Shredded Scrap Price Trend and Forecast

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shredded scrap Price Trends by Country

itItaly
usUnited States
deGermany
esSpain

Global shredded scrap Spot Market Prices, Trend Analysis and Forecast

Price-Watch’s most active coverage of Shredded Scrap price assessment:

  • E40 FD Taranto, Italy
  • Del Alabama, USA
  • E40 EX Aviles, Spain
  • E40 FD Hamburg, Germany

Shredded Scrap Price Trend Q3 2025

In Q3 2025, global shredded scrap prices showed a negative trend driven by weak steel demand, excess supply, and subdued buying from key markets like Turkey and the EU. Economic uncertainty and softer construction and manufacturing activity led mills to reduce scrap intake, while inventory buildup pressured sellers to offer discounts.

Alternative raw materials such as DRI and HBI also undercut scrap demand in some regions. As a result, benchmark scrap prices like Turkey’s HMS 1&2 (80/20) fell, with similar declines seen in the U.S. and EU, reflecting broad downward pressure across the market.

USA

Shredded Scrap Domestically Traded price, DEL Alabama, USA, Grade- E40.

According to Price-Watch, In Q3 2025, shredded scrap prices in Germany have declined by 2.74% compared to Q2, driven by weaker demand from steel mills amid elevated energy costs and a seasonal slowdown in industrial activity. Reduced exports and heightened global competition have added further pressure, shaping a cautious market outlook.

Overall, the shredded scrap market has shown a modest downtrend influenced by both domestic and international factors, with uncertainty persisting into Q4. In September 2025, prices in Germany have fallen by 1.98%, reflecting reduced demand from the manufacturing sector and increased scrap supply, alongside broader global economic uncertainty and shifts in raw material sourcing.

Germany

Shredded Scrap Domestically Traded price, FD Hamburg, Germany, Grade- E40.

In Q3 2025, shredded scrap price trend in Germany have declined by 2.74% compared to Q2, driven by weaker demand from steel mills amid elevated energy costs and a seasonal slowdown in industrial activity. Reduced exports and heightened global competition have added further pressure, shaping a cautious market outlook.

Overall, the shredded scrap market has shown a modest downtrend influenced by both domestic and international factors, with uncertainty persisting into Q4. In September 2025, Shredded Scrap prices in Germany have fallen by 1.98%, reflecting reduced demand from the manufacturing sector and increased scrap supply, alongside broader global economic uncertainty and shifts in raw material sourcing.

Italy

Shredded Scrap Domestically Traded price, FD Taranto, Italy, Grade- E40.

During Q3 2025, shredded scrap price trend in Italy decreased by 3.92% compared to Q2 due to an overall downturn in demand from steel mills driven by seasonal slowdowns and lower production activity during summer holidays. Nonetheless, demand for shredded scrap in Q3 has been considered relatively tight, and the decline measured in shredded scrap prices has primarily from softening demand, with lower mills bids in the domestic market, and softening export market support.

Although this decrease is negligible, it is a reversal of sentiment following the modest gains in prices during Q2 and a sign of mills addressing cost control in a market with weak steel production levels and concerns over the uncertainty of their order books for future steel production.

In comparison, the shredded scrap prices in Italy decreased by 1.91% in September, in part due to steel mills having lesser demand for shredded scrap with construction activity slowing with the seasonal shift, and because domestic availability of scrap improved.

Spain

Shredded Scrap Domestically Traded price, EX Aviles, Spain, Grade- E40.

In the third quarter of 2025, the shredded scrap price trend in Spain reflected a decline of 3.13% compared to the preceding quarter indicating a softening market with lower demand from steel production, improving scrap availability, and stable import competition. Prices had stabilized in the second quarter of 2025 but declined in the third quarter indicating some measure of cautious purchasing and a more even marketplace and supply chain for scrap.

The decline in the price of shredded scrap also reflects the seasonal effect and macro pressures weighing on the marketplace, though participants seem to be on alert for shifting demand patterns or disruptions to supply which could reverse the trend.

In September 2025, the 2.0% decline in shredded scrap prices in Spain has been a reflection of lower demand from the steel manufacturing sector resulting from the slowing construction sector. Also, an improvement in availability of scrap due to increased levels of collection contributed to the downward pressure of pricing.

Shredded Scrap Price Trend Analysis: Q2 2025

According to the PriceWatch, In Q2 2025, shredded scrap prices have increased by $355.76 per metric ton, FD Taranto a 1.65% rise influenced by ongoing geopolitical tensions and tariff impacts. Trade restrictions and tariffs, especially among major steel producers, have disrupted supply chains and raised import costs, tightening domestic scrap availability.

Geopolitical uncertainties, including conflicts affecting raw material exports and fluctuating energy prices, have also increased operational expenses for scrap processors. These combined factors have created supply constraints and elevated costs, driving shredded scrap prices higher. The market is responding to these pressures with reduced supply flexibility and increased demand for domestic scrap, reinforcing the upward price trend amid an uncertain global trade environment. 

