Recycled 360 – February ’25 Edition

by Chuck Finley | Feb 1, 2025 | Recycled 360

The first time I met the team at United Catalyst Corporation was years ago at a trade show. It was awesome to see Becky Berube work in the show with their son Cole Berube and other members of her team. I could tell there was a passion for the industry that we all love. I’ve done a podcast with Becky before, but this time I wanted to sit down with her son and her son‘s friend Coleman Neill, who is leading the sales team, and really pick their brain about what it’s like to be the second generation in a family business.

Generational Courage comes from parents who allow their kids the freedom to chase what they are passionate about within the business. There are so many different paths one can take from sales to accounting to production, but the next generation must have a passion for one of these parts of the business, and sometimes all of it as they progress.

I hope you enjoy this podcast. I hope you enjoy this newsletter, but more importantly, I hope these generational courage conversations from the up-and-coming generation that will take the baton and run with it give you encouragement that the industry will be in good hands. More importantly, it’s always refreshing to see young minds attack our industry and look for ways to make it better. Enjoy!

A Scrap Life: Episode 115 | Generational Courage | Cole Berube and Coleman Neill | UCC

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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 44,723 to 44,544.
📈 Copper Prices: Up from $4.07 to $4.25 / lb.
📈 Shred Feed: Up from 44,723 to 44,544.
📈 Hot roll Coil Steel: Up from 704 to 740 / tn.

Bear Case 🐻

📉 Pig Iron: Down from $446.50 to $422.50 / MT.

📌 Noteworthy Observations 🧐

The scrap and steel market is heating up! 📈 Harsh January weather has scrap suppliers struggling to keep up with orders.

HRC activity is up as buyers rush to get orders in before the tariffs hit. Mills are firm on prices, with Nucor’s spot price rising to $760 a ton from $750. Lead times are stretching due to increased contract buying and weather delays.

The USA’s announcement of 25% tariffs on all imports from Canada and Mexico will surely cause a great deal of volatility.

A Scrap Life: Episode 114 | Chad Ellerbrock | BULLS vs. BEARS | February Edition

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Here we are, nearly 10% of the way through 2025 and man, did January go by quickly. The month was filled with cold weather, football, and a whole lot of action from the new/old president. This past weekend was a bit hectic as the aluminum industry feverishly sought answers regarding the tariffs President trump was enacting against China, Canada, and Mexico. A 25% tariff was set for all imports from Canada and Mexico while material from China (and a small subset of Canadian energy) were to receive a 10% tariff. At the 11th hour, North American leaders were successful in reaching a compromise that prevented these tariffs beginning the morning of 2/4. Mexico agreed to send 10,000 soldiers to the border to prevent illegal drugs from crossing the border while Canada made new commitments on border security and launched a joint task force with the US aimed at combatting fentanyl and organized crime. While these actions have delayed North American tariff implementation until at least March 1, the scrambling we endured wasn’t all for not. Through the process it became evident that aluminum falls under the category of “Critical Minerals” and would only face the 10% tariff like oil and gas should tariffs move forward a month from now. Canada’s minister for energy and natural resources immediately headed to Washington DC, pitching the idea of a trade alliance between the US and Canada that would exempt energy and critical minerals from any sort of tariff. Considering 85% of the primary aluminum utilized in the US comes from Canada and that tariffs on oil and gas would negatively impact American consumers who are already struggling with inflationary increases, I can definitely see a carve out for these segments if the tariffs aren’t avoided entirely… Read More.

It is February 2025, the US election is behind us, and there is a new Administration, with policies that have geo-political and economic impacts that are yet unknown for Platinum Group Metals (PGMs).

Price Movement

When it comes to the price action for PGMs and scrap catalytic converters there are some historical and some forward-looking dynamics at play. As of today, the price of platinum is $987 per ounce, down approximately 29% from its 2014 price of $1,390 per ounce. Palladium has seen a rise to $1,055 per ounce, reflecting an increase of about 24.9% from its 2014 price of $845 per ounce. Rhodium has experienced a significant surge, with its current price at $4,850 per ounce, marking an impressive increase of around 297.5% from its 2014 price of $1,220 per ounce. A decade ago, the average price of a scrap catalytic converter was $50 and today is approximately $100 per unit. These changes highlight the varying market dynamics and demand shifts for these precious metals over the past decade.

Current Market Dynamics

Supply and Demand:

Platinum: The platinum market is expected to remain in deficit due to limited supply and increasing demand. South African production may see some improvement, but challenges like potential mine closures and reduced output persist.
Palladium: Palladium is also facing a deficit, driven by subdued secondary supply from recycling and a decline in demand due to the substitution of platinum in catalytic converters.
Rhodium: Rhodium prices are influenced by similar factors as palladium, with supply constraints and reduced demand from the automotive sector.

Read Full Article Here.

Excitement Grows in Idaho Around Waste Tire Recycling

The momentum is building in Idaho regarding the issue of waste tires, and we at Tire Reclaim are excited to be a part of the action. We are actively working on the creation of a tire recycling fund aimed at addressing and cleaning up the legacy tire piles that have been abandoned throughout our beautiful state for far too long.

A dedicated committee in the State House is carefully crafting a bill that will not only help fund these crucial cleanup efforts but also spark recycling initiatives across Idaho. As our services continue to expand statewide, we’re hopeful for the introduction of clear rules and active enforcement, that will guide the handling of waste tires.

To support the anticipated increase in tire recycling, our company is bolstering our capabilities to efficiently handle large volumes of waste tires. Whether it’s managing larger collections or processing higher quantities, we’re fully prepared to take on whatever is directed our way and ensure the job is done right.

I’m confident that a solution will be put in place that works for all of Idaho’s citizens, and I, for one, am thrilled to be part of this important process. Keep up the great work out there!

Talkin' Tires: Episode 12 | Thomas Parker | All American Tire Recycling