In the January-September period this year, China’s crude steel output amounted to 638.73 million mt, up 5.8 percent year on year, while the country's scrap consumption totaled 101.23 million mt, up 56.5 percent year on year, as announced by the China Association of Metal Scrap Utilization (CAMU), adding that China's annual scrap consumption has never before surpassed 100 million mt.
The association stated that scrap consumption surpassing 100 million mt indicates that China has entered into the era of large-scale consumption of steel scrap.
Market insiders expect that in the period from 2016 to 2020 China’s scrap industry will experience a significant turning point as scrap supply will rise significantly, which will require China to increase the share of scrap used in steel production, thereby contributing to the sustainable development of its domestic steel industry.