Germany reduced scrap exports to a record low in 2024

In 2024, Germany reduced exports of ferrous scrap by 11% compared to 2023, to 7.1 million tons. This is the lowest figure since the beginning of data collection (2006). This is evidenced by data from the German Federal Statistical Office Destatis, Kallanish reports.

The value of exports for the year amounted to €3.9 billion compared to €4.2 billion in 2023. The previous record low was recorded in 2009 at 7.48 million tons.

Last year, German scrap shipments to India decreased the most, by 300 thousand tons to 111 thousand tons. This pushed the country out of the top ten largest export destinations for German scrap. Supplies to Italy, the Netherlands and Turkey also fell significantly.

For the whole of 2023, Germany exported 7.61 million tons of scrap, which is 3% less than in 2022. This was the lowest export volume since the economic and financial crisis of 2009.

The German steel scrap association BDSV and the Association of German Metal Traders and Processors (VDM) recently published a position paper with requirements for the future federal government.

The business emphasizes the need for practical recommendations from the EU to remove regulatory barriers. In particular, the organizations point to high electricity prices, which complicate the work of metallurgical enterprises and reduce demand for raw materials.

In this regard, the BDSV calls for reducing electricity taxes and fees to the minimum level set in Europe, accelerating the expansion of renewable energy sources, and creating temporary mechanisms to support the industry during the energy crisis.

According to the association, in 2024, demand for scrap metal failed to exceed supply, as the electrification of the steel industry is progressing too slowly.

As GMK Center reported earlier, Germany is among the ten largest steel producers in the world according to World Steel. In 2024, the country increased its steel output by 5.2% compared to 2023 to 37.23 million tons. Pig iron production for the year amounted to 24.33 million tons (+2.9% y/y), and hot-rolled steel production amounted to 31.61 million tons (+3% y/y).

Despite the growth in steel production, smelting volumes remained below the 40 million tonne threshold for the third consecutive year, which corresponds to the recession level, WVStahl said.