BIR World Mirror on Non-Ferrous Metals – Issue November/December 2024: 2024 ends as it started, with supply issues front and centre
A concise summary of the BIR World Mirror on Non-Ferrous Metals – Issue November/December 2024. Full version with detailed market reports available in the Members Only section of the BIR website.
As has been the case throughout 2024, the year is ending amid widespread disquiet surrounding the availability of metals for recycling. This is evident from the BIR recycling organisation’s latest World Mirror on Non-Ferrous Metals, a collation of expert feedback from around the world.
In the USA, for example, generally slower manufacturing activity has combined with the arrival of new mills in the marketplace to tighten the supply of recycled-content aluminium, thus handing dealers additional leverage in negotiations with their customers. In Australia and New Zealand, meanwhile, volumes are lower than normal for the time of year and merchants are proving keen to chase tonnes.
Worries over the availability of materials are also evident across Europe: from Benelux, for instance, it is reported that volumes of aluminium coming from production, shredders and demolition are way below expectations, with shredders continuing to operate at lower capacities owing to a lack of input material; companies in the Nordic Countries are said to be increasingly preoccupied with monitoring competitors’ strategies because of tightening supply; and in Germany, scrap is in high demand but scarce owing to the decline in overall industrial output.
Of course, the major development in North America since the previous Mirror publication has been Donald Trump’s victory in the US election. The President-Elect has threatened 25% import tariffs on products from Mexico and Canada; he has also stated that he plans to impose an additional 10% tariff on goods from China, thereby creating uncertainty in a number of sectors such as China’s primary aluminium industry because of related electric vehicle consumption. Meanwhile, China’s GDP climbed a robust 5% in the first half of 2024, with growth of 4.8% projected for the current year as a whole.
In order to standardise the management of recycled copper and copper alloy raw material imports, as well as imports of recycled aluminium/aluminium alloy raw materials, China’s Ministry of Ecology and Environment has issued important new requirements which entered force on November 15. More details are available by following this link: https://www.bir.org/images/BIR-Private-Docs/Performance_index_requirements_for_recycled_copper_and_copper_alloy_raw_materials-November2024.pdf
On the same continent, two of South East Asia’s key economies - Malaysia and Thailand - have been hit by significant disruption to trade and logistics. Malaysia’s Port Klang, a critical trade hub, has suffered severe congestion as a result of intensified customs inspections. In Thailand, meanwhile, recycling processing operations have been heavily affected by a government crackdown on non-compliant facilities, resulting in the closure of many operations.
The tightening of restrictions by the Malaysian authorities has led to a reduction in the copper volumes imported from Japan. As for aluminium, a scarcity of available material in Japan has resulted in record-high prices for scrap at a time when China’s relaxation of import restrictions has had a negative impact on availability.
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With contributions from its members, BIR publishes periodical commodity reports under the label "BIR World Mirror". These detailed reports exist for Non-Ferrous Metals, Ferrous, Stainless Steel / Alloys, Paper, Plastics and Latin America and provide BIR members with up-to-date information on the respective commodity or market segment.
The report on Non-Ferrous Metals appears once every two months, whereas Ferrous, Stainless Steel, Paper and Plastics are published quarterly. Latin America is covered twice per year.