Stainless scrap prices in both Italy and France are increasing €100/tonne ($119.6/t) month-on-month. Values however are not rising enough when the recent increases in nickel prices are taken into account, Kallanish hears from sources.

“Demand remains this month’s problem. The market is very quiet and as purchasing prices for us have also increased, margins are tight. Today prices paid by the mills should be at least €80/tonne higher,” a French merchant comments.

An Italian mill is going to close for two weeks due to a lack of orders, demonstrating that demand for grade 304 material is also at low levels in Italy. This is happening in a European stainless steel market still plagued by low orders and destocking, Kallanish hears.

In France prices for grade 304 stainless scrap are now in the range €1,120-1,130/t delivered, and likewise in Italy at €1,140-1,145/t delivered.

Grade 316 scrap prices meanwhile are being supported by both high molybdenum and nickel prices. The grade sells at €1,580-1,600/t delivered in Italy and €1,450-1,480/t delivered in France. As reported, Italian merchants are noticing poorer availability for this quality than are their French counterparts, sources say.