BIR roundup portrays recycling turbulence
BIR roundup portrays recycling turbulence
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The Brussels-based Bureau of International Recycling says its member companies are reporting COVID-19-related disruptions to trade and economic conditions that have now become apparent on every continent.
An April 17 e-mailed dispatch to its members portrays what the BIR calls a “fragmented picture for [an] under-pressure recycling industry.”
China and neighboring nations have arced toward a recovery curve, says BIR. The groups says China’s government has issued import quotas for nonferrous scrap metals that are higher than in previous quarters. Copper scrap is back in demand there, “but the appetite is not as it was in the past,” writes BIR. It adds, “Countries in Southeast Asia are also moving toward a relaxation of their shorter periods of lockdown.”
Very few nonferrous shipments to India are taking place, with logistics proving very difficult there. Globally, aluminum scrap demand has been hit hard as a result of the decision by major vehicle manufacturers in the United States and elsewhere to halt production, notes BIR.
One the ferrous scrap front, “Ports worldwide remain open for bulk [shipping], with India the only country where there is a significant distribution to containers,” says BIR. The bureau says Turkey’s consolidated market is offering low bids for scrap, but prices are holding up better in other parts of Asia.
“The stainless steel industry has witnessed major closures of melting capacity in Spain, Italy, France and Belgium but this now seems to have been resolved, with most of these production sites able to run again,” reports the BIR.
However, it adds, end demand is expected to remain weak, which will result in low production levels, low stainless scrap collection rates and reduced demand for raw materials.
The BIR characterizes demand for recycled plastics as “very weak as a result of the lockdowns implemented in a large proportion of countries and shutdowns at many companies. The low oil price has pushed raw material values to historically low levels; the plastics recycling industry is struggling with high inventories [and] poor order levels.”
Feedback from a factory in Indonesia reveals that its recycled-content plastic pellet shipments to China were resumed in early April and have almost reached pre-virus levels as of mid-April.
A larger concern is that the pandemic “has shifted important environmental topics from the top of the agenda, and thus implementation of the circular economy will be automatically slowed in a way that, ultimately, will have a negative effect on the plastic recycling industry,” writes the BIR.
Meanwhile, the paper recycling market in France is down to two-thirds of normal business levels owing to low collection rates. Shipments within the EU are proceeding, but those to Southeast Asia are proving almost impossible, according to BIR.
In line with changes to the Chinese government’s import policy, quantities of recovered paper entering the country have declined by 40 percent over the past three years. The nation’s aim is to achieve zero recovered paper imports by the end of 2020. The main method of bridging the gap left by lower imports is to process recovered paper into pulp outside of China before importing it. This stream is providing a particularly important supplement given the current shortage of domestic recovered paper and more limited imports, says the association.
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Source: Recycling Today
BIR roundup portrays recycling turbulence
<![CDATA[The Brussels-based Bureau of International Recycling says its member companies are reporting COVID-19-related disruptions to trade and economic conditions that have now become apparent on every continent.An April 17 e-mailed dispatch to its members portrays what the BIR calls a “fragmented picture for [an] under-pressure recycling industry.” China and neighboring nations have arced toward a recovery curve, says BIR. The groups says China’s government has issued import quotas for nonferrous scrap metals that are higher than in previous quarters. Copper scrap is back in demand there, “but the appetite is not as it was in the past,” writes BIR. It adds, “Countries in Southeast Asia are also moving toward a relaxation of their shorter periods of lockdown.”Very few nonferrous shipments to India are taking place, with logistics proving very difficult there. Globally, aluminum scrap demand has been hit hard as a result of the decision by major vehicle manufacturers in the United States and elsewhere to halt production, notes BIR.One the ferrous scrap front, “Ports worldwide remain open for bulk [shipping], with India the only country where there is a significant distribution to containers,” says BIR. The bureau says Turkey’s consolidated market is offering low bids for scrap, but prices…