3 Reasons Why Copper Scrap Prices Are High (And Why You Should Sell Now)

Posted on: 18 March 2022


Many commercial entities choose to recycle their scrap metal as a way to generate some additional revenue. If your company has a stash of copper scrap, now is the time to sell.

The value of copper has remained high, which means you will be able to maximize the amount of money that you receive for your copper scrap metal when you choose to recycle this metal now.

Learn more about some of the unique factors contributing to recent increases in the value of copper.

1. Fewer Copper Discoveries 

Copper is an ore that must be mined from the ground, refined, and then processed into a usable metal product. Statistics show that fewer stores of copper are being discovered within the Earth in recent years.

With less new copper entering the market, the demand for recycled copper has increased. This directly relates to the increase in value of copper scrap metal.

The amount of money that a recycling center is willing to pay for any scrap metal is based on the market value of that metal. By recycling your copper now while market value is high, you will be able to maximize your profit.

2. Dwindling Copper Stockpiles

The slowdown in copper discoveries has had a direct impact on the volume of metal left in major stockpiles around the world.

Manufacturers have had to dip into stockpiles in order to meet the demand for copper. Without fresh copper from new mines to replenish the stockpiles, volume reached critical levels and drove up the value of copper.

Experts predict that the demand for copper will surpass mined production of copper by the year 2028. As distributors and manufacturers scramble to try and bolster their copper stockpiles, you can recycle your scrap copper for a premium price.

3. Increased International Demand

An increase in the international demand for copper has also contributed to the rising value of this metal.

China is a major consumer of imported scrap copper. A record 6.68 million tons of copper scrap were imported into China in 2020. This record-level demand drove copper prices up, and they have continued to remain high.

Unfortunately, international demand for copper could be waning. Copper imports were down 17.2% in 2021 when compared with the previous year.

The market value of copper hasn't yet responded to this reduction in demand, so it's best to sell your commercial copper scrapping now while prices remain high.