7-15-2025
To our loyal customers of Kimmel Scrap:
Every month our executive team discuss what should be covered in the monthly newsletter. This month I thought of an update of scrap metal prices and what makes it difficult to predict what, why and how much. Pretty much if not every day but for sure each week we hear of new tariffs affecting our trading partners. Recently we heard of Brazilian Tariffs on steel products coming to the US. One product that is used as a steel scrap substitute for manufacturing new steel is pig iron. Over 70% of imported Pig Iron in 2024 was from Brazil. What could the new tariff cause? Higher prices for steel scrap? Should we react to this news? Markets change demand wains and other factors can adjust this market.
Copper Scrap Prices. We have seen some significant increases in copper scrap prices over the last 30 days. A few reasons why? The proposed 50% tariffs on copper imports have caused an increased demand by consumers to stockpile against August 1st proposed target date. Strong global demand for copper-based products with the push toward green energy, EV’s and higher use in AI projects. Lack of expenditures by existing copper reserves to upgrade their systems to improve copper recovery at lower extraction costs.
I hope a few of these insights are helpful in looking at the exciting world of scrap metals. Wishing everyone a safe and enjoyable summer.
If you have any questions, please feel free to contact either myself, Ken Schutt or TJ Yarema and we would be happy to discuss with you.
Sincerely,
Robert Kimmel
President/CEO
