Scrap Metal Prices Hit All-Time High, Dealers Buy All They Can | New

Most of the metals recycled in Finland return to the domestic market, but some are shipped to Asia and the Middle East.

Tapio Kivineva, a businessman from Köyliö, delivered a shipment of scrap metal to Eurajoki on a cold day on December 1. Image: Tapio Termonen / Yle

The price of scrap is now higher than ever, according to Juuso luodesmeri, of which Eurajoen Romu owns a 25 hectare junkyard filled with bicycle frames, cars and old sinks.

Located in Eurajoki, Satakunta, in western Finland, this is the largest operation of its kind in the country.

“There is traffic inside and outside here all the time. Big factory trucks, people with trailers, ”says Luodesmeri.

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Around 150,000 tonnes of scrap pass through the Eurajoen Romu site every year. Image: Tapio Termonen / Yle

Factories and technology

A massive quantity of metal passes each year through the Eurajoen Romu scrapyard, up to 150,000 tonnes.

Where exactly does the metal come from?

“A lot of old technologies and factories are currently being dismantled. A good part also comes from the collection of recycling”, explains Juuso Luodesmeri.

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Businesses and individuals drop off the scrap metal. Any type of metal is suitable, as the job site can sort different metals with great precision. Image: Tapio Termonen / Yle

Various metals, such as aluminum and copper, are sorted from scrap. While the final product is mainly sent to the domestic market for processing, there are relatively few metal refineries in Finland.

“Domestic needs come first. Then the metals are shipped to the Far Eastern market and from the port of Rauma to Turkey,” says Luodesmeri.

China and Turkey are the world’s most important markets for scrap metal.

“In practice, the Turkish market determines the price level in Europe”, explains Luodesmeri.

The story continues after the photo.

The final product is fine-grained crushed metal which is sold to domestic industries, Asian market and Turkish steel mills. Image: Tapio Termonen / Yle

Prices rebound

When the first wave of the coronavirus pandemic hit, stock markets and commodity prices fell, but are now on the rise.

“The price fluctuations are very sudden. I don’t think the price of the metal would have ever been so high before,” said Juuso Luodesmeri.

According to Luodesmeri, prices are affected by a construction boom in the United States.

“During the lockdown production stopped, but now it has restarted and the stock markets are also on the rise. This has affected the price of metals.”

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