For businesses that rely on metal for production and manufacturing, as well as those who sell scrap metal or process scrap metal, metal prices can have a big impact on the business’s bottom line. While it’s impossible to say for sure what 2021 will hold in terms of scrap metal prices, here’s a quick overview of some of the predictions. To stay in the know about metal prices, or to ask any questions about metal prices or scrap metal processing, reach out to our team at Scrap Metal Services, LLC today.
Supply Chain Holes Expected to Push Prices Higher
According to an article published in Recycling Today, metal prices may very well climb in 2021, at least during the first half of the year. This is likely to be fueled by holes in the supply chain caused by the pandemic and the pending widespread vaccination, both of which are expected to weigh heavily on the supply side of the metal market. On the demand side, global economic recovery is likely to influence and drive demand, creating a gap between supply and demand that drives metal prices upward.
Additionally, towards the start of the new year in the midst of winter weather, prices are also supposed to be a little bit higher as a direct result of the challenges of moving metal in cold, snowy, and icy conditions. Transportation is often hampered during the coldest months of the year, which impacts ports worldwide.
Metal Prices Predicted to Stay Strong Over Next Few Years
Recycling Today isn’t the only one that believes that metal prices will remain high over the next year, and perhaps even longer; iScrap App also predicts that “copper prices and other metals are going to be strong over the next few years.” This prediction is based on an increase in the demand for commodities in the past few weeks – a prediction that is expected to last into the future. The coming vaccine also indicates that markets are likely to remain strong. Oil prices have also increased recently, which suggests that there will be a rebound in most markets moving into the new year. Both ferrous and non-ferrous metal prices are anticipated to increase in 2021 and demand is likely to continue to rise.
Scrap Metal Services, LLC: Meeting Your Metal Processing Needs
The fact that metal prices are on the rise means that it’s a good time to sell your scrap metal. At Scrap Metal Services, LLC, we pay cash for your metal and handle all weighing, separation, and processing on-site. To learn more about selling to us or to ask a question about metal pricing or scrap metal recycling, reach out to us today.