China issues scrap metal import quota for 4Q

Market: Metals
23/09/19

The Chinese government today issued a new scrap metal import quota that approved just under 70,000t of copper, aluminium and ferrous scrap arrivals for the rest of this year.

The additional quotas — issued today by China Solid Waste and Chemicals Management, an agency of the environment ministry — are for a combined 66,368t of copper, aluminium and ferrous scrap for delivery to ports in south and southeast China.

The extra quota for copper scrap — under harmonised tariff code 7404000090 — is 31,658t. The quota for aluminium scrap — tariff code 7602000090 — is 32,940t, and the quota for ferrous scrap is 1,770t.

The copper scrap quota is for delivery to the ports of Ningbo, Shanghai, Xiamen, Nanhai, Nansha and Xinhui, while the aluminium scrap quota is for Ningbo, Nanhai and Nansha.

The total of all copper scrap import quotas approved to date is 484,217t, with aluminium at 405,416t and ferrous at 22,688t.

The import quota for copper scrap is below the volume imported in the third quarter of last year, whereas the aluminium scrap quota is above the third-quarter figure. China imported 624,276t of copper scrap and 349,510t of aluminium scrap in July-September 2018, customs data show.

Under the new policy, all scrap metal importers in China will need import licences issued under approved quarterly quotas from 1 July before they can receive any material.

The previous quotas were announced on 20 June, 10 July and 14 August.

China imported 5.32mn t of scrap last year, of which copper accounted for 45pc, or 2.41mn t, aluminium 1.57mn t and ferrous 1.34mn t.

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