1-15-2024
To our loyal customers of Kimmel Scrap:
A few months ago, I wrote about how picking up half loaded containers of scrap metal were very expensive. These runs for half loads pretty much doubled the freight cost per ton. We have recently been faced with the opposite problem of loads being either too heavy or way over the top where we cannot haul either. It would help us and your selves to find out who is responsible for calling, texting or emailing the containers to Holly in dispatch. If you have any questions or suggestions, please contact any of us here and together we can come up with a great program to help each other. Cameras are a great way for both your company and us to monitor the containers. Initial costs for equipment has dropped tremendously.
As I am writing this newsletter, prices for January have not been released. One of the peculiarities in scrap the metal industry is how prices are determined. The negotiation between steel mills and suppliers like us can be contentious at times. You can have multiple mills making different products. Each one has a different price point and different finished good sale price. The purchase of raw materials can be used in either product, steel plate, tube or flat sheet. Last month in December we experienced a large increase in price for stamping and shred products. In my experience when we see large quick increases in scrap metal prices, the price declines are quick and sharp. We will see when this market settles for January.
It saddens me to announce that our long-time non-ferrous supervisor Rob Jamieson passed away
just prior to Christmas this year. Rob has been a valuable member of our team. He will be missed for his vast knowledge of metals and testing and friendly disposition and love of Michigan Football.
Wishing us all A Happy New Year.
Robert Kimmel
President/CEO
