SEATTLE (Scrap Monster): The ongoing global efforts to reduce carbon emissions are likely to boost scrap metal trade.
Increasing volumes of scrap metal will become part of the steelmaking process. However, the market is faced with challenges, mainly related to extraction of more scrap from the system and quality of the scrap thus produced. This is in accordance with the views expressed by leading ferrous market experts during the recently held webinar organized by the Bureau of International Recycling (BIR) Ferrous Division.
The panellists at the webinar noted that China is in the process of reducing the percentage of steel made from iron ore and is promoting the use of more scrap in steelmaking process. The Chinese government’s commitment to address environmental concerns through cost-effective steel production is likely to result in the country importing scrap, contrary to earlier projections that the country may turn out to become one of the largest scrap exporting countries of the world.
Incidentally, Chinese steel scrap consumption witnessed around 47% surge over the previous year to total 137.95 million tonnes during the initial six-month period of the current year. Meantime, Turkey continued to remain as the world’s largest scrap importer, with the country’s imports rising by almost one-third year-on-year to 12.872 million tonnes.