Ductile Iron Scrap Price Guide 2025: U.S., Europe & Global Market Insights

Ductile iron scrap—derived from castings such as pipes, fittings, and automotive rotors—commands varying prices worldwide, driven by steel market indices, regional demand, and material grades. In the United States, typical scrap prices range from $176 to $210 per short ton, with metropolitan hubs like Los Angeles reporting $180–$250/t and national median indices near $276/t. European scrap markets trade “Grade 1 Old Steel” at approximately $160/t and steel scrap broadly at $155–$180/t. Prices in emerging economies such as India and China reflect local currency valuations but mirror global trends.

1. Overview of the Ductile Iron Scrap Market

Ductile iron (also called nodular or spheroidal graphite iron) is prized for its tensile strength and ductility in cast forms—commonly pipes, fittings, valves, and automotive components. When these products reach end-of-life, they enter the scrap stream as “cast iron scrap” or “ductile iron scrap,” a subset of ferrous recyclables. Globally, steel mills and foundries utilize this scrap in electric arc furnaces (EAF) and cupola furnaces to produce new castings and steel billets. The price paid for ductile iron scrap reflects not only the base steel scrap index but also the premium (or discount) for the cleanliness, alloy content, and ease of processing of cast iron shapes.

1.1 Definitions and Grades

• #1 Cast Iron Scrap: Clean, prepared castings free of attachments (hubs, bearings), typically from rotors and drums—commands the highest premium (≈$180–$210/t).

• #2 Cast Iron Scrap: Mixed cast iron with minor attachments or lighter gauge (<¼″ wall thickness), priced lower (≈$150–$175/t).

• Mixed Ferrous: Blend of cast iron, carbon steel, and auto scrap—trades at the broader ferrous index (≈$120–$160/t).

2. Market Trends & Price Indices

Scrap prices follow global steel indices, commodity futures, and regional supply–demand balances.

2.1 Historical Context

Over the past decade, ductile iron scrap prices rose from $100/t in 2015 to peaks above $300/t in 2022, driven by post-pandemic steel demand and supply chain disruptions. Since 2023, prices have stabilized around $250–$280/t in the U.S., with seasonal dips in summer due to increased scrap collection from demolition projects.

2.2 Futures & Forward Contracts

While cast iron scrap itself is not directly traded on metal futures exchanges, its value tracks the steel scrap contract on CME Group under the “US Domestic Steel Scrap” index. Buyers often hedge via forward agreements with local brokers to lock in prices three to six months ahead.

3. Regional Price Comparison

Price volatility is influenced by transportation costs, local mill demand, and environmental regulations.

4. Factors Influencing Ductile Iron Scrap Price

4.1 Steel Mill Demand & Capacity

EAF usage rate (presently ~70% in the U.S.) directly drives scrap intake; higher EAF utilization increases scrap bids.

4.2 Transportation & Logistics

Freight rates (USD/t-mile) surged 30% since 2021, adding $15–$25/t to delivered cost in remote markets.

4.3 Environmental Regulations

Controls on dioxin emissions from cupola furnaces encourage mills to favor clean cast iron scrap over mixed scrap, lifting premiums on #1 grades.

4.4 Seasonal Supply Cycles

Demolition seasons (spring/summer) boost scrap volume by 20%, temporarily reducing prices by $10–$15/t due to oversupply.

5. Quality Grades & Specifications

Accurate sorting maximizes value.

Note: Buyers require scrap to be free of non-ferrous contamination (>0.5% impurities leads to $15–$25/t penalty).

6. Recycling & Processing Impact on Price

6.1 Pre-Processing Requirements

Sellers who provide cut-to-size, degreased, and magnetically separated cast iron fetch higher bids (up to $215/t) versus loose bundles.

6.2 Environmental & Safety Compliance

Facilities that pre-treat oil-soaked parts and remove asbestos-lined components avoid buyer deductions and may receive ISO-certified “green scrap” premiums.

6.3 Transportation Consolidation

Pooling scrap with other local sellers into full-truckloads reduces per-ton freight, raising net returns by $5–$10/t.

