Domestic ferrous scrap prices increased further in Mexico on demand that has strengthened over the past two weeks.
Ferrous scrap prices in the Bajío region rose by MXN350/mt ($16) from last week and are expected to continue their upward movement as scrap flows improve and the automotive industries in the region look to ramp up their production volumes, a market participant with operations in the North and Bajío regions told Davis Index.
In Northern Mexico, the weekly Davis Index for HMS 1&2 (80:20) increased by MXN228/mt to MXN5,300/mt delivered Mexico consumer, while P&S 5ft and #1 busheling climbed by MXN211/mt and MXN200/mt to MXN5,800/mt delivered and MXN6,100/mt delivered, respectively. The index for machine shop turnings moved up by MXN191/mt to MXN4,900/mt, delivered, while shredded remained flat at MXN5,800/mt delivered.
The weekly Davis Index in Bajío for HMS 1&2 (80:20) increased by MXN450/mt to MXN5,850/mt delivered Mexico consumer and went up for machine shop turnings by MXN500/mt to MXN5,050/mt, delivered. The index for #1busheling and P&S 5ft rose by MXN450/mt and MXN450/mt to MXN5,850/mt delivered and MXN5,950/mt delivered, respectively, while shredded remained unchanged at MXN5,300/mt delivered.
In Central Mexico, the Davis Index for HMS 1&2 (80:20) climbed by MXN300/mt to MXN5,175/mt delivered Mexico consumer, and increased for machine shop turnings by MXN300/mt to MXN4,675/mt delivered. P&S 5ft and #1 busheling also moved up by MXN87/mt and MXN600/mt to MXN5,400/mt delivered and MXN5,900/mt delivered, respectively, while shredded remained unchanged at MXN5,200/mt delivered.