Sims Limited has so far experienced a "very limited" operational impact from the escalating conflict in the Middle East, with effects largely confined to higher fuel and freight costs rather than physical disruption to scrap flows, the company said at an investor day event held on Tuesday in Houston.
According CEO Stephen Mikkelsen, the company does not ship bulk ferrous volumes through the affected chokepoints in the conflict region. There have been some complications with containerised non-ferrous shipments, although flows have continued. Freight cost increases observed to date have been "relatively mild compared to the value of the cargo" and are being managed through adjusted commercial terms, Sims explained....
