Chinese Waste and Scrap import ban likely to boost domestic Plastic demand
BEIJING (Scrap Register): China in an effort to make the country Eco-friendly by reducing pollution, they are planning to ban waste and plastic imports by the end of the current year which will curb domestic plastic recycling, this decision is expected to see an increase in the plastic demand in China which is already on a rising note.
China imposing a ban on certain scrap imports, including a plethora of plastic waste for recycling is expected to have a negative economic impact on the United States, as United States is the major source of waste and scrap imports to China.
“The ban of scrap and waste plastics is definitely positive for polyethylene producers as there will be a shift of consumption from recycled polyethylene to prime virgins polyethylene,” said J.P. Nah, director of polyolefins at IHS Markit Chemical.
China is the top global importer of waste and scrap, China imported about 7.3 million tons of waste plastics in 2016, more than half of the world’s discarded plastic.