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Auto recycler ready to add shredder in Montreal region

Keywords: Tags  ferrous scrap, auto recycler, shredder, startup, Certi Recyclage, Sherbrooks, Quebec, ArcelorMittal Montreal Inc. American Iron & Metal Co.


NEW YORK — Competition for obsolete ferrous scrap in the Montreal region is set to increase with a new shredder preparing to begin operations in about a month.

Sherbrooke, Quebec-based auto recycler Certi Recyclage has begun work on installing a shredder at its facility, which is about an hour from Montreal, AMM has learned.

A spokesman for the company confirmed the development and said the shredder is scheduled to go online between the end of March and the beginning of April.

The company did not disclose the size or type of shredder, saying only that it was not a mega shredder "but it is a car shredder."

Market participants said the entry of a new shredder would create more competition in a region that ships the lion’s share of its shreddable material to one steel mill and one bulk exporter that own and operate two shredders each: ArcelorMittal Montreal Inc. and Montreal-based American Iron & Metal Co. Inc.

A third company, Montreal-based Associated Steel Industries Ltd., operates the fifth shredder in the region.

Certi Recyclage’s new shredder could bring better price support to suppliers of shredder feed, according to some market participants, while others said existing players may face tighter margin squeeze.


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