Fiber Exports to China banned by a shipping giant

Fiber exports to China banned

Image source: JOC.com

Fiber exports to China banned by Mediterranean Shipping Company (MSC) as a precautionary step to the country’s changing regulations.

MSC is a globally leading shipping line, operating in all the major parts around the globe. As confirmed by a company spokesperson, fiber exports to China banned by the company in anticipation of the enforcement of zero scrap imports’ regulation in the country. The company announced the ban to customers through a notice which stated:

  1. The company’s decision to stop accepting China-going shipments of chemicals, metals, plastics, and recovered fiber from June 1 to comply with Chinese law by September 1.
  2. The company’s decision to stop accepting scrap material shipments headed for Hong Kong.
  3. The Chinese Government’s information about the impose of equal liabilities on cargo carriers and importers for violating the import ban.

As revealed by several brokers, the standing of MSC in the recycling sector has been decreasing from the past couple of years. The company has been continuously reducing the bookings of recovered fiber to China even before announcing the ban on it.

Several times, the recycling industry stakeholders have sensed and signaled the phasing out of recycled material imports in China in the next year. The most recent of which was the ‘revision of domestic waste management related regulation’ and mention of ‘zero solid waste import’s gradual implementation’ by the country on April 29.

The currently imposed ban by MSC is evidence of the industry’s intent to end the exports of recycled material to the country shortly.

Fiber Exports to China banned: What is ISRI’s say on it?

The Institute of Scrap Recycling Industries (ISRI) is a non-profit trade association that represents both – private and public, small to multi-national corporations.

According to ISRI, until now, MSC is the only shipping line which has responded to China’s policy evolution in such a manner. The association has alerted its members, showing concern towards the precedence that MSC’s move will globally set for scrap shipments in the future.

Read this article also: ISRI Spotlight – Effect on Paper Industry during COVID-19

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