European and Global Recycling Industries Stand Firm Against Calls for Trade Restrictions on Steel Scrap

The European Recycling Industries’ Confederation (EuRIC) and the Bureau of International Recycling (BIR) have voiced strong objections to proposals raised at the Summit on the Future of the European Steel Industry, which took place in Paris on February 27, 2025. The summit saw representatives from Belgium, Italy, France, Luxembourg, Romania, Slovakia, and Spain advocating for stricter trade measures aimed at restricting the export of steel scrap.

Concerns Over the Proposed Export Restrictions

EuRIC and BIR argue that proposals to “secure access to raw materials while retaining steel scrap within the EU” and to “restrict or ban exports to third countries that do not adopt environmental and production legislation similar to that of Europe” are “based on demonstrably incorrect premises that require immediate correction”. Europe has no shortage of recycled steel. In fact, the continent processes more than 100 million tonnes of steel annually, with around 80% of the total output being used domestically. The remaining 20% is exported precisely because the EU lacks the capacity to utilise all available recycled steel. This is not a “leakage” but rather an efficient allocation of resources in a functioning market, according to EuRIC and BIR.

Recycled Steel: A Valuable Global Commodity

Recycled steel is a valuable commodity that plays a crucial role in the global steel manufacturing process, according to EuRIC and BIR. For decades, the European recycling industry has built resilient, efficient, and environmentally conscious supply chains that allow for the sustainable export of steel scrap. The value of recycled steel is recognized globally, and it serves as a critical feedstock for steel producers worldwide.

EuRIC and BIR assert that following the adoption of the Waste Shipments Regulation (WSR), metal recyclers will already face increased challenges when exporting recycled steel. The imposition of trade barriers would artificially suppress the value of recycled steel, reducing economic incentives for recycling and ultimately leading to lower collection and processing rates. This could result in reduced investment in the recycling industry and the market exit of many recycling companies, potentially shrinking the availability of material for manufacturing.

Global Environmental Impact of Cutting Off Steel Scrap Exports

A key concern raised by EuRIC and BIR is the mischaracterization of steel scrap exports as environmentally harmful. The suggestion that exporting recycled steel contributes to environmental degradation in non-European countries is fundamentally flawed. In reality, this material is used by steel producers to create new steel products, often as a cleaner alternative to primary raw materials.

Restricting access to European steel scrap would force global steel producers to rely more heavily on carbon-intensive methods, such as the Basic Oxygen Furnace (BOF) process, BIR and EuRIC add. This shift would likely lead to a significant increase in global carbon emissions, running counter to Europe’s leadership ambition in combating climate change.

Constructive Alternatives for a Circular Economy

Rather than imposing trade restrictions, EuRIC and BIR suggest several proactive strategies to promote a circular economy for steel:

- Create lead markets for circular steel through mandatory recycled content targets in key sectors.

- Implement public procurement policies that prioritise recycled materials.

- Support investment and R&D for the recycling industry.

- Ensure recyclers are meaningfully included in policy discussions and decision-making processes.

Commitment to a Sustainable Circular Economy

EuRIC and BIR remain steadfast in their commitment to advancing a truly sustainable and circular economy for metals. They believe that well-functioning markets, not artificial barriers, are the foundation of environmental progress. With innovation and investment, the recycling sector can continue to play a pivotal role in driving a more sustainable global economy. EuRIC and BIR advocate that through collaboration and evidence-based dialogue, all stakeholders—producers, consumers, and policymakers—can work together to create a framework that supports circularity and maximizes the potential of global markets in reducing waste and cutting emissions.

As the leading voices of the recycling industry in Europe and globally, EuRIC and BIR say they represent the collective interests of thousands of recycling companies. EuRIC, through its Member Federations across 23 EU & EFTA countries, significantly contributes to the European economy with a turnover of over 95 billion euros, providing over 300,000 local green jobs across Europe. BIR represents over 30,000 global companies through 36 national member associations and over 1,000 direct corporate members across 71 countries.