Scrap & Recycling
Ohio-based recycler PSC Metals posted a $1mn profit in the third quarter, flat with the prior year despite higher average selling prices and ferrous scrap shipments.
Revenue for PSC, a subsidiary of Icahn Enterprises, grew by $10mn to $120mn in the third quarter from a year earlier, driven by domestic steel production boosted by trade cases and the tariff on imported steel.
Capital expenditures in the quarter increased to $8mn from $2mn in the same prior-year period.
PSC in the quarter purchased a shredder in Alton, Illinois, adding to its operations in the St Louis area. PSC primarily ships ferrous scrap in the Ohio Valley and southern US.
With profit flat in the quarter, PSC said it is "committed to improving buying practices" to boost margins.
PSC's profit over the first nine months of 2018 doubled to $8mn from a year earlier.
SteelMint learned from industry participants that Turkey’s imported scrap market has observed limited bookings so far this week at almost stable prices. However, steel mills remain hesitant to buy aggressively amid high offers and weak finish steel demand.
SteelMint learned in recent conversations with industry participants that imported scrap offers to Bangladesh have moved down following softening sentiments in the global market.
India's imported scrap market has exhibited bearish market sentiments this week. Following decline in Turkey imported scrap prices, offers to India have also observed a downfall, however few market participants highlighted that sharp decline in offers is less expected in near term amid recent hike in freight rate of scrap cargoes.
SteelMint learned from industry participants that after a short silence, Turkey-based steel mill has booked a cargo as prices moved down as expected.
Imported scrap offers to India continued moving up following a rising trend in the global scrap market.
Sponge iron exporters from eastern India reported weak demand due to significant fall in imported scrap offers to the Bangladesh.