Russian steel scrap market remains stable

Despite a surge in demand for raw materials, particularly steel scrap, market players have opted to maintain prices at current levels. This decision comes amidst reduced demand from major consumers like MMK and NLMK. These companies' accumulated stocks have allowed them to minimize their engagement in the free market, effectively curbing competition.

In the Central Federal District, prices for A3 scrap range between RUB 25,800-27,800/t ($283-305/t; excluding 20% VAT). Meanwhile, prices in other regions such as the North-Western Federal District, the Urals, and the Southern Federal District vary slightly, reflecting the regional dynamics of supply and demand.

Despite the challenges posed by increased demand and seasonal fluctuations, the Russian steel scrap market has demonstrated resilience and stability. Market players' strategic decisions, coupled with regional price variances, have contributed to the market's equilibrium. Looking ahead, the anticipation of price increases underscores the dynamic nature of the industry, as stakeholders navigate evolving supply and demand dynamics.