August Scrap Metal Market Update – What You Need to Know

The scrap metal market has had a relatively quiet summer so far — but not without a few twists. After two months of steady steel scrap prices in June and July, suppliers were hopeful for a price increase in August. Unfortunately, that hope faded on August 5th when the U.S. administration decided not to impose a 50% tariff on Brazilian pig iron.

With steel demand already sluggish and prices under pressure, this decision helped lock August’s domestic steel scrap prices in place — no change across all grades nationwide.

What’s Affecting the Market Right Now
Several broader economic trends are weighing on the scrap market:

  • Manufacturing slowdown: U.S. manufacturing activity has contracted for five straight months, according to the Institute of Supply Management’s PMI.
  • Economic cooling: Growth and consumer spending have slowed noticeably in the first half of 2025.
  • Weaker job growth: The past three months have seen the slowest job growth in 15 years.

Despite these challenges, the U.S. economy has proven to be surprisingly resilient in recent years. That means a turnaround is always possible — but the short-term outlook remains cautious.

Non-Ferrous Metals Market Overview

Copper

Copper prices spiked to $5.91/lb on July 23 before dropping sharply, ending up in the low $4.00/lb range by early August. This drop followed a large pricing gap between U.S. (Comex) and international (LME) copper markets. Experts expect this imbalance to settle by early September.

Aluminum

Aluminum has been one of the brighter spots, with prices increasing over the past month. That said, summer slowdowns and mill maintenance outages are limiting demand. Still, certain alloys and extrusion scrap have seen upward price movement.

Nickel & Stainless Steel

Nickel prices have been relatively steady, with only minor decreases. Stainless steel scrap demand remains soft due to seasonal slowdowns and weak overseas markets. However, slower scrap flows have kept prices from falling.

What This Means for Scrap Sellers

If you’re selling scrap in August, expect:

  • Steel prices: Sideways movement with no immediate signs of a surge.
  • Copper: Some volatility, but possible stability by September.
  • Aluminum: Gradual price increases in certain categories.
  • Stainless/Nickel: Stable but slow-moving demand.

 

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