Is it true that RFID doesn work near metal and water?
No. It is true that radio waves bounce off metal and are absorbed by water at ultrahigh frequencies, which can make tracking metal products or those with high water content problematic. However, good system design and engineering can overcome this problem. Low- and high-frequency tags work better on products with water and metal. In fact, there are applications in which low-frequency RFID tags are actually embedded in metal auto parts for tracking.