Metal Recycling in China: China Opens Door for Ferrous Scrap

On 1st January 2021 China ended its two-year ban on steel scrap import. The ban was imposed in 2018 as prevention towards global dumping of low-grade scrap (https://www.argusmedia.com/en/news/2170387-china-to-impose-steel-scrap-import-standards-from-1-jan). 

China aims to increase its use of recycled metals like steel, copper, and lead in the coming years in the aim of fulfilling its goal of reducing greenhouse gas emissions. Being the top consumer of metals, it wants to increase the use of steel scrap by 23% by 2025. (https://www.asiafinancial.com/chinaplans-to-ramp-up-use-of-steel-scrap-metals-recycling. The ban upliftment has hence significantly affected the scrap imports). 

The change in plans has also led to advancement in recycling technologies. The world’s most advanced recycling facilities can be found in China. From the eastern coastal region Guangzhou in the south to Beijing and Tianjin in northern China, the country has pioneered in establishing high-tech metal recycling facilities followed by cities like Chengdu, Chongqing, and Anshan. (https://recycling.metso.com/blog/recycling/metal-recycling-trends-in-china/) 

For instance, according to Chinese customs data, imports in the month of April saw a spike of 186pc to 60,696t from March, taking January-April imports to 85,832t. As supplies from Japan were not enough to fulfil the ever-growing demand for metal scrap, Chinese scrap buyers began seeking supplies from Europe and USA. 

Photo reference from Pixabay copyright free images.

The initial orders of shred metal scrap cleared customs successfully. However, the main grade HMS1/2 80:20 might be a little tricky to import since the mixture of different thicknesses could be a challenge for inspection process. (https://www.argusmedia.com/en/news/2219033-chinas-ferrous-scrap-imports-spike-in-april) 

Being one of the biggest importers, any policy change in China which makes sure to impact global metal and metal scrap market. China aims to increase the EAF capacity to overall crude steel capacity to 15% from 2021 to 2025 and lift the steel scrap consumption in converters to 30% (https://www.spglobal.com/marketintelligence/en/news-insights/blog/bank-ma-revival-market-disruption-warning-venture-capital-funding-soars). 

Although the recommencement of scrap imports will not immediately ease the shortage of China’s domestic scrap resources, the new policies align with the industry’s long-term needs to reduce its over-dependency on iron ore and its goals of cutting carbon dioxide emissions. Import of the ferrous scrap means reduction in mining for ores and processing – significantly cutting down costs, emissions, and labor.

Dubai scrap yards are abundant with metal scrap of various mixtures and types. Just like Chinese dealers, Dubai scrap dealers are contributing to the cause of attaining carbon-neutrality and reducing emissions by helping the metal recycling companies in Dubai realize its potential. 

 

Disclaimer: This article(s) has been prepared solely for information purpose, using publicly-accessible sources that are believed to be accurate and reliable at the time of publishing. LUCKY GROUP accepts no liability whatsoever for any loss or damage resulting from the use of information, images or opinions expressed in the report. LUCKY GROUP does not give warranty of any kind regarding the completeness, accuracy and reliability of the information included in the article(s).

Buy Car Parts from Salvage Yards and Save a Fortune!

It’s a nightmare for a car owner if your car suddenly breaks down. Well, another nightmare is when you realize that the car parts you need for your car to work just fine are going to cost you a bomb. Well, sometimes you might not afford a car part that expensive or you simply don’t intend to spend so much over your vehicle.

So, what to do in such times? Here’s when scrap metal yards come to the rescue! Scrap metals dealers in Dubai have a lot of cars and other auto parts. So, these are the best places where you can find car parts for a much cheaper rate.

Some junkyards expect you to take out the car parts you need on your own. Some others have a pretty sophisticated counter wherein you need to simply pay and walk away with your parts. It is thus advisable to call up all the junkyards in and around your locality and find out the rates. Compare all the prices and then go ahead. Also, it is essential to find out if you’ll need to take out the car parts on your own; carry your toolbox if you need to work on the salvaged cars. When you go there, wear something old and comfortable. Chances are that you might get your clothes dirty. So, it is better to wear something you wouldn’t mind spoiling.

Junkyards are excellent sources to get car parts in affordable rates. So, visit your nearest scrap metal trader today and get the required car parts for a really low cost!

Ban on Cash Transactions for Scrap Metal Trade

Due to the increasingly high value of metalin the UK, the crime rate for stolen scrap metal was on rise. The feeble laws surrounding the scrap metal trade, worked in the favour of unscrupulous scrap metals yard owners, traders and recyclers. The administration in England and Wales took up the matter in the House of Commons and passed the new controversial rule. On the 3^rd of December, a legislation banning all cash transactions at recycling yards came in to effect. The legislation stated that scrap metal dealers would now be forced to carry out trade via electronic payments or cheque. They would also be required to maintain a record of all transactions and deals made. The legislation also stated that anyone found guilty of disobeying the new statutory law would be prosecuted to the full extent of the law. Offenders would be liable to pay heavy fines or even have their license cancelled. The audit trail that is facilitated by the legislature will lead back to all parties who profit through metal theft.

Amendments to the Legal Aid, Sentencing and Punishment of Offenders (LASPO) Act will mean that all cash transactions for metal at recycling yards will be outlawed.  The new Act also gives the police force the necessary jurisdiction to enter scrap metal yards at will and ascertain whether the ban on cash payments is being complied with. If protocol is found to be breached, the employee responsible for making the payment, the management, and the company that has failed to take reasonable steps to prevent payment being made will be prosecuted.



The BTP (British transport police) deputy chief constable Paul Crowther stated that metal theft was a serious threat to the infrastructure of Great Britain and that the outdated legislation has been exploited unscrupulous metal recyclers for far too long.

The British authorities also hope that these measures will have a negative impact on the market for stolen metal as well as illegal scrap metal recycling and that the severe sanctions will deter anyone from metal theft. However, this new legislation cannot function in isolation and will require the cooperation and support of the industry, police and other agencies.