FOCUS: Chinese ferrous scrap imports expected to resume in Jan 2021

Chinese market participants expect imports of ferrous scrap to resume in January 2021 despite news that the country will completely halt inbound shipments of solid waste from the first of that month.

China will prohibit the import of all types or forms of solid waste, including ferrous scrap, from next year, according to a notice released by Ministry of Ecology & Environment on Wednesday November 25.
But instead of continuing to utilize the existing import quota system, market participants expect authorities to rename ferrous scrap as recycled steel raw material, which is excluded from the list of banned imported products.
This would be in line with a move on November 29 by the Standardization Administration of China, in which it approved new domestic steel scrap classification standards that define processed raw steel scrap as recycled steel raw materials.
Indeed, a few Chinese mills and large trading houses have already started to seek out foreign suppliers of scrap this month to lock in volumes to be imported next year, market sources told Fastmarkets.

Exporters in Japan, a major supplier of ferrous scrap, said...

Published

Jessica Zong

December 01, 2020

03:26 GMT

Shanghai