Malaysia’s copper scrap market has remained struggles in recent years, with both upstream traders and downstream smelters under increasing pressure. According to SMM, this situation is closely related to the government’s intensified import supervision since 2021, particularly the stringent inspection regime enforced by SIRIM (Standards and Industrial Research Institute of Malaysia). Unless import standards are revised or clearance procedures streamlined, Malaysia risks losing its competitiveness and influence within the Southeast Asian recycled metals market.

[SMM Analysis: Policy Tightening and Supply Outflow: Malaysia's Copper Scrap Market Trapped in a Downturn Cycle] Malaysia's copper scrap market has remained sluggish in recent years, with the entire industry chain, from upstream trading to downstream smelters, facing significant pressure. According to SMM, this situation is closely linked to the Malaysian government's continuously tightened import supervision policies since 2021, particularly the high-standard review mechanism implemented by SIRIM (Standard and Industrial Research Institute of Malaysia), which has significantly altered the scrap metal trade landscape in Southeast Asia. If the government does not adjust import standards or simplify customs clearance procedures, Malaysia risks losing its important position in the Southeast Asian recycled metals market.