Global Scrap Availability to Surpass 1 Billion Tonnes in 2030

SEATTLE (Scrap Monster): The World Steel Association (worldsteel) predicts tremendous growth to global scrap availability over the next 20 to 30 years. According to Dr Baris Bekir Çiftçi, Head, Raw Materials Markets, worldsteel, the global ferrous scrap availability which stood at around 750 Mt in 2017, is likely to surpass 1 billion tonnes by 2030 and reach 1.3 billion tonnes by 2050. Incidentally, 630 Mt out of the available 750 Mt in 2017 was recycled by steel industry.

The above projections clearly indicate that worldwide steel industry will witness increased consumption of scrap in the medium to long-term. The increased use of ferrous scrap in the steelmaking process will in turn result in preservation of natural resources and considerable reduction of carbon dioxide emissions.

The scrap availability is likely to witness strongest growth, mainly in developing countries, especially China. China’s scrap availability is estimated to double from current levels by 2050. The availability is expected to reach around 300 Mt by 2030 and increase further to touch 400 Mt by 2050. It must be noted that the Chinese scrap availability currently stands at around 200 Mt. The country’s share of electric arc furnaces (EAF) is likely to see huge expansion with increasing availability of scrap. The country expects to commission new EAF plants with production capacity around 50 Mt over the next five years.

The scrap availability in India and the ASEAN region are projected to double over the next 15 years. The scrap availability in the rest of the world is also expected to grow, but at a much slower rate than developing world. The combined scrap availability in NAFTA, EU and Japan is likely to grow from current levels of 320 Mt to 350 Mt by 2030.