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The impact of recession on the Steel scrap industry

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by - 8/8/2011 10589 Views

Will the prediction of GIA about global steel scrap market to reach 631.5 Million Tons by 2015 come true??

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Monday, August 08, 2011 (9:56:43 AM) : After a seriousdownfall of the steel scrap industry during the period of global recession, nowthe scrap business is again expected to bloom and stand by itself in themarket.

Among all the other metal scraps, Steel scrap is generally the most importantmetal which poses a great demand in all kinds of industries as a secondary rawmaterial. But, unfortunately, due to the economic depression all over theglobe, the steel industries were merely affected which resulted in the slowdownof the supply of steel scraps. And now, as the developed countries are into therecovery process, the steel scrap business has also started to show a gradualdevelopment in its supply and operations. A new market research report on steelscrap states that Asia-Pacific and Europe accounts for more than 70% of theglobal steel scrap consumption.

But still, there are certain obstacles that affect the growth of the steelindustry, the main hindrance being the limitations set upon in certaincountries on the export regulations of steel. These restrictions such as taxes,export quotas and prohibitions generally lead to an increase in price in themarket which consequently affects the healthy development of the industry.

So, with all these issues in regard to the scrap industry, the Global IndustryAnalysts (GIA) have published a latest report stating that the global steelscrap demand and consumption is going to hit a target of 631.5 million tons by2015, followed by the present hike in the steel scrap industries' vigorousoperations. But, have to wait and watch the game since anything can happen withthe global economy at any time.....

Category : Metal

Tags : Metal Scrap,


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About Jenisha

I am the Business Development Manager of RECYCLEINME.com which is a universal scrap portal since 2002. I deal with all the inquiries made at RIM and support our clients as much as I can to improve their scrap business. And am seriously engaged in the work of analyzing the current scrap ma .... more info

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