To the Loyal Customers of Kimmel Scrap,
My first thought as I write this monthly newsletter is the health of you and your families. I wish you all good health.
A brief note on ferrous steel market. With more manufacturing coming back on line across the country we are seeing more scrap iron than can be consumed by local mills. In Detroit we have lost 3 out of 4 local steel mills, the closing of U.S. Steel, AK Steel and Gerdau in Jackson is having a serious effect on over supply. Across the country people are trying to sell scrap to a shrinking market. We still have not seen the last of these steel mill consolidation and reallocation of assets. Our non-ferrous scrap has fared a bit better. Over the last 2 months Stainless Steel and Aluminum have remained steady. Copper has seen around a 15% rise in value. Tool Steels and Carbide have been dropping in value due to lack of demand.
As we enter the “dog days of summer” we are reminding all of our employees to stay safe and hydrate. I am proud of our team members who work in the heat and get the job done safely.
Wishing you all an enjoyable summer,
T.J. Yarema 103