Prohibition of battery scrap import posts new challenges for recyclers

SHANGHAI, Feb 25 (SMM)—China began to import some solid wastes that can be used as raw materials from overseas in the 1980s in order to ease feedstock shortages. In August 2002, battery waste materials and battery scrap (mainly are lithium cobalt oxide waste) were included in the fourth batch of Prohibited Import Goods Catalog, but some companies seeking illegal benefits still smuggled foreign garbage at risk. In order to ensure safety of the ecological environment and increase domestic recycling rate of solid waste, China has severely cracked down on the smuggling of foreign garbage.

China unveiled the new Solid Waste Law and the Announcement on Matters Concerning the Comprehensive Ban on Import of Solid Waste in 2020. One of the key points in the Announcement clarified the goal of prohibiting import of solid waste in any form from 2021.

China’s imports of solid waste have been drastically reduced year by year since the country promoted reform of the solid waste import management system in 2017, and domestic solid waste recycling rate has been improved constantly.

Statistics from TrendEconomy, an international trade database, showed that China’s imports of battery waste materials and battery scrap dropped sharply to 1,522 kg in 2002, accounting for only 0.04% of the world’s total imports.

Some companies have been forced to purchase raw materials from domestic market after imports of battery waste materials were prohibited, according to feedback from SMM customers.  

SMM believes that the state's control of lithium battery waste import will have a greater impact on domestic recycling companies in the short term, but in the long run, it will play a strong and positive role in regulating the domestic recycling industry and raising recycling rates.