The new president of the Bureau of International Recycling’s (BIR’s) ferrous division has predicted “radical and fundamental” upheaval in the sector.
Shane Mellor, the longstanding managing director of Norfolk-based Mellor Metals, said it had never been more important to understand changing global trade patterns.
In his first quarterly World Mirror report, he said a BIR event in Copenhagen later this year would analyse a raft of factors set to impact on the sector. These included economic conditions, conflict in the Red Sea and the EU’s carbon tax scheme.
“It is my belief that, during the next few years, our industry will be subjected to some radical and fundamental changes, with high-quality recycled metal products being increasingly in demand,” wrote Mellor.
“I also believe that it has never been more important to understand how global trade flows are changing, in particular the industry challenges surrounding current trade barriers and disrupted traditional shipping routes, as well as the longer-term industry desire for a green-steel evolution.
“In Copenhagen, we hope to explore, with expert analysis, the supply and demand trends of the last six months, the disruption in the Red Sea/Suez Canal and the effects of the Carbon Border Adjustment Mechanism and other trade barriers.”
This will be complemented by an analysis of the factors that will influence “market direction and momentum of recycled ferrous prices in 2024” he added.
Mellor replaced Denis Reuter as ferrous division president last year.
