Dive Brief:
- A research firm based in Massachusetts released a report detailing the economics of recycling in China.
- The results can be found in Recycling Markets in China, which estimates that in 2013 China generated $103 billion in economic activity stemming from recycling. The figures are down from 2012, when numbers reached $107.5 billion.
- The report forecasts industry growth to reach $156 billion by 2018, and hit an annual compounded growth rate of 8.7% from 2013 to 2018.
Dive Insight:
Researchers expect that government recycling regulations in China will expand in the next few years. For the study, the firm delved into different sectors in the industry including metals, plastic, paper and e-waste, and included cars, tires and ship dismantling in its research.
China's Green Fence policy has had a significant effect on recycling worldwide. After new regulations were implemented, the industry as a whole was altered when the country refused materials it had once accepted. The outcome was felt in the U.S., in the form of increased costs and lower prices. Chinese imports of plastics fell 11.3% in the first six months of 2013.