Page 26 - Plastics News September 2020

California recycled-content bill again before Asia's appetite for plastic scrap remains
governor restricted – CSPA

alifornia's AB 793, which would require he difficulties for plastic scrap that began with
Cmanufacturers to include recycled materials when Tharsh import policies by the government of China
making plastic beverage bottles, has been approved by continue to plague markets in that nation and the rest
the state legislature and awaits the signature of Gov. of Asia, according to the most recent update from Steve
Gavin Newsom. The bill sets a phased-in timeline of Wong, executive president of the China Sustainable
when companies must meet minimum content Plastics Association (CSPA). Wong, who also is CEO of
standards, ultimately achieving 50 percent recycled Hong Kong-based Fukutomi Recycling Ltd. and serves on
content, surpassing the 30 percent mandate in the two committees of the Brussels-based Bureau of
International Recycling (BIR), says any improvements
anticipated in Asian demand for plastic scrap have
instead been “impacted by the recent flood damages,
coronavirus and sanctions imposed by Western
countries.” The Chinese government severely
restricted plastic scrap imports starting in 2017 and has
solidified the ban for 2021, and it may be adding more
scrutiny to trade in recycled-content pellets. Writes
Wong, “As from Sept. 1, China would introduce stricter
regulations on the standard of recycled pellets whereby
the customs [agency] in China will inspect more
containers of recycled pellets to crack down [on the]

European Union. “The time has come for shared
responsibility,” says California Assembly member Phil
Ting, one of the bill's sponsors. “Our environment
suffers when companies keep making new plastic every
time they need a drink container. They need to reuse
what they've already made. If we don't make this shift,
we will have more plastic than fish in our oceans by
2050.” AB 793 is designed to bolster the market for
recycled polyethylene terephthalate in the state. If
signed, manufacturers must meet a number of
deadlines for recycled content, achieving 15 percent
importation of recycled pellets that do not conform
by 2022, 25 percent by 2025 and 50 percent by 2030.
with requirements for uniform color, size and
“Assembly member Ting and I worked extensively with
packaging.” Continues Wong, “Later on in the year, the
the industry stakeholders to ensure that this bill is both
Beijing authorities will enact more strict controls on
bold and workable,” says California Assembly member
the mechanical and chemical properties of the recycled
Jacqui Irwin. “The result is the most aggressive
pellets. Violations to the latest regulations will be fined
recycled content mandate in the world for plastic
at a minimum of RMB 500,000 ($72,800). Some
bottles. AB 793 is Ting's second attempt at recycled-
recyclers and downstream customers are holding back
plastic content in bottles. Newsom vetoed a similar bill
their orders until the situation is clear as to what they
last year because of cost concerns, which Tsing says
can import without violating the latest regulatory
have been addressed this year. Newsom has until Sept.
changes.”
30 to act on the bill.
September 2020 26 Plastics News