Scrap Metals Ferrous / Non Ferrous

Starting a scrap metal export business can be very lucrative, depending on the current price of scrap metal. Most export businesses are small, often run by sole proprietors. At its very basic, you need a supplier, a buyer and someone to handle the foreign transaction.

Sources of obsolete ferrous scrap include automobiles, steel structures, household appliances, railroad tracks, ships, farm equipment as well as other sources. Prompt scrap, also known as prime or new scrap, is generated as a by-product of industrial and manufacturing activities such as stampings, turnings, and clippings. Prompt scrap accounts for approximately half of the ferrous scrap supply.

This scrap is processed by the scrap recycling industry into commodity grade material that accounts for more than 60% of the total amount of raw steel produced in the United States. Such processing typically takes place at electric arc furnaces. As well, the U.S. exports ferrous scrap to approximately 90 countries around the world.