Exporting Recycled PGM to the US — Auto Shredder and Catalyst Recyclers

Recycled platinum group metals (PGMs) — primarily platinum, palladium, and rhodium — are the backbone of the US automotive catalyst recycling industry. As the world’s largest consumer of automotive catalytic converters, the United States relies heavily on secondary PGM supply to meet manufacturing demand for new converters, electronics, and chemical catalysts. For US auto shredders and catalyst recyclers, securing a consistent, high-quality flow of recycled PGMs is critical to operational margins and supply chain resilience. Latin America and Africa, with their growing vehicle fleets and expanding recycling infrastructure, offer a compelling source of these materials. Exporting recycled PGMs from these regions to the US presents a strategic opportunity for suppliers and buyers alike. This page provides a comprehensive overview of the product specifications, supplier landscape, buyer requirements, certifications, pricing context, and how Coppermont facilitates these cross-border transactions.

Product Specifications and Grades Relevant to US Buyers

Recycled PGMs destined for US auto shredders and catalyst recyclers are categorized by their form, purity, and processing stage. The most common forms include spent catalytic converters (whole or crushed), catalytic converter scrap (ceramic or metallic substrate with PGM-containing washcoat), and processed PGM concentrates (e.g., ash, sludge, or filter cakes from pyrometallurgical or hydrometallurgical recovery). US buyers typically specify minimum PGM content thresholds. For example, a standard mixed PGM concentrate might guarantee a combined platinum, palladium, and rhodium content of at least 3% by weight, with individual metal ratios varying by catalyst source. Ceramic substrate scrap often contains 1,000–2,000 grams per ton (g/t) of combined PGMs, while metallic substrates from diesel converters may yield higher palladium loads. Rhodium, though present in smaller quantities (typically 50–200 g/t), commands premium pricing due to its scarcity and catalytic efficiency.[1] Buyers also require detailed assay reports from accredited laboratories, specifying PGM concentrations, base metal impurities (e.g., iron, copper, nickel), and moisture content. ASTM E1915-20 provides a standard test method for analysis of PGM in recycled materials, which US recyclers commonly reference.[2] Suppliers must ensure their material is free from hazardous contaminants such as mercury or lead, as these can complicate refining and regulatory compliance.

LATAM and Africa Supplier Landscape for Recycled PGMs

Latin America and Africa are emerging as significant sources of recycled PGMs for the US market. In Latin America, Mexico leads as a hub for spent catalyst collection, driven by its large automotive manufacturing base and proximity to US border crossing points. Brazil and Colombia also generate substantial volumes of spent catalytic converters from their growing vehicle fleets, with informal collection networks feeding into formal recycling operations. African supply is concentrated in South Africa, where the country's dominance in primary PGM mining (supplying over 70% of global platinum) has fostered a robust secondary recycling ecosystem.[3] Additionally, countries like Ghana and Kenya are seeing increased collection of end-of-life vehicles, providing new sources of catalyst scrap. However, supplier reliability remains a challenge. Many LATAM and African suppliers operate at smaller scales, lacking the capital for advanced processing equipment. As a result, exported material often requires further beneficiation in the US. Quality inconsistencies—such as variable PGM grades or high moisture levels—can create friction in transactions. Nonetheless, the growing push for circular supply chains and the premium US buyers place on ethical sourcing are driving investment in formal recycling infrastructure in these regions. Suppliers who can provide consistent volumes, certified assays, and compliant shipping documentation are well-positioned to capture US market share.

US Buyer Types — Who Buys Recycled PGMs and How They Procure

The primary US buyers of recycled PGMs are auto shredders and catalyst recyclers, which operate at different points in the recycling value chain. Auto shredders process end-of-life vehicles (ELVs) and separate catalytic converters from other scrap. They typically sell whole or crushed converters to catalyst recyclers, who then extract and refine PGMs. Major US catalyst recyclers include companies like BASF, Umicore, and Johnson Matthey, which operate large-scale refining facilities. These buyers procure material through long-term contracts, spot purchases, and toll-processing agreements. Key procurement criteria include consistent PGM content, documented chain of custody, and compliance with US Environmental Protection Agency (EPA) regulations governing hazardous waste. For example, spent catalysts classified as hazardous waste under the Resource Conservation and Recovery Act (RCRA) must be shipped with a manifest and handled by permitted transporters.[4] Smaller recyclers may focus on niche streams, such as high-rhodium diesel catalysts, and often pay premiums for verified material. All buyers require suppliers to provide detailed assay reports from ISO/IEC 17025 accredited labs, as well as proof of origin and export documentation. Payment terms typically include a provisional payment based on estimated PGM content, followed by a final settlement after refining. US buyers increasingly prioritize suppliers with environmental certifications, such as R2 or e-Stewards, though these are not yet universal for PGM scrap.

