China's Recyclers: Is a Rebound Ahead?By
For years China has been the world's dumping ground. Mountains of discarded plastic bottles, cereal boxes, cars, and other castaway items are shipped there to be melted, ground, or mashed into materials used by Chinese makers of everything from toys to packaging to steel girders. Some scrap dealers, such as paper maker Nine Dragons Holdings, made billions from the business. But the party came to an abrupt halt last fall as scrap prices fell by as much as 70% in the face of plunging demand. A pound of crushed soda bottles fell from 29¢ a pound on the U.S. West Coast to less than a dime as cash-strapped dealers in China couldn't pay up. "Even if you gave them the material for free, they couldn't afford to pay the customs duty," says Kathy Xuan, president of Romeoville (Ill.) plastics recycler PARC.
To continue reading this article you must be a Bloomberg Professional Service Subscriber.
If you believe that you may have received this message in error please let us know.
- Bitcoin Futures Deliver Wild Ride as Debut Brings Rally, Halts
- Investors Told to Brace for Steepest Rate Hikes Since 2006
- A Manager of $42 Billion Fears Bubble in World's Biggest Stocks
- Longtime NPR Host Tom Ashbrook Is Facing Misconduct Allegations
- World's Second-Tallest Building Opens With a Whimper After Delay