Stainless steel scrap quotations from scrap merchants in Western Europe have dipped by over €100/tonne ($110/t) compared to the beginning of July, industry sources tell Kallanish. Some Italian scrap producers however have managed to sell at higher prices during the final days of the month.

“Stainless scrap has definitely fallen but mills are in need of material which is very scarce because of production cuts,” one merchant comments.

“We are still managing to keep the prices of the first decade of July but I’m not sure how long this is going to last. This August the Italian market has completely stopped working. It is the calmest August I’ve experienced over the last five years,” a stainless scrap producer says.

As reported, the stainless scrap fall of the last ten days of July was in line with the continued downward trend in nickel price that has steadily declined over the month of July. This dip in scrap values is also due to poor demand for finished stainless steel products.

Grades 304 and 316 are the qualities most in demand. In France and Italy last week grade 304 scrap was sold from scrap merchants at a delivered price of €1,100/tonne ($1,217/t), while 316 scrap dipped to €1,500/t, also delivered. However, delivered quotations from Italian scrap producers remain on the levels of the first half on July. Grade 304 is at €1,260/t while grade 316 remains at €1,580-1,590/t delivered, sources suggest.