Whether you’re a seasoned or new scrap metal seller, you may have noticed the fluctuating prices of these materials. Scrap metal price changes all the time, but the increase or decrease can sometimes be drastic, making it difficult to time your selling or keep track.
Scrap metal merchants typically look at the current market prices for different non-ferrous and ferrous metals, but it’s just one of the several factors that can affect your payout. Here are more factors you should know about:
Weight
A larger quantity of scrap metals will likely yield a higher offer. Many scrap merchants are middlemen selling scrap metals to manufacturers or processors that recycle them. With this in mind, consider saving your scrap metals until you have a truckload of them to sell. It also helps reduce the transactions and transportation costs involved, and you could get a higher price.
Quality
The quality of the scrap metals you’ll sell can determine the quote you’ll receive. You can expect a lower scrap metal price for metals covered in residue or insulation, corroded or with a mixture of other metals (i.e. aluminium with brass or steel bolts). It’s because the scrap merchant will need to clean the metals themselves.
Time of year
Generally, nice weather means a higher demand for recycled metals because the automobile and construction industries are busier on pleasant days and slow down in cold weather. Historically, steel scrap may have higher prices in the winter months.
Supply and demand
This applies to almost every industry, and scrap metal recycling isn’t an exception. Metals high in demand but low in supply are likely to sell at a higher price, and those highly common but low in demand will fetch a lower price. So, pay attention to the trends to determine the best time to sell scrap metal.
Location
Where you live can affect scrap metal prices. Usually, scrap metals aren’t processed at the merchant’s facility. They are transported to another location for processing, and the further they travel, the lower their price because the scrap yard must pay for the transportation costs. If you live in a place with higher costs for doing business, you can also expect low scrap metal prices.
International trade
Foreign markets can significantly affect scrap metal prices. Countries importing plenty of scrap metals can influence global prices when the demand changes. If they buy more, prices are likely to rise, and when they demand less, the prices may decrease.
The price of new metals
Scrap metal prices can be affected by changes in new metal prices. For instance, if new copper prices increase, manufacturers may have to consider recycled copper to cut costs, resulting in scrap copper prices rising to match the demand.
How much value does your scrap metal have?
Call Metal Force Recycling at 0403 191 732 to know the latest scrap metal price for every metal you might want to sell. We buy all non-ferrous and ferrous metals in Sydney and guarantee the most competitive cash offers with our extensive international and domestic exports and trades and our own recycling facility.