NEWS

2018.7.25
A metal Asia
China’s plastic recyclers go abroad as import ban bites

DOMESTIC WASTE

Efforts to have recyclers take on more domestic waste have been progressing
slowly; only 5 percent of domestic recycling firms have so far been able to
switch to local sources of scrap, according to CSPA figures. “Handling
imports and handling domestic material are two very different channels and
it will take time to switch,” said Jinhui’s He. Recyclers said the
government’s abrupt ban gave the sector no time to adjust, and crucially,
China has not devised policies required to scale up and standardize
treatment of domestic waste, which is usually handled by small backstreet
operators.

With foreign material still the best option, companies hoped moving to
countries like Malaysia and Thailand would enable them to deliver processed
foreign scrap to China in a higher-grade form, but their shipments have
faced delays. Customs are under pressure to ensure not only that imported
pellets meet exacting standards, but also that containers are not being used
to smuggle illegal low-grade waste, and cargoes are under far greater
scrutiny, He said.

MORE RESTRICTIONS?

The shift to Southeast Asia has alleviated some of the disruptions caused
by the ban for companies in Europe.

“We are continuing to export significant volumes, but to different
destinations,” said Roger Baynham, head of the recycling division of the
British Plastics Federation. But as foreign trash piles up in countries like
Thailand and Vietnam, China’s recyclers face more risks. “No one wants this
trash and the industry is worried these other countries will impose their
own restrictions,” said a China-based executive with an overseas recycling
firm who did not want to give his name.

CSPA said Thailand was tightening regulations and raising import taxes,
with one China-invested importer already forced to close. Malaysia also
temporarily suspended new import permit applications in mid-May. Jinhui’s He
said he was worried that importing rules were likely to get tougher across
the region amid environmental concerns. “There’s no way China will import
this sort of stuff again,” he said. And Southeast Asia “will become more
standardized and regulate more stringently”.

 

http://news.abs-cbn.com/business/06/26/18/chinas-plastic-recyclers-go-abroad-as-import-ban-bites