China's State Council has approved a proposal to cancel the five percent tariff on scrap aluminum exports, the China Business News reported citing sources from an industry association.
Ruan Haifeng, a senior official with the China Nonferrous Metals Industry Association, said that the Ministry of Finance will soon release the policy, which is expected to take effect from July 1.
The paper said that domestic industry associations proposed to the government that it should encourage the development of the recycled aluminum sector as it consumes only five percent of the power needed to produce the same quantity of electrolysis aluminum.
The country canceled the export tax rebate on recycled aluminum exports and started to levy the five percent tariff at the beginning of this year, said the report.