DEC 10, 2025
The scrap metal industry can be rewarding and volatile at the same time. While you can make good money by selling scrap to a trusted scrap metal recycling company, the prices can vary significantly. It’s a good idea to understand the factors behind these fluctuations so as to maximize your return and stay ahead of industry trends. At RCM Recycling, we pride ourselves on providing excellent value to customers. Learn why scrap prices go up and down.
Scrap metal is part of a worldwide marketplace. When manufacturers need more raw material, whether for construction, automotive production, electronics, or appliances, they buy more scrap. Increased demand pushes prices up. On the flip side, when factories slow down or global manufacturing declines, scrap demand drops. This leads to lower prices at the yard, even if your material is high quality. Essentially, scrap prices rise when industries are busy and fall when they cool off.
Certain metals, like copper or aluminum, can become temporarily scarce due to mining disruptions, labor strikes, or international trade issues. When supply tightens, prices jump because manufacturers are willing to pay more. Conversely, if mines produce more metal than needed, or if imports increase, there may be a surplus. Scrap yards are then forced to lower prices to stay competitive. These cycles can shift quickly depending on the region and global conditions.
Scrap metal doesn’t stay at the yard; it’s shipped to refineries or smelters. Higher fuel prices make shipping more expensive, which pushes scrap prices up across the board. When transportation costs drop, it becomes cheaper for processors to move materials, and scrap prices may dip. Many sellers don’t realize that something as simple as rising diesel prices can directly affect how much they get paid for a load of aluminum.
Scrap metal is globally traded, so currency fluctuations, especially the value of the U.S. dollar, can impact pricing. When the dollar is strong, it becomes more expensive for foreign buyers to purchase U.S. scrap, which decreases demand and lowers prices. When the dollar weakens, foreign buyers purchase more, driving prices up. These shifts can happen daily, which is why scrap prices often change more frequently than people expect.
Scrap prices tend to rise during warmer months because construction, demolition, and manufacturing projects increase. This boosts demand for metal and raises prices. During winter, activity slows down because there’s less building, fewer renovations, and fewer cleanouts. With less scrap being produced and less demand from industries, prices usually decline.
Believe it or not, the number of scrap metal buyers in your area affects what you get paid. If several yards are competing for material, prices may be higher. If only one yard dominates the market, payouts may drop simply because they can afford to pay less.
Looking to sell your scrap? Have questions about the prices of scrap metal in your area? You’ve come to the right place. RCM Recycling is a locally owned scrap metal recycling company that offers top dollar for scrap and other recyclable items. We’ve been around for years, offering dependable services and exceeding customers’ expectations. If you have leftover construction materials, broken household appliances, power tools, electronics, or a junk car, then call the team at RCM Recycling. We’ll arrange a convenient pickup that works around your schedule, and you’ll get paid on the spot. Contact us today to get started.
