By Paul Ploumis 10 Sep 2015 Last updated at 06:02:12 GMT
The Bureau of International Recycling (BIR) has announced the release of the September edition of Non-Ferrous World Mirror.
BRUSSELS (Scrap Monster): The Bureau of International Recycling (BIR) has released the Non-Ferrous World Mirror- September 2015 edition.
According to David Chiao, President, BIR Non-ferrous Metals Division, the market action remained extremely subdued mainly on account of stock market plunge and currency devaluation in China. He noted that the country’s non-ferrous scrap imports have fallen sharply since 2010. The copper scrap imports have dropped by almost 10% since then. Increased domestic collections are likely to reduce the country’s dependency on imported scrap.
The plunging oil prices and ongoing weakness in Chinese economy has badly impacted other markets in the region. Lack of orders from China, Japan and India have led to low scrap demand in Thailand. Market participants in the region were found skeptical about market prospects going forward.
The metals business in the US too has slowed down. Most metals including secondary ingot prices witnessed further weakness in the country. The only material to report marginal price increase was aluminum mill grade scrap.
Meantime, Mexico reported sudden surge in demand for aluminum scrap from the US. Many South African firms have cut their working days on account of lack of market activity. Non-ferrous scrap trade in the Middle East region continues to be affected by sudden changes in regulatory policies. This has led to delay in cargo movement. For instance, the Saudi administration is yet to issue an official confirmation to the new regulation that requires all scrap export cargoes to be palletized.
Russia announced cut in export duties on non-ferrous scrap. However, scrap collection in the country is likely to witness significant improvement if the government decides to eliminate tax on individuals selling scrap to licensed companies.
Market activities in Western European region is reportedly returning to normal pace after summer holidays. The scrap supply and demand remained subdued in the UK. Meantime, market participants in Germany, France and Nordic countries maintained ‘wait-and-see’ approach, expecting a rebound in commodity prices.