Argus tungsten market update and outlook – June 2024
Tungsten prices are at highs not seen for some time. This short update will help you to understand the fundamental reasons behind these high prices and give you an insight into the near to medium term outlook for the tungsten market.
The insights provided in this 10 minute video are taken from the new edition of Argus Tungsten Analytics service, presented by Mark Seddon, Principal Consultant.
The video update explores:
• Tungsten prices are at 6-year highs, principally affected by near-term supply issues in China
• Demand for tungsten is generally muted, especially in Europe, but the defence sector is driving demand given the current geo-political issues in eastern Europe and the Middle East
• The medium-term supply picture is likely to be boosted by new projects coming on-stream in 2H 2024 and 2025
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SDI moving aluminum plant near Miss. mill
SDI moving aluminum plant near Miss. mill
Houston, 17 June (Argus) — Steel and aluminum producer Steel Dynamics (SDI) intends to relocate its planned recycled aluminum slab plant to Columbus, Mississippi, where the company has been ramping operations at its new aluminum rolling mill. The Indiana-based company's disclosure comes after SDI decided to no longer build the facility in Benson, Arizona, saying on Wednesday that "differences with Arizona state officials risked the construction and operations of the facility". SDI will incur a roughly $16mn hit to its second-quarter profit from asset write-downs related to the move. Still, the company estimated significantly higher earnings compared with the first quarter because of strength across its steel and aluminum operations. The company anticipates higher sequential earnings from its aluminum segment, citing an increase in shipments and higher realized prices as SDI progresses with commissioning operations in Columbus. SDI, which runs the rolling mill under the name Aluminum Dynamics, expects to begin qualifying the facility's third cold-rolling mill in July and noted that it has begun shipping automotive flat-rolled products for customer approvals. SDI expects meaningfully higher profitability in its steel operations on a sequential basis because of strong demand and a wider metal margin. Average realized selling values rose by more than scrap raw material costs during the quarter. The spread between #1 busheling and hot-rolled coil hit a four-year high this week at $734/st, the widest since May 2022. Persistently low steel inventories and firm underlying demand supported robust order activity and higher selling prices during the quarter. Underlying US steel demand across non-residential construction, energy, automotive and industrial sectors remained solid, SDI said. The company expects earnings from its metals recycling operations to be on par with the previous quarter after unrealized non-ferrous scrap hedging losses offset increased ferrous and non-ferrous scrap shipments. SDI expects earnings from its steel fabrication operations to be lower sequentially because higher input costs offset stronger shipments and steady selling prices. Commercial construction, data center and warehouse projects, manufacturing and healthcare demand supported steel fabrication activity. Its order backlog is about 40pc higher than a year earlier, extending into 2027, SDI said. It expects further volume gains this year and into 2027, supported by investment in US manufacturing and infrastructure sectors and ongoing onshoring activity. The company expects second quarter earnings of $3.51-3.55/share, up from $2.01/share a year earlier. SDI will report second quarter earnings on 20 July. By Alex Nicoll Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
Sims raises earnings outlook on NF scrap gains
Sims raises earnings outlook on NF scrap gains
Pittsburgh, 17 June (Argus) — Global metals recycler Sims expects higher second-half earnings in its North American business, supported by stronger non-ferrous (NF) scrap markets and improved ferrous trading conditions. Australian-based Sims revised its fiscal 2026 full-year underlying earnings before interest and tax (Ebit) guidance for the year ending 30 June to A$420mn-435mn ($297-308mn), up from A$350mn-420mn in its 18 March outlook, the company said in an investor update. Stronger operating performance in its North American divisions, including North America Metals (NAM) and joint venture SA Recycling (SAR), underpinned the adjustment. US ferrous scrap prices rose across the first half of 2026, with national average shredded scrap reaching $419/gross ton (gt) delivered mill in June , up by $50/gt from June 2025 . A 50pc tariff on imported steel reduced imports and sustained robust mill utilization rates in the US. Non-ferrous scrap prices climbed sharply from January to May on tight supply and firm export demand. But zorba and copper scrap values retreated in early June after base metal prices fell and Asian buyers cut bids. Strength in NAM and SAR is expected to offset weaker conditions in Australia and New Zealand, Sims said. Elevated Chinese steel exports pressured ferrous markets in those regions, despite recent marginal improvements in Asian ferrous prices. The company expects underlying ebit at its e-waste recycling and data center services arm Sims Lifecycle Services to range from A$170mn-175mn, compared with A$165mn-185mn in its March outlook. Strong demand from global data center construction supported the division's earnings over the past year, but fluctuations in decommissioning programs may cause variability in volumes and earnings, Sims said. Sims will report full-year earnings in August. By Brad MacAulay Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
EU FeSi trends lower as safeguard quotas left unfilled
EU FeSi trends lower as safeguard quotas left unfilled
