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The article deals with the decision of Chinese scrap metal buyers to set up their own scrapyards in the U.S. in line with small profit margins on imported materials while others are considering doing so in order to acquire scrap at lower prices for shipment to China. A trading company executive relates that the move was prompted by present market conditions that contribute to almost nothing profit margins for Chinese scrap metal buyers. Jady, owner of Gem Iron & Metal Inc., shares that their profit has improved after setting up a U.S. yard.

The article reports on the claim by Chinese scrap buyers that they are being disadvantaged by consolidation in the steel industry, particularly in the United States. Chinese buyers stated at an industry event in early November 2010 in China's Zhejiang province, that such activity will leave pricing control in the hands of just a few players akin to what has occurred in iron ore.