Certifications and Import Requirements for Recycled PGMs

Exporting recycled PGMs to the US involves a complex web of certifications and regulatory requirements. First, suppliers must ensure compliance with the US Toxic Substances Control Act (TSCA), which governs the import of chemical substances, including PGM concentrates. Material must be accompanied by a TSCA certification statement attesting it is not subject to restrictions. Second, the EPA regulates spent catalysts as hazardous waste under RCRA, requiring generators and transporters to use a uniform hazardous waste manifest and comply with storage and labeling standards.[4] For imports, suppliers must coordinate with US consignees to ensure proper handling under RCRA. Third, the US Customs and Border Protection (CBP) requires a commercial invoice, packing list, and bill of lading, along with a certificate of origin (e.g., under USMCA for Mexican material) to qualify for preferential tariff treatment. The Harmonized Tariff Schedule (HTS) code for spent catalysts containing PGMs is 2620.30.00, which carries a duty rate of 0% for most countries, but correct classification is essential to avoid delays.[5] Additionally, assay certificates from ISO/IEC 17025 accredited labs are critical for customs valuation and for buyer quality assurance. Suppliers should also consider voluntary certifications like the Responsible Recycling (R2) standard or the London Bullion Market Association (LBMA) Responsible Sourcing program, which enhance credibility with US buyers. Finally, export licenses from the country of origin may be required, particularly for materials with high PGM content. For example, South Africa’s Department of Mineral Resources and Energy mandates export permits for PGM-bearing scrap to prevent illicit trade.[6]

Pricing and Lead Time Context

Pricing for recycled PGMs is benchmarked against London Metal Exchange (LME) and London Platinum and Palladium Market (LPPM) spot prices, with discounts applied for processing costs and impurity levels. As of early 2025, platinum trades around $900–$1,000 per troy ounce, palladium near $1,000–$1,200 per ounce, and rhodium at $4,500–$5,500 per ounce, though these fluctuate with automotive demand and supply disruptions.[7] Recycled PGMs typically command 80–95% of LME prices, depending on concentrate grade and volume. For example, a 5-ton lot of ceramic catalyst scrap with 2,000 g/t combined PGMs might be valued at $300,000–$400,000 based on metal content, minus refining fees of 5–15%. Lead times from LATAM suppliers average 4–8 weeks, including collection, processing, assay, and shipping. African shipments, particularly from South Africa, take 6–12 weeks due to port congestion and export permit processing. US buyers often require Just-in-Time (JIT) delivery schedules, so suppliers must maintain buffer inventory or work with logistics partners. Payment terms typically involve a 70–80% provisional advance against assay, with final settlement within 30 days of refining completion. Currency risk is managed through USD-denominated contracts, which dominate US trade. Suppliers should factor in hedging costs if they seek price protection against PGM volatility.

How Coppermont Connects Suppliers to Buyers

Coppermont bridges the gap between LATAM and African PGM suppliers and US auto shredders and catalyst recyclers. Our platform provides end-to-end trade advisory, from supplier vetting to logistics coordination. We help suppliers achieve compliance with US import regulations, including RCRA manifesting, TSCA certifications, and assay documentation. For buyers, we offer a curated pipeline of vetted suppliers with consistent quality and volume. Our team leverages deep market intelligence to match material grades with buyer specifications, reducing transaction friction. Whether you are a supplier looking to expand into the US market or a buyer seeking reliable recycled PGM sources, Coppermont streamlines the process. Contact us today to discuss your needs.

Ready to Source or Supply Recycled PGMs?

Are you a supplier of recycled PGMs in Latin America or Africa? Partner with Coppermont to access the US market. Are you a US auto shredder or catalyst recycler? Source consistent, high-quality recycled PGMs through our trusted network. Reach out to our team for a consultation.