China simplifying procedures for scrap imports

China is simplifying its procedures for the import of scrap by no longer subjecting it to its Ministry of Commerce’s (Mofcom) licensing requirements from September 1.

Paragraph entered by Atlantic migration, in order for SteelFirst articles to display correctly on Metal Bulletin.

The ministry announced this week that imports of ferrous scrap, stainless scrap, aluminium scrap and copper scrap will be exempted from its licensing requirements. Apart from these, exemptions will also be made for imports of semi-finished copper and copper products as well as stainless steel products, among others.

Market participants are waiting for more detailed information about the policy change.

“It’s expected to be a government move to reduce red tape,” a source at Fengli Group, one of the country’s largest scrap traders, told Steel First.

Apart from permits issued by the ministry’s commerce commission, scrap importers in China also need to obtain licences from the General Administration of Quality Supervision, Inspection and Quarantine (AQSIQ) and the Ministry of Environment Protection.

“Compared with the AQSIQ licence and solid waste import licence [from the Ministry of Environmental Protection], Mofcom’s import permit is more procedural as one needs to apply for an import permit for each bill of lading,” the Fengli source explained.

“It would simplify the procedure of scrap imports if the [Mofcom] licensing requirement is removed,” a scrap trader source in north-eastern China said.

“There is no way that the solid waste import licence will be removed since China is taking environmental protection very seriously. The green fence campaign is still ongoing,” she added.

Scrap importers have to apply for the solid waste import licences annually. Checks are done to ensure importers are qualified and there is a quota for each licence.

As for the AQSIQ licensing, scrap importers are typically granted three-year renewable permits.

What to read next
Following a six-week consultation period, Fastmarkets can confirm it will amend the calculation method for all the average functions on the Fastmarkets platform from Wednesday March 1, 2023.
Consolidation, the recycling of electric vehicle batteries, US steel exports and the benefits of sustainable steelmaking were key talking points at Fastmarkets’ Scrap & Steel 2023 conference in Dallas in January
Green shoots of increased demand will emerge in US ferrous markets courtesy of the Biden administration’s trillion-dollar infrastructure package in 2023, Schnitzer’s executive vice president and chief strategy officer Richard Peach said at Fastmarkets’ Steel and Scrap Conference 2023 in Dallas, Texas
US special bar quality steel prices rose in January in line with rising scrap and alloy costs, according to market participants
European metal industry association Eurometaux has called on the European Commission to follow the lead shown by the Inflation Reduction Act and deliver a “powerful” policy to support the industry in the EU while it tries to keep up with the move to a new generation of energy markets
The fallout from Russia’s invasion of Ukraine is changing global trade flows for bauxite, with Brazilian material once again flowing into China and with the introduction of export restrictions elsewhere likely to influence availability through 2023
We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.