Circularity and decarbonisation in the face of legislative challenges

This year’s conference celebrated EuRIC’s 10th anniversary under the theme “Recycling Today. Resourcing Tomorrow.”

It brought together more than 150 participants including key stakeholders in the recycling industry to explore the role of circularity in Europe’s decarbonisation and raw materials autonomy, as well as how current and upcoming EU legislation affects recycled material trade.

This event, that took place on 26 September in Milan, Italy, marked a significant milestone for EuRIC as it celebrated a decade of EuRIC’s dedication to promoting circularity and sustainable recycling practices across Europe.

“We are still seeing a lot of hesitation regarding the objectives of moving beyond waste and developing recycling, especially during this period of low market conditions,” said Cinzia Vezzosi, President of co-hosting association Assofermet and Vice-President of EuRIC, who opened the event, while stressing that it is crucial to reflect on what circularity means for the industry’s activities. Olivier François, President of EuRIC, stressed that steel-related activities are among the highest CO2 emitters, and that scrap metal recycling is one of the safest ways to reduce greenhouse gas emissions.

Kurt Vandenberghe, Director General of DG CLIMA at the European Commission, emphasised that a thriving recycling industry is central to a circular economy, which is essential for achieving a climate-neutral and competitive economy. “Without it, achieving net-zero emissions would be impossible,” he noted.

In his presentation, Ioannis Bakas, (European Environment Agency) urged a nuanced discussion on raw materials autonomy. He noted that two-thirds of metals are sourced through exports and highlighted the diversity of natural resources as a critical factor in this context.

A panel moderated by Susie Burrage (BIR) addressed the role of circularity in Europe’s decarbonisation and strategic autonomy, featuring insights from Immavera Sardone (DG GROW, European Commission), Ioannis Bakas (EEA), Giovan Battista Landra (AFV Beltrame Group), and Pouyan Dardashti (Thommen Group).

Immavera Sardone emphasised that the new EU Commission is prioritising value chains and decarbonisation, particularly focusing on environmental commitments and end-of-life material management—issues that have long been highlighted by EuRIC’s advocacy. Pouyan Dardashti identified the implementation of EU legislation as the biggest challenge to achieving carbon neutrality, stressing the need for investments in recycling infrastructure.

When asked about the possibility of raw materials autonomy for Europe, Giovan Battista Landra remarked that complete independence from other markets is unthinkable. He suggested that the EU could introduce market drivers, such as Green Public Procurement (GPP), to encourage the use of higher recycled content and boost the secondary raw materials market. Ioannis Bakas underscored that a well-functioning recycling market requires both push and pull forces for materials.

Przemyslaw Kowalski (OECD) pointed out that waste and scrap face significant export restrictions, which have increased by over 20% in the past decade. He noted that iron, steel, and copper are particularly burdened by these new measures. He emphasised that trade in industrial raw materials is becoming increasingly concentrated, both in terms of exports and imports.

A second panel, moderated by Cinzia Vezzosi (Assofermet), featured, Yorg Aerts (DG ENVI, European Commission), Robin Wiener (ReMA), Murat Bayram (EMR) and Przemyslaw Kowalski (OECD).

According to Przemyslaw Kowalski, growing demand and limited supply can lead to “resource nationalism,” resulting in an increased tendency to impose more import/export restrictions. Robin Wiener noted that global demand for recycled materials is increasing over time, despite some short-term fluctuations.

Murat Bayram raised the topic of overlegislation, using waste shipments as an example of the burden it poses to recyclers. “We are facing a tsunami of legislation, all well intended. The problem is that it is not always clear how this will be interpreted, which creates uncertainty”, he stated. Yorg Aerts responded by calling for the rationalisation and modernisation of new waste trade rules, suggesting that European waste should be prioritised for use within Europe rather than for exports to other regions. He also stressed the need to find a balance between controlling waste movements and reducing burdens.

Despite concerns about stagnation in circularity within the steel recycling sector, many attendees and industry representatives affirmed that the industry has long operated in a circular manner. The consensus was that finding a win-win solution is essential for driving progress. The active participation of EU policymakers, industry representatives, recyclers, manufacturers, and economists at the ERC event demonstrated that progress and increased collaboration are indeed possible.

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