SHANGHAI, Dec 5 (SMM) – China issued a fresh batch of import quotas for aluminium scrap for 2019 on Tuesday, with the quota volume declining sharply as expected.
The China Solid Waste and Chemicals Management Bureau, a unit of the Ministry of Ecology and Environment, issued import quotas for another 9,844 mt of aluminium scrap. The latest batch of quotas was allocated to 15 companies, which have obtained 13,834 mt of import quotas for the fourth quarter, down 70.52% from 46,930 mt from Q319.
China has granted three batches of import quotas of a cumulative total of 68,549 mt for aluminium scrap for Q4, down 83.09% from 405,416 mt in all the four batches of quotas for Q319.
Data from China customs showed that about 459,000 mt of foreign aluminium scrap was imported into China in July to October, after restrictions on imports of Category 6 metal scrap came into force on July 1.
Realised imports in July to October have taken up a great proportion of the cumulative total of almost 474,000 mt of import quotas for Category 6 aluminium scrap issued so far, indicating that limited amount of aluminium scrap will be allowed to enter China in the last two months of 2019.
The newly-issued quotas are likely to allow companies with cargoes left in limbo at ports to claim their shipments into domestic markets.
There is unlikely to be fresh import quotas for 2019, and SMM expects the first batch of quotas for 2020 is likely to be issued after December 20.
