News

The SEA secondary aluminum market remained mixed this week. Aluminum scrap prices were largely stable, while ADC12 remained under pressure due to weak downstream demand. Buying activity stayed cautious, although UBC scrap held firm on tighter supply and steady recycling demand. Market attention also shifted to the EU's Carbon Border Adjustment Mechanism (CBAM), with growing focus on carbon reporting, recycled content, and supply chain traceability as compliance requirements continue to evolve.

[SMM Analysis: US and Europe Expand Copper Recycling Capacity as Scrap Localisation Takes Shape]The US and Europe are expanding recycling capacity and tightening resource policies to retain more copper scrap locally. Aurubis projects in Hamburg and Georgia will increase complex-feedstock processing, while export controls may further limit trade flows. Asian buyers could face higher payabilities, longer lead times and tighter supply.

[SMM Analysis: South Korea Plans Tighter Copper Scrap Export Declarations—Could Asian Trade Flows Shift?] South Korea plans to require export declarations for ferrous and non-ferrous scrap from 2027. The move targets misdeclaration rather than restricting legal trade. With China, Malaysia and Thailand taking 95.86% of 2025 exports, impacts should be limited for compliant high-grade cargoes but greater for mixed and complex scrap.