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Russian plan for exchange scrap metal trading halted by coronavirus

• Tuesday, June 2, 2020
• Source:ferro-alloys.com

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• Keywords:Russian, exchange scrap metal trading, halt, coronavirus

[Ferro-Alloys.com] The Russian plan to shift trading of scrap metal for export onto an exchange has been put on hold indefinitely due to the lack of interest in pursuing such a labor-intensive move during the coronavirus pandemic.

 

The procurement of export-bound ferrous and non-ferrous scrap was supposed to become possible only on an exchange from April, with all transactions for state-owned scrap -- both export and domestic -- set to be exchange-traded too.

 

The move to distribute the 4 million mt a year of ferrous scrap Russia normally sells abroad via an exchange was expected to make Russian scrap more expensive, and potentially scarcer, due to the fees associated with the change. However, domestic and global events since the start of 2020 have meant the move being put on ice.

 

Source: S&P Global Platts

 

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