China Recycling Market Update – 8/7/2017

China Recycling Market Update – 8/7/2017

Seven concerning focal points regarding plastic scraps imports:

According to recently gathered information by CSPA from various government departments of China, certain issues relating to the position of plastic waste imports may be worth sharing (subject to change and writer does not assume any responsibility):

1)     The 12th batch of import permits is expected to be issued in mid-August.

2)     Decision on the issuance of the 13th batch of import permits will closely follow the 12th batch;

3)     China recently filed an import ban with WTO stating that shipments with bill of ladings dated prior to September 1, 2017 will only be accepted until December 31, 2017 (subject to official announcement);

4)     Existing import permits can be utilized only by licensed factories that successfully passed July inspections by the EPD without any orders for such factories to stop production;

5)     Those factories who received penalties during July inspections can apply for new import permits if they were not in violation of the following within the last two years:

5.1) importing prohibited waste items

5.2) importing solid waste for raw materials without permission

5.3) issuing applications for import permits with false information;

5.4) obtaining import permits through deceptive means;

5.5) transferring import permits;

OR the following within the last one year:

5.6) emission of pollutants in excess of standards or the permitted controlling total;

5.7) processing of imported waste not complying with standards or requirements as acceptable raw materials;

5.8) non-treatment of harmful waste generated from recycling process or import process;

5.9) non-compliance with the EPD on environmental monitoring records or operation condition for solid waste imports;

5.10) other violation of rules relating to environmental protection, customs and AQSIQ.

6)       Although there is no negative indication, it is still unclear if licensed importing factories who were not penalized during the July inspection can apply for new import permits. This issue is said to be addressed after the release of the 12th batch of import permits;

7)     Details regarding plastic waste that will be eligible for import into China for the 2018 year are still being reviewed and revised. They will likely be released in the next couple of weeks.

By Dr. Steve Wong
Executive President, CSPA
Chairman, Fukutomi Company Limited
Committee Member, Plastics Committee of BIR
Committee Member, WEEE Committee of BIR

7 August 2017

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