Well, here comes the craziness of the holidays trying to mix work with pleasure and gratefulness for another year of opportunity to get better at what we do!
I wish I had good news on the Ferrous scrap front, but I’ll let Chad deliver the downers this month, but be patient Bulls our time is coming with Trump elected I feel like there’s optimism in the air which should lead the stronger demand on the new steel side.
We look forward to a great 2025. We can’t thank everybody enough who has supported this newsletter, our podcast and our businesses over the last year.. we are grateful for this industry, and the people that are a part of it, but more importantly, we are grateful for all the hustlers go-getters and high achievers that we get to deal with on a daily basis.
2025 is the year to FAFO what’s possible!
Hope you’re all doing great! 🌟 This month, we’re diving into the latest trends in the steel and scrap metal industry. Get ready for a wild ride through market ups and downs, each one telling a story of opportunity.
📊 Month-to-Month Analysis 📈
Bull Case 🚀
- 📈 Dow Jones Industrial Average: Up from 41,763 to 44,723 (7% increase).
Bear Case 🐻
- 📉 Copper Prices: Down from $4.33 to $4.07 / lb. (6% decrease).
- 📉 HMS 1&2 (80/20) cfr Turkey: Down from $368.83 to $340.46/ton (7.7% decrease).
📌 Noteworthy Observations 🧐
Scrap consumers are expected to reduce their buying programs this month due to the ongoing weak US steel market, potentially leading to a rare drop in year-end scrap prices.
According to a survey by Argus, most buyers and sellers anticipate a price decline across the US this month, driven by weaker demand and an oversupply in certain regions, especially in the south.
Some market participants predict prices could drop by up to $20 per gross ton from November in most areas. However, fewer scrap collection days, harsh winter weather, and supplier optimism for early 2025 might limit the downside.
Significant declines in the export market through November for both bulk and containerized shipments have further contributed to the bearish sentiment for the upcoming trade.
This time of year is always special, but also always busy. It’s not only hectic personally (shopping, holiday parties, etc), it’s hustling and bustling professionally. Making the final pushes for the current year while lining out and finalizing deals for the coming year definitely makes the weeks between Thanksgiving and New Year’s just fly by. I will be trying to soak in more of the season this year and hope you do the same.
Aluminum pricing has remained relatively flat over the month of November, give or take a couple of pennies. And while the markets aren’t doing anything crazy, there are definitely some major headlines out there that are impacting things. The biggest being all the tariff talk from President-elect Trump. He’s vowed to impose an additional 10% tariff on goods from China and 25% tariffs on all products from Mexico and Canada when he takes office late January. These tariffs are aimed at forcing these countries to take a stronger stance on curbing migrants and illegal drugs that are flowing into the US – a promise Trump made during his presidential campaign.
Let’s first unpack the North America impact. While markets seem skeptical that these tariffs on Canada and Mexico will materialize, the impact if they do would be substantial. Roughly 85% of the primary aluminum utilized in the US comes from Canada and a 25% tariff would result in approximately 30c of additional cost to source P1020 domestically. The tariff on value added aluminum products (VAPs) like billet, slab, and wire rod would drive those upcharges as well. In 2024 about 65% of the US VAPs came from Canada… Read More.
At Tire Reclaim, we believe in continuous improvement and growth – even during the slower months. While many tire recycling companies experience a slowdown during the winter, we’ve been hard at work expanding and perfecting our processes to better serve you. Here’s a look at the exciting developments happening right now:
1. Expanding Operations in Idaho 🔧
Though the number of tires in circulation may decrease in the winter, we’ve been using this time to make significant improvements. We’re focused on advancing our dock and grade operations throughout Idaho, ensuring we’re prepared for the upcoming months. A major part of this is our new yard in Heyburn, ID. While it’s requiring significant time and resources, we’re confident this facility will be a game-changer for the Magic Valley and eastern Idaho, bringing expanded services to the area.
2. Growth in Oregon 🌲
Our expansion doesn’t stop in Idaho. We’re also thrilled to announce that new dock and grade systems are coming online in Eastern Oregon! This addition will allow us to serve our clients even better by improving efficiency and providing more comprehensive recycling solutions.
3. Perfecting Our Processes 📈
At Tire Reclaim, we are constantly looking for ways to enhance our operations. From upgrading equipment to refining our recycling methods, every step we take is aimed at offering you the highest quality service. Our team is dedicated to using this time to fine-tune our processes so we can better serve you now and in the future.
We’re excited about these developments and can’t wait to show you what’s to come! As always, thank you for your continued trust in Tire Reclaim. Stay tuned for more updates, and feel free to reach out with any questions or feedback.
Wishing you a wonderful month ahead,
We’re cruising into January (where has the year gone?!) and as we get closer to the beginning of the new year we all start thinking of 2025’s New Year’s Resolutions. What do we want to tackle in the new year that will change our businesses, relationships, and current situations for the better.
Some of you may already have things in mind (read: workout more, less soda, post more, etc.) We’ve all been there or will be there. I think the idea of a fresh start is great, but putting so much pressure on the beginning of a new year and right after the holidays makes some of these goals daunting. Even better, why not start now? Treat every week as a fresh start, and you’ll meet your goals that much sooner.
If you’re not prepared to start on Monday, then let’s take some bite sized chunks to be ready for the new year. If your goal is to post more on Linkedin or other platforms, either for your business or yourself, let’s start by posting 2-3 times a week Monday, Wednesday and Friday. This allows you to prepare for the posts and gather images or videos and think about the content you want to share. If you’ve already got the gold star in posting, but want to up your content levels… let’s try using more videos showcasing what you’re doing at your business or in your day to day life.
Unsure what to post? Check out Recycled Media’s 30 Days of Content Ideas to help get the ball rolling!
This industry is full of incredibly knowledgeable people that have a story to share. In the new year I challenge you all to be a bit more vulnerable in your posts and let yourself be seen. I think you’ll be pleasantly surprised with how much more we all have in common, and how far our connections reach.
Cheers and happy posting!
Disappointing December predicted for overseas ferrous market | DEC 2024 https://www.recyclingtoday.com/news/steel-ferrous-scrap-recycling-pricing-exporting-usa-uk-turkey-india-december-2024/
Cobalt prices face continued pressure as EV makers shift to other battery metals | 2024 https://apple.news/As2MU3hbpQCeKrwhv7ANa0g
Recycling International’s fourth edition of recycling’s most inspiring people and practices from around the world is out | DEC 2024 https://recyclinginternational.com/business/top-100/indias-metal-recycler-sanjay-mehta-leads-top-100/59100/