Scrap Metal Recycling Market Updates

Q: What is the key market trend for Scrap Metal Recycling Market?

Growing Use of AI and Automation in Recycling Facilities: Major industry players are adopting AI and sensor-based sorting technologies to enhance metal purity and processing speed. In 2023, Schnitzer Steel Industries deployed AI-powered robotic sorters across its U.S. facilities, increasing throughput efficiency by 20% and reducing contamination rates.

Q: Which region accounted for the largest share in Scrap Metal Recycling Market?

How is Asia Pacific keeping its Dominance in Global Scrap Metal Recycling?

Scrap Metal Recycling Market News

in Scrap Metal Recycling

In November 2023, Sims Ltd., a global leader in scrap metal and electronics recycling, announced the initiation of a strategic review that may result in the sale of its scrap yard network in the U.K. This move aims to explore various options to enhance the performance of its U.K. Metals business and maximize shareholder value."

In April 2024, Brown Gibbons Lang & Co. (BGL) announced the sale of Toledo Shredding LLC, a subsidiary of Fairlawn, Ohio-based ProTrade Group, to OmniSource LLC. OmniSource LLC serves as the scrap processing division of Steel Dynamics Inc., headquartered in Fort Wayne, Indiana. ProTrade Group operates as a fully integrated scrap metal company, specializing in both ferrous and nonferrous metals.

In January 2023, ArcelorMittal finalized the acquisition of Riwald Recycling ("Riwald"), a leading ferrous scrap metal recycler in the Netherlands. This move is part of ArcelorMittal’s wider decarbonization strategy aimed at reducing carbon emissions by integrating more recycled materials into its production processes. The acquisition strengthens ArcelorMittal’s raw material sourcing capabilities and demonstrates its commitment to sustainable practices, helping the company align with global environmental standards and future regulatory requirements.

In November 2023, ArcelorMittal and Schneider Electric announced a strategic partnership centered around sustainable materials. Under this agreement, ArcelorMittal will supply Schneider Electric with its XCarb recycled and renewably produced steel for use in manufacturing electrical cabinets and enclosures. This collaboration supports both companies' carbon reduction goals, promotes the use of green steel in industrial applications, and highlights a growing trend of sustainability-focused partnerships within the manufacturing and electrical equipment sectors.

FAQs

Global Scrap Metal Recycling market size was valued at USD 323.8 Billion in 2023 and is poised to grow from USD 335.78 Billion in 2024 to USD 449.04 Billion by 2032, growing at a CAGR of 3.7% in the forecast period (2025-2032).

The global scrap metal recycling market is characterized by strategic expansions, technological advancements, and consolidation among key players. Sims Limited, processing approximately 75% of its volumes in the U.S., reported an underlying profit of USD 35.1 million for the half-year ending December 31, 2024, up from USD 7 million the previous year, despite challenging market conditions. The company is restructuring by divesting non-core assets, including its British recycling business, to focus on more profitable regions. In December 2024, Glencore entered a multi-year agreement with Cyclic Materials to source over 10,000 metric tons of recycled copper annually, enhancing its supply chain amid rising demand for copper in electric vehicles and renewable energy sectors. Aurubis AG is investing €990 million in 2024 to expand its recycling capabilities, including a new facility in Georgia, USA, aiming to process 90,000 metric tons of scrap annually, with plans to double capacity. In India, MSTC Limited, a government-owned entity, reported a net profit of ₹241.96 crore for the fiscal year ending March 31, 2023, up from ₹199.10 crore the previous year, reflecting its growing role in the domestic recycling sector. These strategic moves underscore the industry's focus on enhancing operational efficiency and securing supply chains to meet the increasing demand for recycled metals. 'AIM Recycling', 'ArcelorMittal', 'Aurubis AG', 'CMR Green Technologies Ltd', 'COHEN', 'Greenwave Technology Solutions, Inc.', 'OmniSource, LLC', 'Sims Limited', 'SL Recycling', 'The David J. Joseph Company (Nucor Corporation)', 'TKC Metal Recycling Inc.', 'Kuusakoski Group Oy', 'Metallon Recycling Pte Ltd', 'SA Recycling LLC', 'Commercial Metals Company', 'Dowa Holdings Co., Ltd.', 'Tata Steel', 'Radius Recycling, Inc.', 'European Metal Recycling Ltd.', 'Upstate Shredding – Weitsman Recycling'

Global steel production hit 1.89 billion metric tons in 2023 (World Steel Association), driving the demand for cost-effective and sustainable secondary raw materials like scrap metal. As scrap accounts for over 40% of global steelmaking inputs, recycling is increasingly prioritized. For example, in 2023, ArcelorMittal invested USD 300 million in its NA recycling operations to scale up scrap processing, reflecting industry's strategic shift towards circular steel production to reduce emissions and costs.

Growing Use of AI and Automation in Recycling Facilities: Major industry players are adopting AI and sensor-based sorting technologies to enhance metal purity and processing speed. In 2023, Schnitzer Steel Industries deployed AI-powered robotic sorters across its U.S. facilities, increasing throughput efficiency by 20% and reducing contamination rates.

How is Asia Pacific keeping its Dominance in Global Scrap Metal Recycling?