In the first quarter of 2025, the shredded scrap market experienced a notable price decline, with prices dropping by $350.68 per metric ton, FD Taranto representing a 2.57% decrease compared to the previous period. This downward trend suggests a cooling demand or an increase in supply, potentially influenced by shifts in global steel production, recycling rates, or raw material availability.

Such a price reduction could impact scrap suppliers and recyclers by tightening profit margins, while steel manufacturers might benefit from lower input costs. Market participants should closely monitor supply chain dynamics and macroeconomic factors to anticipate further price movements in the coming months. 

Shredded Scrap Price Trend Analysis: Q4 2024

In Q4 2024, the shredded scrap market is expected to experience a notable decline, with prices dropping by $359.95 per metric ton, FD Taranto representing a 5.12% decrease compared to previous levels. This downward trend may reflect a combination of factors such as softened demand in the steel manufacturing sector, increased supply of scrap materials, or shifts in global trade dynamics impacting raw material costs.

The price reduction could signal challenges for scrap suppliers but may also create more competitive purchasing opportunities for steel producers looking to optimize costs. Overall, this price adjustment highlights the volatility and sensitivity of the shredded scrap market to broader economic and industrial conditions in the final quarter of 2024. 

In Q3 2024, the shredded scrap market experienced a notable decline, with prices dropping by $379.38 per metric ton, FD Taranto representing a 7.98% decrease compared to the previous quarter. This downturn could be attributed to factors such as reduced demand from key industries like steel manufacturing, shifts in global supply chains, or an increase in scrap availability driving prices down.

The significant price correction may impact scrap suppliers’ margins and could signal a cautious market outlook moving forward, prompting stakeholders to reassess supply contracts and inventory strategies to mitigate potential financial strain. 

In Q2 2024, the shredded scrap market experienced a noticeable decline, with prices dropping by $412.26 per metric ton, FD Taranto representing a 1.28% decrease compared to the previous quarter. This downward shift suggests a softening in demand or an oversupply in the market, potentially influenced by factors such as reduced industrial activity, changes in raw material sourcing, or global economic uncertainties.

The modest percentage decrease, while not drastic, indicates cautious sentiment among buyers and sellers, prompting stakeholders to closely monitor supply chain dynamics and market trends to adjust procurement and sales strategies accordingly. 

In the first quarter of 2024, the shredded scrap market experienced a significant price increase of $417.60 per metric ton, FD Taranto representing a 7.59% rise compared to the previous period. This upward trend indicates strong demand pressures or supply constraints in the scrap metal sector, reflecting broader market dynamics such as increased manufacturing activity or disruptions in raw material availability.

The notable price hike suggests that buyers are willing to pay a premium for shredded scrap, potentially driven by tighter inventories and rising costs in related industries, which could impact downstream production costs and overall metal pricing in the coming months. 

 

Technical Specifications of Shredded Scrap Price Trends

Product Description

Shredded scrap consists of metal waste that has been mechanically processed into smaller, uniform pieces through shredding. It is commonly sourced from end-of-life vehicles, manufacturing offcuts, and industrial metal waste. Shredded scrap is widely used in the recycling industry as a raw material for steelmaking and metal recovery, helping reduce environmental impact and conserve natural resources. Its uniform size and composition make it ideal for efficient melting and reprocessing in foundries and steel plants. Additionally, shredded scrap supports sustainable manufacturing practices across automotive, construction, and heavy machinery sectors.

Identifiers and Classification:

  • HS Code – 720449


Shredded Scrap Grades Specific Price Assessment:

  • E40


Shredded Scrap Global Trade and Shipment Terms

  • Quotation Terms (Product & Country Specific): 25-30 MT
  • Packaging Type (Product & Country Specific): Container

Incoterms Referenced in Shredded Scrap Price Reporting

Shipping Term  Location  Definition 
FD Taranto   Taranto, Italy  Domestically Traded Shredded Scrap price in Italy 
Del Alabama  Alabama, USA  Domestically Traded Shredded Scrap price in USA 
FD Hamburg  Hamburg, Germany  Domestically Traded Shredded Scrap price in Germany 
EX Aviles  Aviles, Spain  Domestically Traded Shredded Scrap price in Spain 

*Quotation Terms refers to the quantity range specified for the Shredded Scrap being quoted or offered in a commercial transaction.

**Packaging Type refers to standard packaging size commonly used for Shredded Scrap packing, ease of handling, transportation, and storage in industrial and commercial applications.

Key Shredded Scrap Manufacturers

Manufacturer 
Tata Steel Recycling 
Bless Green Steel Pvt Ltd 
CERO 
G R Metalloys Pvt. Ltd. 
T & Y Iron and Steel Pvt. Ltd. 

