Contrary to popular belief, ferrous metals are always in demand. Most companies might say, “no we don not buy ferrous metals..there is no real demand”. Anyone in the scrap metal industry, would totally beg to differ. The United States is one of the biggest exporters of ferrous recycled metals in the world. It is never a matter of no market for it, it is a matter of he sheer bulk to transport large masses of these metals. Ferrous metals are always in demand.
Ferrous Metals are Always in Demand
As a matter of fact, the United States estimates a recycling of over five million tons of ferrous steel per year. So there is demand somewhere. The answer is actually very simple. Ferrous metals are used for larger construction properties. Ferrous metals are not used in small wiring or electronic components like copper might be used for. Ferrous metals are seen more in carbon steels that are used to build skyscrapers. Or even places you will never see like in underground piping used for irrigation, cit plumbing and the burying of cables and wiring. So companies are buying ferrous metals all of the time. Whenever you see a train, most all components of a train are made from ferrous metals, it is one of the reasons they are so heavy and need such large engines to move them.
So therein lies the problem, ferrous metals are heavy , in huge supply and always need to be transported to wherever it is needed. The cost difference comes into play when you must pa to ship, or when there is a surplus of ferrous metals to use in these areas of use.
If you are a scrapper, it is usually best to call to check ferrous metal prices and make sure your haul will be worth what you paid to transport it there.