GQEBERHA - South Africa’s ferrous scrap metal industry is facing mounting pressure, with concerns that easing current export restrictions and price controls could put the country’s green steel ambitions and thousands of jobs at risk.
Industry insiders caution that as international demand for low-emission steel grows, the country might lose a vital resource if too much scrap is exported, leaving local producers short on supply.
This could push up production costs and slow down efforts to transition to environmentally sustainable steelmaking.
Coega Steels Director, Amit Saini, says South Africa has limited scrap reserves, and failure to secure enough for domestic manufacturing could lead to significant shortages within a few years.
He warns this could jeopardise thousands of livelihoods in the sector.