Shredded Scrap Industrial Applications

shredded scrap market share end use

Historically, several events have caused significant fluctuations in Shredded Scrap prices

  • Supply Chain and Export Restrictions (2022-2023): Disruptions in scrap collection, transportation bottlenecks, and export restrictions from major scrap-exporting countries caused supply shortages, resulting in significant price volatility and upward pressure on shredded scrap costs. 
  • Global Steel Production Growth (2022-2023): Rising steel output driven by infrastructure projects and industrial expansion worldwide heightened the need for shredded scrap, contributing to sustained price increases during this period. 
  • Automotive and Manufacturing Sector Recovery (2020-2021): As global economies began recovering post-pandemic, increased production in the automotive and manufacturing sectors drove up demand for shredded scrap as a raw material for steelmaking, pushing prices higher. 

Why PriceWatch?

PriceWatch is your trusted resource for tracking global shredded scrap price trends. Our platform delivers real-time data and expert analysis, offering deep insights into the key factors driving price fluctuations in the shredded scrap market. By monitoring critical events such as geopolitical tensions, supply chain disruptions, and economic shifts, PriceWatch keeps you fully informed of market dynamics.

In addition, PriceWatch provides detailed forecasts and updates on production capacities, enabling you to anticipate market changes and make well-informed decisions. With PriceWatch, you gain a competitive edge in understanding all the elements that influence shredded scrap prices worldwide. Stay ahead of the curve with PriceWatch’s reliable, accurate, and timely shredded scrap market data.

Track PriceWatch's shredded scrap price assessment on a weekly basis since 2015 onwards, along with short-term forecasts, and get access to the detailed report in a downloadable format.

Data Collection and Sources​

  • Real-Time Market Data: We gather information from global exchanges, industry reports, and proprietary sources to provide timely and accurate assessments. 
  • On-the-Ground Intelligence: We incorporate insights from producers, suppliers, and end-users across key production regions to offer a comprehensive view of market dynamics. 
  • Supply Chain Monitoring: We track the availability and cost of raw materials to evaluate supply conditions and price pressures. 

Event Tracking and Impact Analysis​

  • Geopolitical Tensions: We monitor political and economic events that impact supply chains and the flow of shredded scrap production. 
  • Market Demand Shifts: Our analysis considers global shifts in industrial and consumer demand, particularly in sectors like automotive, electronics, and renewable energy. 

Production Capacity and Supply Analysis

  • Current Production Monitoring: We assess operational Shredded Scrap production facilities and their output levels. 
  • Future Capacity Projections: We forecast future production capabilities, factoring in technological advancements and production expansions. 

Demand Forecasting

  • Sectoral Demand Analysis: We evaluate demand from major sectors such as automotive catalysts, renewable energy, and electronics. 
  • Regional Demand Dynamics: We assess demand from key markets and regions, especially China, India, the Netherlands, and the USA, and their impact on global pricing. 

Pricing Model Development

  • Dynamic Pricing Models: Our pricing models incorporate real-time data, historical trends, and market projections. 
  • Scenario Analysis: We perform scenario-based forecasting, assessing potential market conditions under various economic, geopolitical, and technological developments. 

Reporting and Client Support

  • Comprehensive Reports: We provide actionable insights, forecasting, and detailed analysis of current and future price trends. 
  • Ongoing Support: PriceWatch delivers continuous updates and expert advice tailored to your business needs. 

Shredded Scrap Market Price Trend provided by PriceWatch is a base price and excludes VAT/Taxes, discounts, or offers. The information herein is accurate to the best of our knowledge as of the date indicated and is provided solely for the convenience of our customers as a reference for shredded scrap. PriceWatch disclaims any warranties or representations regarding the accuracy of results derived from this information. It is the sole responsibility of the user to assess the suitability of the product for their specific application. This document does not constitute an endorsement to use the product in violation of any applicable patent rights.

Raw Material Availability – The supply of scrap metal, including the quantity and quality of shredded scrap, impacts pricing. Limited availability raises prices.

Global Steel Prices – Shredded scrap is a key input for steel production. Changes in global steel prices often reflect directly on scrap prices.

Demand from Steel Mills – Demand fluctuations from steel mills and foundries influence shredded scrap prices. Higher demand for recycled steel tends to increase prices.

Processing and Transportation Costs – Costs associated with shredding, sorting, handling, and transporting scrap affect the overall price.

Environmental Regulations – Regulations on recycling, emissions, and waste management can impact operational costs and, consequently, scrap prices.

Trade Policies and Tariffs – Import/export restrictions, tariffs, and trade agreements affect international scrap prices.

Market Competition – The number of scrap suppliers and their pricing strategies influence market prices.

Currency Exchange Rates – As shredded scrap is traded globally, currency fluctuations can impact prices in various regions.

The availability and cost of raw materials such as high-carbon steel and alloy coatings directly affect shredded scrap production costs and pricing.

Shredded scrap prices tend to increase with inflation, driven by higher raw material and processing costs. However, consistent demand from steel manufacturing and recycling industries supports price stability even amid wider economic changes.