Non Ferrous Scrap Sector Battered by Covid-19 Pandemic,Says BIR

The initial quarter of 2020 saw significant decline in incoming scrap volumes and demand from various industries, especially from automotive sector.

SEATTLE (Scrap Monster): The panelists at the Bureau of International Recycling (BIR) Global eForum noted that global nonferrous scrap sector has been battered by Covid-19 pandemic. However, it expressed hope that the reclassification of scrap commodity category by the Chinese administration with effect from July this year would result in positive impacts on the sector.

David Chiao, president of the BIR Nonferrous Metals Division noted that the Chinese administration is yet to publish the English version of its proposed scrap specifications which are due to take place next month. The traders worldwide are hopeful that the new policy will bring about positive outcomes for future trade of scrap.

Chinese Ferrous Scrap Usage Outpaced Steel Output Surge

The initial quarter of 2020 saw significant decline in incoming scrap volumes and demand from various industries, especially from automotive sector. The inflows into the U.S. and Mexican yards reported decline of up to 70% compared with normal volumes, whereas the volume of inflows dipped nearly 60% in Canada. The Asian countries continued to report good demand, with India being an exception. The country saw no automotive sales in April this year.

The copper and copper alloy scrap reported supply shortages in Europe. The disruption in transportation facilities and production halts at many smelters has impacted scrap flows across the region.