Italian scrap prices are weakening by another €5/tonne ($5.5/t) on average this week compared to the last, and sales have almost stopped, industry sources tell Kallanish.

Most mills will begin summer shutdowns next week and won’t resume activity before 24-31 August. “Turkish scrap prices have stopped declining and they are pegged at €210/t cif Italy on average.  What will happen to Southern European scrap prices in September is impossible to say. It will depend on Chinese billets and Turkish scrap,” a trader comments

“In the best case scenario, there will be a price stability at the end of August and beginning of September. The reality is that raw materials are collapsing all over the world and there are no indicators to make us hope in a rebound,” one scrap merchant says.

At the moment Italian domestic prices for new arisings (grade E8) are pegged at €230-235/t ($254-260/t) delivered. Shredded (E40) prices are at €230-240/t. Demolition scrap (E3) falls in the range €210-225/t and heavy demolition (E1) is at €215-225/t, sources confirm.