IRON AND STEEL SCRAP1/

         (Data in million metric tons of metal, unless noted)

Domestic Production and Use:  Total value of 1995 domestic purchases (receipts of
ferrous scrap by all domestic consumers from brokers, dealers, and other outside
sources) and exports was estimated at $9 billion, compared with $8 billion in 1994. 
The steel industry accounted for about three-fourths of the domestic scrap
consumption, using scrap together with pig iron to produce steel products for the
construction, transportation, oil and gas, machinery, container, appliance, and
various other consumer industries.  The ferrous castings industry consumed most of
the remainder to produce cast-iron and steel products, such as motor blocks, pipe,
and machinery parts.  Relatively small quantities were used for producing
ferroalloys, for the precipitation of copper, and by the chemical industry; these
uses totaled less than 1 million tons.

Salient Statistics--United States:    1991      1992      1993      1994      1995e/
Production: Home scrap                  22        21        21        20        21
            Purchased scrap2/           49        50        54        57        62
Imports for consumption3/              1.2       1.4       1.6       1.9       2.2
Exports3/                              9.5       9.4      10.0       9.0      10.4
Consumption: Reported                   62        63        68        70        74
Price, average, dollars per metric
 ton delivered:  No. 1 Heavy Melting
 composite price, Iron Age Average: 
 Pittsburgh, Philadelphia, Chicago   91.74      83.88   109.98    124.58    130.00
Stocks, consumer, yearend              4.1        3.7      3.7       4.1       4.5
Employment, dealers, brokers, 
         processors4/               37,000     37,000   37,000    37,000    37,000
Net import reliance5/ as a percent of
         apparent consumption            E          E        E         E         E

Recycling:  All iron and steel scrap is recycled material, consisting of about 30%
home scrap, 25% prompt industrial scrap, and 45% old (obsolete) scrap.

Import Sources (1991-94):  Canada, 78%; Venezuela, 8%; Mexico, 6%; Japan, 4%; and
other, 4%.

Tariff: Item              Number      Most favored nation (MFN)        Non-MFN6/
                                                12/31/95               12/31/95
Iron and steel waste 
 and scrap:
 No. 1 bundles          7204.41.0020              Free                  74›/mt.
 No. 1 Heavy Melting    7204.49.0020              Free                  74›/mt.
 No. 2 Heavy Melting    7204.49.0040              Free                  74›/mt.
 Shredded               7204.49.0070              Free                  74›/mt.

Depletion Allowance:  Not applicable.

Government Stockpile:  None.


Prepared by Iron and Steel Scrap Specialist. (703) 648-4972.

                         IRON AND STEEL SCRAP

Events, Trends, and Issues:  Raw steel production in 1995 was estimated at about 95
million tons, about 4% more than that produced in 1994.  Net shipments of steel mill
products were estimated at about 89 million tons compared with 86.3 million tons for
1994.

The domestic ferrous castings industry shipped an estimated 14 million tons of all
types of iron castings in 1994, and an estimated 1.8 million tons of steel castings,
including investment castings.

Scrap prices in the United States continued at fairly high levels throughout the
year, as a result of strong demand.  Composite prices published by Iron Age Scrap
Price Bulletin, for No. 1 Heavy Melting steel scrap, delivered to purchasers in
Chicago, Philadelphia, and Pittsburgh, averaged about $130 per metric ton, about 4%
higher than in 1994.

The price for nickel-bearing stainless steel scrap delivered to purchasers in
Pittsburgh was much higher in 1995 than in 1994 due to higher prices for nickel and
molybdenum.  The average price as reported by Iron Age Scrap Price Bulletin, was
about $1,100 per metric ton, compared with about $708 in 1994.

Total exports of ferrous scrap increased to about 10.4 million metric tons with an
estimated value of about $1.7 billion.

The problem of accidental smeltings/meltings of radioactive sources contained in
scrap continues to be a concern.  The U.S. Nuclear Regulatory Commission has created
a Working Group to evaluate current regulations concerning the control of and
accountability for licensed devices and to develop recommendations for alternative
regulatory approaches.

World Mine Production, Reserves, and Reserve Base:  Not applicable.

World Resources:  Not applicable.

Substitutes:  Approximately 2 million tons of direct-reduced iron, a potential
substitute for iron and steel scrap, was used in the United States in 1995.

e/Estimated.  E  Net exporter.
1/See also Iron Ore and Iron and Steel.
2/Receipts - shipments by consumers + exports - imports.
3/Includes used rails for rerolling and other uses, and ships, boats, and other
vessels for scrapping.
4/Estimated, based on 1992 Census of Wholesale Trade.
5/Defined as imports - exports + adjustments for Government and industry stock
changes.
6/See Appendix B.

                              Mineral Commodity Summaries, January 1996