Comparative Table: Key Scrap Price Drivers

FAQs

1. What is the current average price for ductile iron scrap in the U.S.?

As of mid-May 2025, the U.S. national median for iron & steel scrap stands at $276.00 per short ton, per Metaloop’s price index. When isolating ductile iron scrap (cast iron grades), prices typically range from $176.67 to $210.00 per ton. This variance reflects regional demand, grade purity, and pre-processing quality. For example, J.R.’s Advanced Recyclers quotes $210.00/t for #1 Cast Iron (clean rotors/drums), while Cooley’s Scrap & Salvage in the Midwest pays $180.00/t for the same grade. Metropolitan areas like Los Angeles command even higher premiums—$178.55–$250.00/t—due to stronger local scrap consumption and automotive recycling streams. Sellers should verify live quotes with local yards and factor in transportation costs that can add $10–$25/t to delivered price.

2. How do I maximize the value of my ductile iron scrap?

Maximizing scrap value begins with proper sorting and processing. Removing non-ferrous attachments (bearings, steel clips) and contaminants (oil, grease) avoids buyer deductions of $15–$25 per ton for each 1% impurity. Next, segregate #1 Cast Iron (clean, thick-walled castings) from #2 or mixed material. #1 grades fetch 10–20% premiums over base scrap rates, translating to $20–$40 extra per ton. Finally, bundle to full truckloads or coordinate with neighbors to reduce freight – every $5–$10/t saved in logistics directly improves net revenue. Consider ISO or local environmental certifications—some mills pay green-scrap premiums for responsibly processed materials.

3. Why do regional scrap prices vary so widely?

Regional price variation stems from:

1. Local Mill Capacity: EAF penetration is higher in the U.S. Midwest, boosting demand and prices in that region by up to $15/t compared to coastal areas.

2. Transportation Costs: Remote or rural areas add $10–$25/t in freight, whereas urban centers within 100 miles of a mill enjoy lower delivered prices.

3. Seasonal Supply: Spring demolition surges increase supply, dropping prices by $10–$15/t seasonally.

4. Environmental Fees: Jurisdictions with strict emission controls levy fees that buyers deduct from scrap bids. Urban recyclers in such areas may pay up to $20/t more for compliance.

4. How has the COVID-19 pandemic impacted ductile iron scrap prices?

The pandemic disrupted both supply (shutdowns of vehicle repair shops) and demand (slower steel production), causing scrap prices to plunge to under $150/t in mid-2020. However, government stimulus and robust post-pandemic construction drove steel output back above pre-COVID levels by late 2021, lifting scrap to historic highs near $300/t. Since 2023, prices have normalized around $250–$280/t as supply chains stabilized. Ongoing infrastructure spending in the U.S. and Europe supports sustained scrap demand.

5. Can I negotiate better scrap prices with buyers?

Yes. Leverage these tactics:

• Volume Discounts: Commit to multi-month volumes in exchange for locked-in prices, mitigating seasonal dips.

• Quality Guarantees: Provide certificates or on-site sampling data to prove impurity levels <0.5%, avoiding standard deductions.

• Freight Sharing: Offer to split logistics costs or deliver to the buyer’s nearest consolidation yard to reduce their haul.

• Payment Terms: Agree to shorter payment cycles (net 15 vs. net 30) for a modest price premium (often 1–2%).

Experienced sellers report improving net proceeds by $5–$15/t through such negotiations.

6. What is the future outlook for ductile iron scrap prices?

Analysts forecast moderate growth in scrap prices over the next 12–24 months, driven by:

• Continued EAF Expansion: U.S. EAF capacity is projected to climb to 75% of steelmaking by 2027, keeping scrap demand robust.

• Infrastructure Bills: Global infrastructure investments in water and transportation will consume reclaimed cast iron and steel.

• Green Steel Initiatives: Pressure to reduce carbon footprints favors EAF/ scrap use over blast furnaces, tightening scrap availability and elevating prices by $10–$20/t annually.

Sellers should monitor CME steel-scrap futures and secure forward contracts to hedge against price swings.

References:

• Ductile Iron – Wikipedia
• CME Group – Steel Scrap Futures and Market Data
• USGS – Iron and Steel Scrap Statistics and Information
• European Commission – Waste Recycling and Circular Economy
• US EPA – Metalcasting Sector Strategic Plan and Emissions Controls