The value of metal scrap imported to Mexico returned to negative territory, in February registering a decrease of 27.4 percent, year-over-year, to $82 million, according to a SteelOrbis analysis of data from the national statistics agency Inegi.
The imported amount was the lowest in the last seven months. In addition, it is the sixth time in the last 12 months that imports were below $100 million per month. Considering only the months of February, 2024 is the lowest value in the last four years, only surpassed by the $20 million in 2020.
The consumption of scrap, local or imported, is related to steel production in Mexico. In the last 15 months (from December 2022 to February 2024) production decreased with a monthly average drop of 10.4 percent.
For its part, scrap exports from the Mexican market increased 54.0 percent in February, year-over-year, to $48 million. It is the eighth consecutive annual increase.
In the accumulated January-February, imports increased 0.4 percent to $197 million, a figure that is a new historical record for the first two months of each year. Exports accumulated $90 million, 60.2 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.