Recycled Metals Gain Strategic Importance in Global Supply Chains Copper • Aluminium • Lead • Zinc

 

Recycling: A Strategic Response to Volatility

Amid geopolitical volatility, rising energy costs, and environmental regulations, metal recycling has become not just an economic solution but a strategic necessity in global supply chains.
In the first half of 2025, recycled materials accounted for nearly 30% of the global supply of key metals—up from 20% in previous years.





Copper

The global copper market has seen an increase in the use of high-purity copper scrap, particularly in Europe and East Asia. Cable and motor manufacturers are actively sourcing from recycled copper to reduce dependency on imported raw ore. According to CRU, the global copper recycling rate reached over 35% in 2025.



Aluminium

Aluminium has the highest recycling rate among base metals. In countries like the U.S. and Germany, more than 70% of secondary aluminium comes from recycled sources.
Key Advantage: Recycling aluminium uses up to 95% less energy compared to primary production, making it both cost-efficient and environmentally sustainable.



Lead & Zinc

In the lead market, used battery recycling is the primary production source, especially in Europe, where over 80% of consumed lead is recycled.
Zinc—critical in galvanizing processes—now sources over 25% of its global supply from recycled material. Blended use of secondary and mined zinc reduces pricing risks for manufacturers.



Final Insight

Policy changes in the EU and China are driving the global shift toward sustainable sourcing.

Investment in purification tech and advanced recycling systems is boosting the quality of secondary metals.

Sustainability, cost efficiency, and branding are all motivating companies to increase recycled content in their supply chains.


> At Royal Metals, we continue to monitor these trends closely as we explore new opportunities in the secondary metals market.