More and more zinc oxide suppliers all over China saw that the use of high purity scrap metal has intensified. The government is stepping in to regulate this, and as a result they are reclassifying the use of high purity scrap metal.
The reason why they are doing that is because they want to accelerate the domestic recycling industry development. There are many products that have high purity zinc oxide and that can be very hard to recycle on your own. Having a simple and dedicated system for recycling this compound is extremely important, and China is right up there when it comes to at least trying to offer a dedicated system for this process.
There’s a large list of processes and requirements. That means the cost of exporting scrap to China might end up increasing, be it high purity zinc oxide or anything like that. Their focus is on the high purity compounds that come from scrap metal and nothing else. The scrap metal that meets this high purity criteria that the government wants to add will be reclassified as a raw material. There will be less import restrictions and that might help the trading world.
Why is this happening? China is trying to align itself to the other countries that already have a system in place for this type of situation. It’s important to understand what you are getting into with such an approach and the Chinese government is implicated into this process quite a bit.
One of the most important aspects is that recycling high purity zinc oxide or any other similar compound becomes the norm. And if China is implementing this, we can expect many other countries to do the same. This is an extremely important aspect to consider and focus on, and it will bring in some of the most impressive results that you can find out there. You just need to make the right pick and actively find a professional way to improve the process and make it work.
The Chinese national non ferrous metals standardization technical committee will make sure that all the new rules are carefully implemented and that there will be no particular issues to deal with in a situation like this. They are still working on the policy, so we can expect it to be announced towards the end of the year.
At this time, having China focus more and more on recycling high purity metals is a very good idea. If it will pass all the regulations, we will see high purity zinc oxide being reused and recycled more and more. Which is great, because it might end up bringing the costs low for some products too. It’s all a matter of perspective, what’s needed on the market at this time and what can be improved. The demand is certainly there, it all comes down to adapting and implementing all of this at the right level.