Mexico’s domestic ferrous scrap prices increased in the Central region and were mixed in the Bajío and North regions this week on higher demand.
Mills consumed more scrap as they ramped up production during the week to make up for the lost time due to the natural gas shortage last week. Scrap prices are also expected to rise by $10-20/mt in early March in tandem with the anticipated increase in the US domestic ferrous scrap market, which may rise by $30-50/mt.
In Central Mexico, the weekly Davis Indexes for all grades rose by MXN210/mt with #1 HMS increasing to MXN7,860/mt delivered Mexico consumer, P&S 5ft climbing to MXN8,010/mt delivered, shredded settling at MXN7,810/mt delivered, machine shop turnings rising to MXN7,460/mt delivered, and #1 busheling settling up at MXN8,060/mt delivered.
In Bajío, the weekly Davis Index for #1 busheling rose by MXN50/mt to MXN9,100/mt delivered Mexico consumer, P&S 5ft moved up by MXN237/mt to MXN8,700/mt delivered, and #1 HMS increased by MXN75/mt to MXN8,250/mt delivered. However, shredded remained unchanged at MXN9,200/mt delivered, and machine shop turnings fell by MXN450/mt at MXN7,150/mt delivered.
In North Mexico, the weekly Davis Index for #1 busheling rose by MXN167/mt to MXN9,500/mt delivered Mexico consumer, and P&S 5ft and shredded moved up by MXN67/mt to MXN9,200/mt delivered, and MXN9,150/mt delivered, respectively. Machine shop turnings, however, fell by MXN250/mt to MXN7,800/mt delivered, and #1 HMS declined by MXN83/mt to MXN8,250/mt delivered.