The value of metal scrap imported to Mexico remained in negative territory in March, decreasing 30.0 percent, year-over-year, to $79 million. In the last 12 months, the import of this input decreased nine times, according to a SteelOrbis analysis of data from the national statistics agency Inegi.
The amount imported was the second lowest in the last 15 months. In addition, it is the seventh time in the last 12 months that imports were below $100 million per month. Considering only the months of March, 2024 is the lowest value in the last four years, surpassed by the $46 million in 2020.
The consumption of domestic or imported metal scrap is linked to the production of steel. In Mexico, steel production accumulated for 16 months with consecutive annual declines until March (the most recent public information) with an annual reduction of 11.1 percent on a monthly average.
For its part, scrap exports from the Mexican market increased 15.2 percent in March, year-over-year, to $48 million. It is the ninth consecutive annual increase.
In the accumulated January-March, imports decreased 10.7 percent to $275 million, a figure that is the lowest in the last five years. Exports accumulated $137 million, 41.1 percent more than the same period last year.
According to the National Chamber of the Iron and Steel Industry (Canacero), 54 percent of the primary steel produced in Mexico is with metal scrap. In 2023, 16.2 million metric tons were manufactured.