Higher copper price in Malaysia leading to more brazen thefts

The price of copper has skyrocketed to more than twice its price from over a year ago, commanding up to RM42 (US$10) a kilogramme.

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A worker from Nithia Sree Enterprise, a licensed operator in Kg Sg Kayu Ara, sorting out metallic items for recycling. PHOTO: THE STAR

January 6, 2026

PETALING JAYA – Rising copper prices are sparking a surge in theft and vandalism, including damage to public infrastructure caused by metal-hunting thieves.

The price of copper has skyrocketed to more than twice its price from over a year ago, commanding up to RM42 a kilogramme.

With an increasing involvement of foreign scrap collectors cashing in on the rise in recent years, licensed local scrap metal operators are starting to feel the pinch.

Malaysian Indian Metal Traders and Recyclers Association president Datuk Seri RS Arumugham said the surge in theft and vandalism of public infrastructure were being fuelled by unlicensed scrap collectors, with a large proportion being foreigners, including those holding United Nations High Commissioner for Refugees (UNHCR) status.

“They are mostly mobile collectors with no fixed premises, so it makes enforcement extremely challenging.

“Illegal collectors offer higher prices (to entice some to sell to them) because they bear lower operating costs.

“It is an unfair competition to legitimate businesses as illegal collectors avoid licensing fees, compliance costs, taxes and safety standards.

“Their existence has also put a dent on our image, as theft and vandalism linked to scrap metal are often wrongly associated with the entire industry.

“Licensed operators feel frustrated and marginalised, especially when enforcement has been inconsistent,” he told The Star.

On public infrastructure, Arumugham stressed that licensed operators are not legally allowed to purchase items such as telco cables, power cables, manhole covers, and signboards from collectors or unknown parties.

He said that as the items were government or utility company property, possession or trade without authorisation is a criminal offence.

“Licensed operators are expected to reject these items and report any suspicious offers,” he said.

Arumugham said the association believes tighter regulation such as mandatory collector identity cards, seller verification and digital transaction logs would improve traceability and deter sale of stolen scrap metal.

“The association strongly supports these measures, provided that they are applied uniformly, digitalised and backed by consistent enforcement,” he said.

Asked if there was a single policy he would propose which could swiftly cripple the stolen scrap supply chain, especially networks dominated by unlicensed foreign operators, Arumugham said banning cash transactions for scrap metal purchases nationwide while mandating seller identification would swiftly eliminate anonymity, make stolen scrap metal more difficult to sell and discourage opportunistic theft.

“Countries that have adopted this approach have seen rapid reductions in cable theft and infrastructure vandalism,” he noted.

Meanwhile, Kajang resident S. Rajan said foreigners collecting scrap were a familiar sight across the Klang Valley, routinely scouring rubbish bins for aluminium cans, copper wiring, cardboard and other items.

He said these foreigners ride motorcycles with a sidecar to collect the scrap.

He wonders if they have valid driving licences, road tax and motor insurance.

“They are everywhere and do this nonchalantly without fearing action from the authorities.

“If there are any metal items like bicycles or steel frames that are left unattended outside homes, they will grab it and speed off. I have witnessed this when a child’s tricycle left outside a house was taken by one of them.

“The foreigners can be seen going door to door buying scrap metal from residents, construction site workers and factory operators,” Rajan said.

He discovered from past conversations with the foreign collectors, they often undercut local collectors and could earn an average of RM200 a day.

Over the past months, several cases of telco and power cables were reported stolen, with several being caught in the act on videos which were later circulated on social media platforms.

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