US ferrous scrap, metallics imports surge in March ahead of new tariffs

US steelmakers ramped up imports of key raw materials in March in anticipation of potential new import tariffs imposed by the Trump Administration the following month, bringing monthly ferrous scrap import volumes to a record high, according to trade data going back to January 1990.

US ferrous scrap import volumes were 459,335 mt in March, up 59% from February and a 110% increase from March 2024, according to S&P Global Market Intelligence's Global Trade Atlas on May 28. Ferrous scrap imports from Canada rose 41% month over month to 228,227 mt, while imports from Mexico climbed 38% over the same period to 67,620 mt.

US imports of No. 1 bundles or prime scrap, similar in grade to No. 1 busheling traded in the domestic market, were 260,218 mt in March, also a multi-year record high. The monthly import total included 67,439 mt from Canada, 54,385 mt from Mexico, 52,800 mt from the UK, 38,462 mt from Poland, 27,430 mt from the Netherlands, and 19,702 mt from Sweden.

US ferrous scrap import figures were determined using HS codes 7204410020, 7204410040, 7204490020, 7204490040, 7204490060, 7204490070 and 7204490080.

Platts assessed US domestic Midwest No. 1 busheling prices unchanged on the day at $425/long ton on a delivered mill basis May 28, while shredded scrap prices were assessed steady at $380/lt delivered Midwest.

The Trump Administration briefly imposed 25% tariffs on most goods from Canada and Mexico including ferrous scrap and pig iron for one day in February and two days in March before those products were finally excluded from tariffs on April 2 as USMCA-compliant goods. But all imports from the UK and EU have been subject to a 10% tariff beginning on April 9.

US pig iron import volumes were 566,053 mt in March, more than triple the February volume and a 65% increase from March 2024. Pig iron imports from Brazil rose to a one-year high at 406,313 mt, followed by 131,469 mt from Ukraine, 16,170 mt from South Africa and 12,101 mt from Canada.

All imports from Brazil, Ukraine, South Africa and other suppliers such as India, Indonesia and Angola have been subject to a 10% tariff since April 9. Platts assessed the weekly US pig iron import price at $445/mt CIF New Orleans May 23, down $25/mt from one week earlier.

US direct-reduced iron imports rose in March to the highest level in at least four years at 180,751 mt, more than double the February volume and a 65% increase from March 2024. All DRI imports in March arrived from Trinidad and Tobago, which has also been subject to a 10% import tariff since April 9.

US ferrous scrap exports in March were 931,795 mt, down 12% from February and a drop of 19% from March 2024. Turkey was the top destination for US scrap exports in March with 311,361 mt, followed by Mexico with 64,880 mt and Bangladesh with 64,077 mt.

The US export price for shredded scrap was assessed by Platts at $344.25/mt FOB US East Coast on May 28, unchanged on the day.