Study Shows Stainless Steel Recycling Can Drastically Cut CO2 Emissions In Thailand

A recent collaborative research effort by Thai and German scientists, on behalf of Oryx Stainless (Thailand) Co., Ltd., has unveiled significant findings regarding the impact of stainless steel recycling on climate change mitigation. The study, orchestrated by the Fraunhofer Center for International Management and Knowledge Economy IMW, presents a compelling case for the benefits of recycling stainless steel, both in Thailand and on a global scale.

The research indicates that utilizing one ton of stainless steel scrap in the production of new stainless steel can result in a saving of 6.71 tons of CO2 emissions when compared to using primary raw materials. This analysis, when applied to the volume of stainless steel scrap processed by Oryx Stainless in Thailand during 2021, translates to an estimated CO2 saving of 556,000 tons. This figure is roughly equivalent to the annual CO2 footprint of the residents in the Muang Chachoengsao district.

Thailand's vulnerability to climate change is underscored by its ranking as 9th on the global long-term climate change risk index. The nation faces significant risks from natural hazards including heat waves, droughts, floods, cyclones, and storm surges, with floods representing the most imminent threat. Despite these challenges, the study reveals that recycling stainless steel could lead to substantial economic savings for Thailand, estimated at around 1.9 billion Thai baht (more than 50 million US dollars).

The researchers advocate for the establishment of a robust framework to support a professional circular economy that promotes recycling and climate protection. They suggest the incorporation of CO2 emissions pricing in Thailand and recommend expanding the Thai Bio-Circular-Green Economy Model to encompass metal scrap. Additionally, they call for improved operating conditions for the recycling industry and urge government support for research, development, and educational initiatives in these sectors.

The significance of resource efficiency and recycling is further highlighted by the growth of the stainless steel industry in Southeast Asia. With a production volume reaching 7.79 million tons in 2023 (excluding China and South Korea), Asia has become a key player in the stainless steel market. Countries such as Malaysia and Indonesia are ramping up their production capabilities. Thailand itself produced approximately 366,000 tons of stainless steel in 2022, positioning it as the second-largest consumer of stainless steel in Southeast Asia.

In conclusion, this study underscores the vital role that recycling stainless steel plays in combating climate change. It calls for enhanced policy support and favorable conditions for the recycling industry to maximize its contribution to climate change mitigation.