Hillfoot bring you an update on the April 2021 surcharges for carbon and alloy steels.
Peter Morris, Supply Chain Director, said: “In an surprising move, a huge increase in scrap surcharges of £50/tonne has been observed as we entered April.
Scrap surcharge now sits at a high of £348/tonne, up 102% in just the last 4 months.
A primary driver for this increase continues to be the consumption from China as their steel production has increased. The other key driver being global iron ore prices, which are currently 96% higher than they were 12 months ago, this alone translates to a $137/tonne increase of produced steel.
Nickel surcharges saw a slight reduction into April resulting in a leveling off of surcharges for the nickel bearing grades."
If you have any questions regarding how this may effect your raw material demand, please contact the Hillfoot team for advice on your material requirements, and price and availability information. We will be happy to discuss further.
You can also click here to find out how the changes have affected the surcharge for specific steel grades.