The hottest scrap aluminum import agents will be b

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How much market impact will the import of scrap aluminum agents be banned in 2018

on July 27, the general office of the State Council issued the implementation plan for prohibiting the entry of foreign garbage and promoting the reform of the solid waste import management system, Part II, point 7 stipulates: improve solid gamma- Al2O3 waste import license system, cancel the import agency of trading units. (the Ministry of environmental protection, the Ministry of Commerce, the national development and Reform Commission, the General Administration of customs and the General Administration of quality supervision, inspection and quarantine are responsible for the implementation, which will be completed by the end of 2017)

how much impact will this move have on the market

according to SMM, the original supervision on the imported scrap aluminum market was relatively small, and traders can import through the force measuring piston downward as an agent or import under the head of other processing enterprises for resale. The gradually strict supervision plan will also completely prohibit this illegal practice. Some traders may be transformed into matchmakers, and the dismantling plants can only seek domestic sources of scrap aluminum. This move has no impact on the relatively standardized large-scale recycled aluminum enterprises in China. Instead, there are no traders. The price of imported scrap aluminum may fall due to the reduction of intermediate channels. It will have a great impact on small and medium-sized enterprises, especially small and medium-sized enterprises that use aluminum scrap from disassembly plants around Taizhou and Foshan. Because these aluminum scrap sources are mostly imported, they will be most affected. The main reason is that small and medium-sized enterprises have little possibility to apply for waste import license due to their limited capital and limited investment in environmental protection and safety. Or it will face the transformation of seeking domestic sources of scrap aluminum, and the corresponding disassembly plants based on "interconnection +" will also face the same problems

in addition, there is no change in the import of category VI and category VII waste aluminum that everyone is concerned about this time. The author still insists that banning the import of category VII waste aluminum has a limited impact on the whole domestic waste aluminum and recycled aluminum market. Next year, the seventh category of waste aluminum will still be banned, mainly including waste hardware, electrical appliances, motors and other car inspection hammers that are not mainly recycled aluminum. At present, the waste water tank that we use more belongs to the sixth category and is not prohibited. The change is that the requirements for the import of waste aluminum will be stricter. The impurity content of category VI waste aluminum will be lower than the current 2%, but no formal document notice has been issued. This may lead to a small reduction in the import of category VI scrap aluminum. The reason is that the import of waste aluminum is more or the price difference generated in the transportation process after earning the price lock, and it will not be completely stopped. Especially when the aluminum price rises all the way, the advantage of imported waste aluminum is more obvious. However, before the official document is issued, everything is still implemented according to the current standards

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