The fall in prices on the global scrap market, which began in June, continued into August, although the rate of decline slowed significantly. In Turkey and the US, prices remained virtually unchanged, falling only slightly. The sharpest fall was recorded in China — by 3%, or $12 per tonne.

Turkey

For most of August, the Turkish market for imported scrap remained stagnant. Average prices for HMS 1&2 80:20 scrap fluctuated between $369 and $371 per tonne on a CFR basis in Turkey: European scrap traded between $368 and $374 per tonne CFR, whilst American scrap traded between $375 and $378.5 per tonne CFR. However, a turnaround occurred at the end of the month: demand recovered and prices rose sharply against a backdrop of raw material shortages and the conclusion of a new agreement with the US. US suppliers raised their quotations to $380/t CFR, whilst European sellers increased their indicative prices to above $375/t CFR.

The following factors can be identified as having an influence:

1. Logistics and freight. Low water levels in EU rivers have hampered the delivery of scrap to ports. The escalation of the conflict with Iran has driven up freight and insurance rates (freight rates from the US have reached $50/t, and from the EU — $38/t).
2. A shortage of scrap from the Black Sea and high-priced Asian scrap supplies have made scrap the only available raw material.

Market statistics confirm significant growth. In July 2026, scrap imports into Turkey rose by 12.4% year-on-year – to 1.66 million tonnes (average price: $415 per tonne). The largest suppliers in July were the US (440.8 thousand tonnes, up 161.4 thousand tonnes year-on-year) and the Netherlands (165.8 thousand tonnes). Overall, scrap imports for January–July rose by 4.4% year-on-year – to 11.36 million tonnes.

In September, market participants expect price pressure to persist. Forecasts for further increases in scrap prices range from $3–5/t to $10/t. However, the potential for growth is limited by low capacity utilisation at Turkish mills and an expected seasonal improvement in supply in Europe as logistics recover.

The European Union

In August, scrap metal prices in Western Europe stabilised following a fall of €25/t in July, remaining stable within the terms of the contracts. However, in Germany and Austria, prices fell by €10–15/t (in Austria, by up to €20/t) due to maintenance shutdowns and logistical problems. Prices stabilised towards the end of the month; they are expected to remain at current levels in September.

Mixed trends were observed in the markets of individual countries. In Germany, the price of E3 scrap fell by $6 over the month to $320/t on an Ex Works basis. The same grade in Italy rose by $7 in August to $371/t on a delivered basis. Prices on the Italian scrap market stabilised at low levels following a sharp fall of €30–40/t in June–July.

Over the course of the month, pessimism gave way to expectations of a recovery in September. The key factors include the following:

1. Logistics. A critical drop in water levels in the Rhine, Danube and Oder, as well as the closure of the Moselle Canal, led to freight being diverted to road and rail transport, which caused costs to rise sharply.
2. Supply and demand. The resumption of factory operations following the summer holidays supported demand, although the inflow of scrap metal from the automotive sector declined due to the automotive industry’s downtime. Restrained exports to Turkey and North Africa helped to maintain stock levels within the EU.

Germany remained a net exporter of scrap. In the first half of 2026, exports rose by 1% year-on-year – to 4.05 million tonnes (worth €2 billion), whilst imports increased by 5% year-on-year – to 2.24 million tonnes (worth €851 million). The main growth in shipments was to Italy and Austria, against a backdrop of a decline in exports to Luxembourg.

In September, prices are expected to stabilise and see a localised rise of €2–5/t as mills replenish their stocks, although hydrological issues will continue to put pressure on supply chains. In the Italian scrap market, a recovery in prices and a revival of the market are not expected until October at the earliest.

USA

In August, the US scrap market saw a slight fall in prices for commercial scrap, whilst prices for high-grade scrap remained stable. Average quotations for HMS 1&2 80:20 scrap in the US fell slightly, settling at $327/t on an East Coast delivery basis.

Over the course of the month, market sentiment shifted from pessimistic to neutral. In early August, mills managed to push prices down against a backdrop of ample stocks, summer maintenance and hot weather. In the second half of the month, sellers held their ground thanks to rising demand. The main factors were logistical issues: delays in the turnaround of half-wagons, as well as the lifting of strict loading regulations, which could have reduced wagon capacity by 12–18%. High domestic prices in the US provided additional support for the market.

September is seen as a pause in the downward trend, with prices shifting to a sideways trend. Experts expect prices to stabilise in September, followed by moderate growth in the fourth quarter. According to market participants’ forecasts, export prices to Turkey could rise to $390–395/t CFR.

China

During August 2026, average scrap prices in China fell by 3%, or $12, to $369/t on a CFR basis. Market conditions were characterised by restraint and caution. Market participants adopted a measured approach to purchasing against a backdrop of weak activity among end-users. Upward pressure on prices towards the end of the month was mainly due to a shortage of available scrap on the domestic market and rising prices for finished rolled steel.

Courtesy : https://gmk.center/