High railway tariffs cause scrap supply by motor transport

The downward tendency in scrap collection in Russia and growing competition, due to the launch of new smelting capacities, has cause the situation, when the scrap market is getting closer to deficit and scrap imports influences the prices. Plus imported scrap prices are going to be higher than the domestic ones. The chairman of nonprofit partnership of operators of railway rolling stock O.Lukyanova said.

A search of possibilities for a restriction of the scrap price growth for consumers stands out amidst such conditions. A part of demand in future may be covered because of an increase of direct-iron use. It is also important to work over the reduction of scrap transportation price.