Scrap Shipping to China Declined – Maersk Encountering Enactment

scrap shipping to China declined

Image source: More than shipping

The latest news from Moller-Maersk, the world’s largest shipping industry, made the headlines that scrap shipping to China declined.

Shipping lines misery

  • Denmark-based Maersk, consistently named as the world’s vastest shipping container line, declared that, it would stop taking solid waste shipments from September destined for China and Hong Kong. Consequent upon this the scrap shipping to China declined.
  • The shipping container line giant Maersk also stated that it will not receive cargo classified as “solid waste” by the People’s Republic of China in future coming for ports in that nation for vessels emigrating on or after Sept 1. The largest cargo shipper in the world even unifies many other segments to minimize harm linked to the awaited Chinese rules.
  • According to, Maersk, with upstage fleet of more than 700 large container ships, is also enjoined by increasing number of other shippers who do not want to be subjected to Chinese rule that holds shipping lines among those liable for returning or disposing of scrap materials that do not fulfill import criteria.

Chinese rule and plummeting transition

  • According to the Institute of Scrap Recycling Industry, China was once the world’s largest importer of scrap, responsible for 27% of global scrap and waste imports in 2016. Heavily recyclable materials with defined market price in China, such as ferrous and nonferrous scrap, and old corrugated containers (OCCs), are categorized by government entities as “solid waste.”
  • Apparently the country is gearing up to reinstate a few large-grade copper and aluminum scrap grades as “resources,” but methods for doing so have not been approved till now, surpassing July 1 , 2020 the erstwhile aspired date.
  • Maersk website on July 20 stipulated that “In order to completely cooperate with the state regulations of the Chinese government concerning zero solid waste imports as of 2021, Maersk would like to inform you that the processing of solid waste will be halted at Chinese Mainland and Hong Kong ports, starting Sept. 1, 2020 (the designated departure date)”.
  • It’s website further states that “This applies to all cargo of solid waste as well as waste paper, scrap metal, used plastics, textile waste, waste chemicals and so forth.” In June, Swiss-based Mediterranean Shipping Co. (MSC) and Germany-based Hapag-Lloyd also made similar declarations. According to a weekly update from the Institute of Scrap Recycling Industries (ISRI), Yang Ming, another shipping company from Taiwan, also joined the bandwagon in middle of July.
  • Notably, MSC is helmed by as world’s second-largest container shipping line having a boastful count of more than 500 vessels. The marine-insight also stratifies Hapag-Lloyd and Yang Ming in the stack-order with a fleet of around 230 ocean-going vessels and 100 ocean-going container ships respectively. But as a sequel scrap shipping to China declined even for these shipping line players for the new rule.


The Chinese rule is expected to make shipping lines vulnerable to amplified business risks.

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