Scrap metal has become the latest material facing warnings about the value of some grades in light of restrictions imposed on material imports by the Chinese government.
And, the country, earlier this month (August 2018), has announced that imports of materials from America for recycling will be subject to a 25% tariff. This is part of the trade wars between the US and China.
On the metals front, China’s official inspection contractor for the export of recyclable materials has reaffirmed that it will do its “utmost” to prevent “unqualified” scrap materials entering China.
The remarks by the CCIC comes as the metals market in the UK adjusts to the restrictions, with warnings that the value of light iron material and scrap cars could be hit.
The CCIC remarks were made earlier this month when the Minister of the General Administration of Customs of China, Mr. Ni Yuefeng visited CCIC Europe “for inspection and work guidance.”
Prices for recyclable materials which are still allowed into China from the UK and the rest of Europe are likely to rise in value in the short term at least, after the Chinese announced the tariff on recyclable materials from the US which is a big supplier to China.
Increases in the UK in early to mid August were estimated at about £3 per tonne for high quality cardboard for China as a consequence of the tariffs. But the situation is complicated by many factors and the sector is watching the markets on a daily basis.