Germany-based Scholz Recycling Group says it has signed a memorandum of understanding (MOU) with a China-based aluminum producer to build a recycling-focused industrial park in Binzhou, Shandong Province, China.
Scholz, which is part of Hong Kong-based Chiho Environmental Group, signed the MOU with Shandong Weiqiao, which is part of China Hongqiao Group Limited, one of the world’s largest aluminum producers.
“This signature hopefully marks the next step for Scholz and shows that our unique recycling know-how is crucial for securing supply chains sustainably – especially in these difficult times”, says Scholz Recycling CEO Rafael Suchan regarding the MOU.
The industrial recycling park is being designed to secure and prepare the more than 200,000 metric tons of aluminum scrap required per year by Hongqiao, “and thereby contribute to a wider approach in reducing emissions and becoming more sustainable and environmental-friendly,” say the two firms.
The two companies also intend to enter the Chinese end-of-life vehicle (ELV) and spare parts market, they say. Within the first phase of the project, Scholz plans to collect and process up to 50,000 ELVs annually.