Copper scrap

Copper scrap is primarily categorized by its purity and physical form. Berry/Candy (No. 1 Copper) consists of clean, unalloyed copper wire or solids with a minimum copper content of 99%. Birch/Cliff (No. 2 Copper) may contain up to 94-96% copper and often includes oxidized or coated materials. For high-end manufacturing, buyers should prioritize Millberry Copper Wire, which is the highest grade of scrap, free from insulation, solder, and brittle burnt wire. Always request a Chemical Composition Analysis (SGS or CCIC report) to verify the presence of impurities like tin, lead, or zinc, which can significantly affect the smelting process.

Due to environmental regulations, copper scrap must meet strict international standards. Ensure the supplier complies with ISRI (Institute of Scrap Recycling Industries) specifications, which define the standard grades for non-ferrous scrap. For shipments to specific regions like China, a Pre-shipment Inspection Certificate (PSIC) and registration with AQSIQ (for historical compliance) or current GB/T 38471-2019 standards for recycled copper raw materials are mandatory. Failure to provide Environmental Protection Compliance documentation can lead to the cargo being rejected at the port of entry.

The value of copper scrap is intrinsically linked to the LME (London Metal Exchange) copper price. Buyers must calculate the Recovery Rate (Yield); for example, No. 2 copper will have a lower yield than No. 1 due to higher slag production during melting. Consider the Physical Dimensions of the scrap—baled or briquetted scrap is more cost-effective for shipping and furnace charging, whereas loose, bulky scrap increases Logistics Costs and handling time. Always factor in the Treatment Charges (TC) and Refining Charges (RC) if you are purchasing lower-grade scrap for further processing.

The scrap metal industry is high-risk for fraud. Never pay 100% upfront via T/T (Telegraphic Transfer) to a new supplier. Use a Letter of Credit (L/C at sight) or Escrow services provided by reputable platforms like Made-in-China.com. It is highly recommended to appoint a Third-Party Inspection Agency (such as SGS, Intertek, or Cotecna) to verify the weight and quality at the loading port before the final payment is released. Be wary of prices significantly below the LME market average, as this is a common red flag for scams.

Negotiations should focus on the Pricing Formula rather than a fixed price, usually expressed as LME Index minus a discount percentage. Clarify the Weight Tolerance (usually +/- 2-5%) and the Moisture/Impurity Deduction terms in the contract. Professional buyers often request a Video Inspection of the yard and stock to confirm the supplier's physical existence and processing capacity. Establishing a Long-term Offtake Agreement can help secure stable supply and better discount rates compared to spot market purchases.

Copper scrap is heavy and dense; ensure the supplier uses Heavy-Duty Containers and follows proper weight distribution guidelines to prevent container damage. Since copper is a high-value commodity, Marine Cargo Insurance is non-negotiable and should cover 'All Risks.' To prevent theft or 'switching' of cargo, ensure the container is fitted with High-Security Bullet Seals and that the seal numbers are clearly recorded on the Bill of Lading (B/L) and all shipping documents.