tons. In the previous week (June 3-9) there were 76.5 thousand tons. The demand for scrap was 61.1 thousand tons. Last week was 96.4%.
Remains in ports
Scrap stocks in ports decreased to 1.4 thousand tons. Last week it was 1.6 thousand tons.
Smelt steel
Steel production for June 10-16 increased to 425 thousand tons. In the previous week (June 3-9) it was 401 thousand tons.
Scrap stocks at metallurgical enterprises
Remains of scrap in warehouses of metallurgical plants decreased to 305 thousand tons. Last week it was 330 thousand tons. Inventories in working days are 35 days, which is three times higher than the standard value. The highest stocks at Dneprospetsstal - 84 days. The lowest - at Azovstal - 20 days.
Domestic price forecast
The downward reversal of prices for rolled metal and scrap on foreign markets will push Ukrainian factories to lower purchase prices on the domestic market in the coming weeks. The forecasted average price next week is UAH 8000/mt.
Source: "Ukrpromvneshexpertiza"
