BIR releases Non-Ferrous World Mirror-February 2016

BRUSSELS (Scrap Monster): The Bureau of International Recycling (BIR) has released the Non-Ferrous World Mirror- February 2016 edition.

The General Administration of Quality Supervision, Inspection and Quarantine of the People's Republic of China (AQSIQ) has proposed changes in licensing regulations. The most notable proposal suggests extension of license validity from three to five years. Also, applications for license extension with two or more changes involving address, legal person and title applicant will not be accepted. Such applicants are required to submit re-application for new license certificate.

Nine large Chinese copper smelters have announced their decision to slash sales by 200,000 tons during the first quarter of the current year, in a bid to lend support to falling prices. This is in addition to the earlier decision to cut copper production by at least 350,000 tons during the entire year 2016. Also, the smelters have requested government authorities to stockpile the metal to prevent further fall in prices.

Elsewhere in Asia, Indian government is mulling to reconsider import duties on scrap and revisit the free trade agreements (FTAs) with various countries. The huge imports of duty-free finished products tend to hurt domestic manufacturing industry in the country. The weaker domestic currency has boosted scrap exports from Malaysia, making domestic scrap availability extremely weak.

The scrap activity has resumed in South Africa, though at a slow pace. The scrap volumes continue to remain thin in Australia and New Zealand. Lower profitability levels have led to closure of more number of scrap yards in Germany. The UK has reported shortage of physical aluminum despite low price levels. Scrap supply continued to remain slow in Nordic countries.

According to the new ‘Green Economy’ law which came into force in Italy starting Feb 2^nd, ferrous and non-ferrous metal recyclers travelling from place to place must have to enroll with the national register of authorized environmental companies.

Scrap demand remained subdued in Mexico during the early weeks of 2016. Liquidity crunch concerns are seen limiting scrap shipments out of the country, despite better enquiry levels from abroad.

The demand for scrap dropped further in east of Asia. On the other hand, copper, aluminum and lead scrap imports to the Middle East reported significant improvement. Also, Russian government has announced that it plans to halt exports of all scrap in response to trade actions by the European Commission and Turkey.