China cuts nonferrous scrap import tariff rate

A writeup by Xinhua, a People’s Republic of China government news agency, indicates the nation’s State Council will be lowering tariff rates on more than 900 commodities in 2025, including “some recycled copper and aluminum raw materials.”

The writeup, which was posted in late December to the English language section of the State Council website, cites a statement from the Customs Tariff Commission of the State Council as its source.

“China will reduce import tariffs on a large number of goods next year in its latest move to expand domestic demand and advance high standard opening up,” the article says in part.

The new tariff rates will be “lower than the most-favored nation rates,” states Xinhua, adding they will be will be applied to 935 commodities on Jan. 1, 2025.

The average (or mean) most favored nation tariff rate in China for  all products was reported at 7.57 percent in 2022, according to the TradingEconomics.com website, which cites the World Bank as its source.

Some of the identified commodities, which would seem to include recyclable aluminum and copper, are being allowed easier passage “to promote green and low-carbon development,” according to the Customs Tariff Commission.

In addition to red metal and aluminum scrap, other materials mentioned in the Xinhua report include ethane, cycloolefin polymers and ethylene-vinyl alcohol copolymers, pertinent to the petrochemical industry.

“These tariff cuts will effectively reduce the production costs of enterprises, promote their technological innovation and facilitate the green development of the petrochemical industry,” says Fan Min, deputy head of the information and market department at China Petroleum and Chemical Industry Federation, as quoted by Xinhua.

Other items or materials favored with tariff reductions include automatic transmissions for special-purpose vehicles such as fire trucks and sodium zirconium cyclosilicate, viral vectors for CAR-T tumor therapy, and surgical nickel-titanium alloy wires for the pharmaceutical and medical sectors.