According to the Bureau of International Recycling (BIR), the most recent banking crisis is weakening market confidence, with UK non-ferrous traders reporting reduced tonnage.
The Bureau of International Recycling (BIR) is the only global recycling industry federation representing more than 30,000 companies around the globe, with a direct membership of over 900 companies and 37 national associations from 68 countries. BIR members are world leaders in the supply of raw materials and a key pillar for sustainable economic development.
On March 23, 2023, the first federation to support the interests of the recycling industry on an international scale, BIR stated in its report that the emergency bailout of Credit Suisse and other trade and banking shocks "have proven once again that uncertainty is far from being their friend."
BIR added, "Consumer attitude is getting more conservative, and prices of several metals have been severely affected as anxiety is more apparent in the commodity markets."
"The usual clients are delivering less tonnage or coming less frequently, as observed by UK-based members."
The federation further revealed that it also observed that numerous projects in the UK that otherwise would have generated metal have been delayed or slowed down because of higher labour costs and higher energy, fuel, and raw material prices. Reports from around Europe suggest that the amount of metal entering yards has decreased.
"In Germany, house construction is declining, aluminium ingot prices are falling, and copper discounts are increasing, all contributing to a shortage of metals. Due to the recent cold weather and late snow, the Nordic countries' markets are regrettably slow and quiet", the BIR report quotes.
The demand for scrap aluminium has remained the same at US aluminium mills since the end of last year, with many still sitting on the sidelines. However, secondary aluminium prices in the United States have risen due to strong export demand, while copper grades have seen healthy domestic and export orders.
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