As traffic through the Strait of Hormuz gradually recovers, businesses across Europe are continuing to deal with the after-effects of disrupted global supply chains. 

While ships are moving again, delays, higher transport costs and uncertainty continue to affect industries that rely on the steady flow of raw materials.

In Germany's industrial heartland, one sector believes it can help make those supply chains more resilient.

At TSR's recycling facility in Duisburg, discarded metal from across the region is transformed into high-quality recycled raw materials used by steelmakers and manufacturers. The process begins with obsolete scrap, which is shredded, sorted and analysed before being prepared for reuse in steel production.

"We use 100% obsolete scrap," said Denis Reuter, Chief Operating Officer of the TSR Group. "We feed it into a shredder, we break it, we sort it and, in the end, we get a very clean recycling product that can be used again in high-quality steel making."

The company processes everything from old vehicles to industrial machinery. Reuter describes end-of-life vehicles as "rolling mines" because of the valuable materials they contain, including steel, aluminium, copper, batteries, glass and plastics. 

Recovering and separating those materials means they can be returned to manufacturers instead of relying entirely on newly mined resources. That has taken on greater importance as recent disruption to global shipping has highlighted the vulnerability of international supply chains.

"When those supply chains are disrupted, you have to turn to something you have available right in front of your doorstep," Reuter said. "Recycled products are much less vulnerable to those supply chain disruptions. In terms of resilience, recycling makes an awful lot of sense."

Industry representatives say that does not reduce the importance of international trade. Instead, they argue that stronger recycling capacity should complement open and efficient global supply chains.

"When global supply chains become fragile, every recycled tonne produced in Europe becomes even more valuable," said Murat Bayram, President of the Circular Metals Association. "Resilience is built by keeping supply chains open, flexible and connected."

Although the scrap processed at Duisburg is collected locally, the recycled metals produced there are supplied to customers across Europe and around the world. 

As manufacturers continue to navigate the uncertainty created by disruption to global shipping, Germany's recycling industry believes recovering more valuable materials at home can help reduce dependence on imported raw materials while strengthening the resilience of international supply chains.