Mexico’s domestic ferrous scrap prices increased on strong demand in the North and the Central regions on Friday.
Prices in Central and Bajío are expected to rise by MXN300/mt next week as Deacero, Mexico’s largest steelmaker plans to continue lifting its purchase prices for scrap.
Mexican mills are mulling importing scrap from the US as prices for some scrap grades in Mexico are higher than the US domestic prices after Detroit mills dropped secondary grades prices by $20/gt this week.
In North Mexico, the weekly Davis Indexes for #1 HMS rose by MXN84/mt to MXN8,567/mt delivered, P&S 5ft increased by MXN50/mt to MXN9,733/mt and shredded climbed by MXN16/mt to MXN9,633/mt delivered Mexico consumer. The index for machine shop turnings rose by MXN175/mt to MXN8,067/mt delivered, and #1 busheling increased by MXN119/mt to MXN10,083/mt delivered.
In Central Mexico, the weekly Davis Indexes for #1 HMS, P&S 5ft, shredded and #1 busheling rose by MXN350/mt to MXN9,050/mt delivered Mexico consumer, MXN9,500/mt delivered, MXN9,650/mt delivered, and MXN9,750/mt delivered, respectively. The index for machine shop turnings rose by MXN50/mt to MXN8,650/mt delivered.
The weekly Davis Indexes in Bajío for #1 HMS fell by MXN300/mt to MXN8,300/mt delivered, shredded dropped by MXN670/mt to MXN9,300/mt, and machine shop turnings declined by MXN495/mt to MXN7,425/mt delivered. The indexes for P&S 5ft rose by MXN225/mt to MXN9,100/mt delivered, and #1 busheling climbed by MXN450/mt to MXN10,100/mt delivered.