To most of us, asking questions like “will tariffs increase scrap metal pricing” rarely come to mind nor little do we care. The reality is though, you get into a trade war with Japan, Canada and Mexico, over steel..changes..they will be a coming and you heard it here first.
Will Tariffs Increase Scrap Metal Pricing
So taking a closer look this is what we know. At this moment, 68 persent of all steel manufactured here in the United States is produced from scrap metals. Most people don’t really even know that. So the thinking is this. If tarriffs are slapped on over the border steel, will be more costly and as a matter of fact, considering the billions of dollars of steel we import a hyear is collossal. Therefore, replacing even 33% of that imported steel, would create scrap metal pricing that we have never seen. Quite frankly, it could possible become mandatory to recycle steel as oppossed to a hobby or a part time hustle. Really if almost 2 billion dollars worth of steel, would probably mean tapping our natural resourcees to their max and creaate a major run on scrap.
Our best advice is this “Don’t worry about it”. If you worry about it, you’ll be trapped in the headlights wondering if the scrap you have to day will be worth more tomorrow. In reality, knowing our government, nothing happens quickly in Washington, so don’t hold your breathe, or those washers and dryers you have sitting in your garage. Steadily find ways to make that business as profitable as possible and grow it from there. If prices do increase, just repeat your efforts more often and find more place to increase your inventory to take care of the scrapping appetite. For now, no change, make no plans to retire to early.