London, 17 June (Argus) — European ferro-silicon prices have trended down since the EU's safeguard quotas renewed in May, as plentiful supply in European warehouses weighed on import demand. European ferro-silicon prices have fallen by 3.6pc since the start of the third safeguard period on 18 May. Argus last assessed prices at €1,240-1,280/t ddp NWE on 16 June, after holding rangebound for three weeks on sluggish spot trade. An overhang of low-priced inventory imported ahead of the initial safeguard implementation in November 2025 has eased the pressure to import material and fill the quota. Much of this material remains in European warehouses as sellers anticipate higher prices once safeguard quotas begin to fill. "There are still a lot of cheap units in the system," a trader said. "Those holders are waiting for better numbers." The EU's smaller quota allocations for material from Brazil and other countries have already filled but larger quotas such as Norway and Iceland are taking more time. Many suppliers have withdrawn offers at current levels and delayed sales in expectation of stronger pricing later in the year, market participants said. Near-term trading is expected to remain muted because of slow underlying steel demand and a seasonal slowdown in July-August. "People are not offering at these levels," a trader said. "They are waiting for the quotas to fill further before selling." But considering the cost impact from a recent jump in silico-manganese prices , after quotas for material from India and other countries filled in May, buyers may push to secure low-cost units before ferro-silicon prices can follow the same trajectory. Once the allocated safeguard quotas are exhausted, ferro-silicon importers will have to pay a minimum import price, which is fixed at €2,408/t. This is much higher than the minimum import prices for other alloys included in the safeguard measures such as silico-manganese, which stands at €1,392/t. The minimum import cost for ferro-silicon is almost double current spot prices, making out-of-quota material particularly risky. This would leave trading firms that import beyond the allocated quota exposed to a significant loss unless prices in Europe increase. Silicon metal presents an alternative Silicon metal, which is also used as a source of elemental silicon and can partially substitute ferro-silicon, has become more attractive to buyers seeking to avoid higher ferro-silicon prices entirely. Some buyers have chosen silicon as a substitute because of lower cost imports coming from Angola and China, a ferro-silicon producer explained. Silicon metal, which was investigated but ultimately excluded from the safeguard measures in November, is a point of concern for European ferro-silicon producers that are unable to compete against lower-priced imports from third countries. Historically, silicon has traded at a premium to ferro-silicon, but the spread between the two has narrowed since 2022, making substitution more attractive despite silicon's higher absolute price. Argus last assessed European 5-5-3 grade silicon prices at €1,475-1,600/t ddp Europe works on 16 June. By Lauren Hadeed Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
EMR asks NJ court to lift Camden suspension
EMR asks NJ court to lift Camden suspension
Pittsburgh, 16 June (Argus) — Multinational scrap recycler European Metal Recycling (EMR) has sued the City of Camden in New Jersey seeking to overturn a 30-day suspension of the license for its automotive shredding facility following a late-May fire. The city suspended EMR's junkyard license on 4 June , halting scrap processing and collection at the site until at least 6 July. The suspension followed a fire on 29 May that EMR suspected to have been caused by a lithium-ion battery. EMR estimated the suspension has already cost about $10mn and is causing non-financial harm including cancellation of scrap purchase agreements, damage to commercial relationships and increased risk to jobs, according to a court filing in New Jersey's Superior Court. The company claims the city acted unlawfully by exceeding its legal authority, ignoring due process and reversing earlier commitments made to the facility. EMR entered a memorandum of understanding with the city in April 2025 after a major fire earlier in the year, pledging $6.75mn for upgrades and community projects, installing a $3mn fire-suppression system, reducing its footprint and increasing inspections of inbound material. The company is asking the court to bar Camden from enforcing the suspension and reinstate its license, or at least temporarily restore the license with proper notice and a hearing. EMR also says it has not seen objective evidence showing that the recent fire caused harmful off-site impacts or conditions posing an immediate threat to public health or safety, as alleged in the suspension notice. The company said it aimed to reopen operations by 15 June after implementing preventive measures before filing its lawsuit. It also said it lodged an appeal and hearing request on 11 June and sent a letter on 12 June seeking permission to resume. EMR hired a third-party firm immediately after the fire to review its facility, fire-suppression system and operational protocols. The company also joined a site walk-through with the New Jersey Department of Environmental Protection. Following those reviews, EMR outlined operational changes such as completing the fire-suppression system, reducing scrap piles by processing during the first shift, separating and storing bales of light iron from loose material, and creating a new receiving and inspection plan. The company warned that an extended suspension could affect more than 500 Camden employees, 179 of whom are city residents. EMR and the City of Camden did not respond to requests for comment. By Brad MacAulay Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.