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Belaboring the Obvious

by electronicsrecyclingdirectory.com on 04/29/2013 - 10:48 am |

Tags: Industry News and Views

There is something really annoying about a study laying out things we already know and telling us we “need to” do things we are already doing. 
The UN tells us “Global metal needs will be three to nine times larger than all the metals currently used in the world” if demand in emerging economies rises to levels of rich nations—that the total amount of steel used in the United States is 11 to 12 mt. per person, compared to 1.5 mt. in China. The study goes on to say that if electronics manufacturers used metal compounds that are easier to separate, the looming shortage would be reduced.  (Never mind that three to nine percent is quite a range and let’s overlook questions of causation.)
No OEM uses an ounce more precious or nonferrous metal than necessary; every OEM ceaselessly searches for ways to eliminate them entirely.   Every year, metals contained in electronics are reduced, and once in a while, there are major breakthroughs.  
But the technology enabling easier separation can be intractable.  Gold/tin alloy is no one’s choice.  It’s expensive to manufacture and difficult to refine.  Everyone would prefer to use tin alone (or some other substitute), which would solve the separation problem, raw material cost and the refining  fees and retentions.   Tin has the alloy’s low melting point, but is missing the its corrosion resistance, strength and reliability.  
Studies identifying obvious problems are not helpful; studies to solve them would be.

Answer to a Maiden's Prayer?

by electronicsrecyclingdirectory.com on 04/16/2013 - 03:44 pm |

Tags: New Technologies

Answer to a maiden’s prayer?  Nulife Glass’ new plant in New York might put a dent in the glut of CRT glass. Having just won the 2012 CEA Innovation Eco Challenge Award , Nulife Glass set up its first plant a few months ago in England.  It was an instant success and the process has given SWEEEP Kuusakoski –which invested in the furnace—a strong competitive edge.  Isn’t it great to see smart ideas rewarded?  And credit goes to CEA for recognizing talent.

Sims, CheckMEND and Electronics Recyc...

by electronicsrecyclingdirectory.com on 03/05/2013 - 08:26 pm |

Tags: Industry News and Views

Being an industry leader carries responsibilities.  By contracting with CheckMEND (www.checkmend.com), Sims sets a standard and establishes a practice that others will follow. 
 
Theft is a chronic problem in nonferrous scrap and certainly in precious metals.  But these are fungible commodities and difficult to track.  Not so with electronics consumer items, which have model numbers, serial numbers and registration numbers.   Most states give no consideration to innocent buyers, so being an intermediary trafficking in stolen goods could have embarrassing and sometimes calamitous results.  It’s only practical to take precautions.
 
Sims is also showing foresight in preempting Government regulation.   Perhaps more than any industry, electronics recyclers have benefited from Government regulation.  State Governments support recyclers and refurbishers by barring electronics from landfills.  State and federal regulators, NGOs and certification bodies offer support by forcing domestic consumption. 
 
But if you sleep with regulators, you wake up with…regulations.  To avoid their buying stolen goods, pawn brokers report every transaction to the police.  If the CheckMEND strategy averts regulation, the industry will owe Sims a debt of gratitude.
 
Mike
 

What Do Rare Earths and Conflict Mine...

by electronicsrecyclingdirectory.com on 02/03/2013 - 04:06 pm |

Tags: Industry News and Views

What do rare earth- and conflict-minerals share in common?
 
China.  In rare earths,  China has the whip hand and is consolidating it.  Today, China controls some 97% of rare earth production and refining.  To blunt WTO initiatives, It might give up 5% or 10% of market share while it upgrades its environmental abatement facilities.  But even at 50%—which won’t happen in our lifetimes—China will have the market strength to run prices up and down at will, exacerbating price instability for financial or political gain.  But to what end? 
 
China’s priority has long since shifted from maximizing raw material export prices to attracting manufacturers into the country.  In this respect, China may already have won the rare earths battle.  It could well be that OEM commitment to manufacturing in China is already too great to be reversed.  Companies that do not move to China will expose themselves to raw materials market manipulation, and that pressure will intensify on the diminishing number of companies that outside China. 
 
As to conflict minerals, if China has not already stolen the march, it soon will.  Conflict minerals come from the Democratic Republic of Congo and the nine adjoining countries.  Taking the DRC as an example, the United States accounts for less than 20% of DRC exports (and shrinking); China accounts for almost 50% (and growing fast).  If the United States eschews DRC tin, tungsten and tantalum, is there any question that China will fill the vacuum?  (United States gold imports from the DRC are a figment of the NGO’s imagination.  Gold imports from DRC in 2010 were 12 troy ounces (!), and that was before Dodd-Frank.)
 
The NGOs will have us believe that supply chain due diligence will disclose the source of conflict minerals in Chinese electronics components, jewelry, automobile parts, etc.  But unlike the United States and the OECD signatories, there is no imperative for Chinese manufacturers to disclose their raw materials sources to a “private sector auditor.”  So U.S. and OECD manufacturers will have to trust the word of Chinese suppliers that their products are “DRC conflict free.”  Remember:  these are the same folks that brought you toluene in baby food.
Mike R.

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