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Adapting to new policy environment – past pattern and future trend in us-sino waste plastic trade flow

ABSTRACT Plastics are one of the most used materials in human activities, where consumer consumption and industrial production together has imposed vast rise in demand for this material in last century. While plastic is ideally derived from crude oil as a primary source from manufacturers’ perspective, varying crude oil prices are driving manufacturers economically to seek for alternative sources for plastics production. Waste plastic recovered from obsolete consumer products thus becomes an economic substitution for virgin plastics, which is further intensified with the possibility of international waste plastic trading. This study focuses on waste plastic trade between the US and mainland China by performing a correlation analysis of trade data. It is suggested in this study that although waste plastics are traded from the US to mainland China in general, as many of us believes, the route is gradually shifting in the past years. With tightening Chinese customs regulations, waste plastic from the US now tends to take a transit in a third destination (Hong Kong SAR for instance) for preliminary treatment to bypass Chinese customs inspection. Such phenomenon is worth noting, as a complication in waste plastic trading route hinders waste plastic transboundary movement monitoring. Furthermore, it will have adverse consequent consumer, industrial, and environmental impacts. It is thus necessary for national competent authorities to strengthen cooperative study and communication capacity in the future as a response to the changing waste plastic trade pattern.