How Nickel Prices Influence Stainless Steel Scrap Value: 2025 Market Trends Explained
2025-08-06
Why Stainless Steel Scrap Prices Follow Nickel Market Trends
The provided chart shows that nickel prices have fluctuated significantly since fall 2024 — with noticeable peaks around October and March. However, during the first half of 2025, the overall trend has been slightly downward, stabilizing around $15,000 USD/ton.
Stainless steel scrap prices are closely tied to nickel trends. As nickel prices rise on the LME (London Metal Exchange), so does the value of stainless scrap. Alloys with higher nickel, chromium, or molybdenum content are generally valued more in the scrap market.
Current Market Overview in the US
According to Scraprice.com, stainless steel scrap prices in the United States tend to move in sync with global nickel trends. When nickel prices increase, stainless scrap follows. The connection is especially strong in grades like 304 and 316, which contain higher percentages of nickel. (scraprice.com)
2025 Market Trends
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In Western Europe and parts of Asia, stainless steel prices have been declining, mostly due to strong competition from low-cost Asian imports. This downward pressure has already forced some producers like Outokumpu to suspend expansion plans.
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In the U.S. market, ferrous scrap prices have shown short-term gains. Recent trends (June–July 2025) indicate a stable to slightly rising outlook, with monthly growth forecasts at around 2.8%
