Global Trade

BIR Convention: Export Restrictions on Recovered Metals Could Hamper Recycling Industry Growth

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Author: Textile Value Chain
BIR Convention: Export Restrictions on Recovered Metals Could Hamper Recycling Industry Growth

Industry experts at the World Recycling Convention in Malaga warn that trade barriers could reduce scrap prices, weaken collection and sorting activities, and discourage investment in European recycling capacity.

Restrictions on exports of recovered metals could create challenges for the recycling industry by disrupting material flows, reducing recycler margins and limiting investment in processing infrastructure. The issue was discussed during the Non-Ferrous Metals Division session at the Bureau of International Recycling (BIR) World Recycling Convention in Malaga, Spain, on 26 October 2026, where speakers highlighted the importance of trade policies that support recycling and industrial competitiveness.

Trade Barriers Raise Concerns for Copper Recycling

The growing use of export restrictions on recovered metals could affect the expansion of the recycling industry, participants at the BIR World Recycling Convention were told.

During the Non-Ferrous Metals Division session, Professor Dr Frank Pothen of the University of Applied Sciences in Jena, Germany, presented findings from a recent report on the effects of trade barriers on recovered copper. The report was published for Germany's Circular Metal Association, with research contributions from colleagues at the Fraunhofer Institute.

The research highlighted recycling as a fundamental part of the copper value chain. Approximately one-third of the raw material used in global copper production in 2024 came from recycled copper. Meanwhile, global copper demand is expected to reach 42 million tonnes by 2040, representing an increase of 50% from current levels.

Professor Pothen explained that the research examined both the expected effects of trade barriers and their potential secondary consequences.

He identified four possible outcomes of export restrictions:

  • Fewer export markets: Domestic processing capacity may be unable to absorb the additional recovered material.
  • Lower domestic scrap prices: Processors could benefit from cheaper inputs, while recyclers may experience lower revenues and margins.
  • Weaker collection and sorting: The high cost of recovering complex scrap could make these activities less economically attractive.
  • Reduced liquidity: Lower revenues could leave recyclers with less capital to invest in additional recycling capacity.

European Industry Competitiveness and Recycling Investment

Professor Pothen said that introducing export restrictions on recovered metals would also require policymakers to address the competitiveness of European industries that use copper, aluminium and steel.

He identified energy costs, regulatory burdens and other factors affecting industrial competitiveness as issues requiring attention.

He said: “What we hope for the future is that we will think about regulatory systems and incentives that improve the conditions for recycling, that get incentives to invest in more sorting and refining and processing capacities, combining environmental issues with workable trade rules.”

The professor also highlighted differences between types of recovered copper. Pre-consumer recovered copper is generally suitable for direct melting and involves relatively low processing costs. Complex secondary raw materials, however, require collection, separation and often refining, which can affect processing margins.

Alloys, particularly brass, present an additional challenge. Brass accounted for 41.7% of all copper scrap exports from the EU in 2025, with China and India together purchasing 80% of the exported alloy.

Professor Pothen questioned whether sufficient alternative processing capacity existed to use recovered metals if export markets became restricted. Without investment in additional capacity, he warned, surplus material could accumulate domestically.

He said that increasing the use of scrap metal within Europe would require incentives to invest in the necessary processing infrastructure.

Recyclers Highlight the Need to Process Lower-Value Metals

Joan Campmajó, chief executive officer of ACIN (ESP), a family-owned metal recycling company founded in Girona in 2014, also addressed the challenges associated with brass and other lower-value materials.

He emphasised the importance of investment in processing technologies to convert waste into usable raw materials.

“I encourage all the people of this Convention to invest, to convert this waste into raw material because I think that it's going to be the next steps we have to make in this industry.”

Campmajó said that while cleaner recovered materials were easier to sell in the European market, lower-quality grades presented greater trading difficulties.

He explained that ACIN was focusing its investments on cleaning and processing these materials to make them suitable for sale within the European Union.

La Farga Emphasises the Need for a Reliable Value Chain

Georgeta Postas, raw materials purchasing director at La Farga (ESP), discussed the importance of maintaining access to recycled copper and ensuring that European industries have the capacity to process it.

In 2025, recycled copper accounted for 60% of La Farga's copper production of 200,000 tonnes. In 2026, more than 70% of the company's copper was collected from within Europe.

The company aims to increase this share further, although progress depends on material availability and the reliability of the value chain.

Postas said: “The Europe Urban Mine is a strategic resource that needs a viable value chain. Ensuring access to raw material must definitely go hand in hand with maintaining industrial capabilities that can transform these materials into usable ones.”

Her comments highlighted the need to develop domestic processing capabilities alongside efforts to secure supplies of recovered metals.

Brass Export Restrictions Could Create Processing Bottlenecks

Natallia Zholud of TRM Metals (POL), a member of the Non-Ferrous Metals Division Board, noted that much of Europe's recent growth in recycling capacity had focused on processing copper wire rods.

She asked Campmajó about the potential impact on the market if recovered brass could no longer be exported.

Campmajó said his company had purchased a couple of machines to separate zinc from copper, making the resulting copper easier to sell in the European market. However, he said there was insufficient time to prepare for processing all the material that might otherwise be exported.

He warned: “We are going to have a huge problem. We are going to have mountains of brass in our yards.”

Campmajó added that selling brass was already difficult, with relatively few buyers within the EU.

Industry Collaboration Seen as Key to Meeting Copper Demand

Responding to a question from the audience about export controls, Postas said the industry's priority should be meeting anticipated growth in copper demand rather than becoming overly concerned about supply.

She said: “What we need to do is meet this demand via partnerships, collaboration, innovation and strengthening the industrial competitiveness of Europe.”

Murat Bayram of European Metal Recycling (DEU), who received the Non-Ferrous Legend Award from BIR at the previous Gothenburg Convention, also called for a coordinated industry approach.

Speaking from the floor, Bayram said: “We need to understand we are sitting in the same boat, the recyclers, the smelters, the collectors, the traders, the brokers. We need to avoid any more regulation because we are building a labyrinth from regulation to regulation and [then] wonder why the investments are not going through. Let's remind us again and again, we are one community.”

His remarks underscored the shared interests of recyclers, smelters, collectors, traders and brokers in maintaining a functioning recycling value chain.

BIR Division President Highlights Common Industry Challenges

At the beginning of the session, Non-Ferrous Metals Division President Paul Coyte of Hayes Metals (NZL) highlighted the changing nature of the non-ferrous recycling industry while noting that several challenges remain common across regions and supply chain segments.

These include energy costs associated with fuel, electricity and gas, as well as regulatory issues. He also identified security of supply and security of demand as challenges specific to different parts of the industry.

Coyte emphasised the interconnected nature of recycling businesses and the importance of cooperation in addressing shared challenges.

He said: “We all listen to each other; we want to improve it. That's because there's a common goal, which is recycling. And that's quite exciting.”

The discussions at the Malaga convention highlighted the relationship between trade policies, domestic processing capacity and investment in recycling infrastructure, particularly as demand for copper is projected to increase over the coming years.


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