Scrap Prices North America

Radius Recycling Optimistic Despite Tight Market

October 25, 2023

Radius Recycling thinks that an end to the UAW strike could relieve pressure on a tight domestic scrap market.

Scrap supplies have fallen because of lower manufacturing, construction, and demolition activity as well as “the slowing economy overall,” Radius chairman, president, and CEO Tamara Lundgren said.

Inflation and higher interest rates have contributed to that weakness, Lundgren added.

But she struck an optimistic tone during the Portland, Ore.-based scrap recycler’s fiscal fourth quarter earnings conference call on Wednesday, Oct. 25.

Radius expects tighter scrap supply conditions until the economy improves. The resolution of the UAW strike, however, and increased manufacturing activity should help boost scrap flows. Incoming funds from the infrastructure bill should help as well, Lundgren said.

“While the weaker environment that we’re in today presents challenges, we have experienced cyclical downturns and volatility before. And have demonstrated our ability to navigate effectively through these periods,” she added.

Becca Moczygemba

Becca Moczygemba is a reporter and editor for Steel Market Update. She has been in the steel industry since 2017, specializing in flat-rolled products. Prior to joining SMU, she held positions at Mitsui & Co. and Kloeckner Metals. Becca has a BA in Organizational/Corporate Communication from the University of Houston and an MBA from Norwich University. Contact Becca at becca@steelmarketupdate.com or 724-720-1000.