In June scrap deficiency for domestic consumption totaled 100 thousand tons, or 26% of the needs.
According to Interpipe, in June metal companies needed 386 thousand tons of metal scrap, but received 286 thousand tons.
The domestic market has been experiencing this shortage since the beginning of the year. And the main reason for this is scrap export.
For the first time in the last 10 years the export share of scrap reached 45%, almost equaling the domestic consumption. And this contradicts the Scrap Balance. According to this document the export should be on the level of 23%, while consumption should constitute 77%.
In January-June scrap shortage totaled 445 thousand tons, or 21% of the half-year needs, while exports reached 739 thousand tons.
Thus in the first six months of 2015 31% of scrap went for exports, while 69% were reserved for domestic market. The most scrap is exported to Turkey. (Ukrainian metal)
