Middle East

Non-ferrous metals such as aluminium, copper and lead are becoming more important in this region as countries aim to support industrial growth, reduce environmental impact and become less dependent on metal imports. Recent political tensions and new infrastructure projects are reshaping how the region handles metal recycling and trade.

The conflict involving Iran has caused serious trade disruption across the Gulf. Shipping through the region has become slower and more expensive, with freight and insurance costs rising up to 50%. This has significantly affected movements of scrap metals between countries.

A major concern is the Strait of Hormuz - a narrow but crucial waterway through which pass around 90% of Gulf scrap and metal exports. Rising tensions have made this a risky trade route, increasing costs and delaying shipments. Some countries are exploring alternative land or sea options, but they are slower and more costly.

In response to such challenges, Gulf countries have been turning inwards. The UAE, Saudi Arabia, Oman and Bahrain are investing in new aluminium recycling and smelting plants. These facilities aim to process scrap locally, to reduce dependence on imports and to support local industries such as construction, packaging and automotive manufacturing. There is also growing interest in “green aluminium” - low-carbon metal produced using recycled materials and renewable energy.

Despite rising political and logistical risks, the Middle East is adapting by investing in local recycling infrastructure. The region is positioning itself as a key player in the global shift towards sustainable, circular metal production. These efforts will not only protect the region from supply disruptions but also help meet the growing demand for clean, efficient metal processing.