Wednesday 25 August 2021

Metal Recycling in China: China Opens Door for Ferrous Scrap

On 1st January 2021 China ended its two-year ban on steel scrap import. The ban was imposed in 2018 as prevention towards global dumping of low-grade scrap (

China aims to increase its use of recycled metals like steel, copper, and lead in the coming years in the aim of fulfilling its goal of reducing greenhouse gas emissions. Being the top consumer of metals, it wants to increase the use of steel scrap by 23% by 2025. ( The ban upliftment has hence significantly affected the scrap imports)

The change in plans has also led to advancement in recycling technologies. The world’s most advanced recycling facilities can be found in China. From the eastern coastal region Guangzhou in the south to Beijing and Tianjin in northern China, the country has pioneered in establishing high-tech metal recycling facilities followed by cities like Chengdu, Chongqing, and Anshan. ( 

For instance, according to Chinese customs data, imports in the month of April saw a spike of 186pc to 60,696t from March, taking January-April imports to 85,832t. As supplies from Japan were not enough to fulfil the ever-growing demand for metal scrap, Chinese scrap buyers began seeking supplies from Europe and USA. 

Photo reference from Pixabay copyright free images.

The initial orders of shred metal scrap cleared customs successfully. However, the main grade HMS1/2 80:20 might be a little tricky to import since the mixture of different thicknesses could be a challenge for inspection process. ( 

Being one of the biggest importers, any policy change in China which makes sure to impact global metal and metal scrap market. China aims to increase the EAF capacity to overall crude steel capacity to 15% from 2021 to 2025 and lift the steel scrap consumption in converters to 30% (

Although the recommencement of scrap imports will not immediately ease the shortage of China’s domestic scrap resources, the new policies align with the industry’s long-term needs to reduce its over-dependency on iron ore and its goals of cutting carbon dioxide emissions. Import of the ferrous scrap means reduction in mining for ores and processing – significantly cutting down costs, emissions, and labor.

Dubai scrap yards are abundant with metal scrap of various mixtures and types. Just like Chinese dealers, Dubai scrap dealers are contributing to the cause of attaining carbon-neutrality and reducing emissions by helping the metal recycling companies in Dubai realize its potential. 


Disclaimer: This article(s) has been prepared solely for information purpose, using publicly-accessible sources that are believed to be accurate and reliable at the time of publishing. LUCKY GROUP accepts no liability whatsoever for any loss or damage resulting from the use of information, images or opinions expressed in the report. LUCKY GROUP does not give warranty of any kind regarding the completeness, accuracy and reliability of the information included in the article(s).

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