Resource Recycling
  • The Latest
  • Analysis
    • All
    • Certification Scorecard
    • Industry Announcements
    • Opinion
    Partnership ups quality control on device-sales platform

    Certification scorecard — week of Oct. 19

    Industry veterans buy Entropex with plans to rebrand

    Lifecycle growth tested as metals diverge

    Sorted: Making Halloween costumes more sustainable

    Sorted: Making Halloween costumes more sustainable

    Researchers work on fluorine-free battery binder

    Researchers work on fluorine-free battery binder

    CommanderAI launches searchable hauler database

    Blancco brings agentic AI to data erasure, ITAD operations

    APR adds PCR content verification to cert program

    Certification scorecard — week of Oct. 12

  • Conferences
    • Resource Recycling Conference
    • Plastics Recycling Conference
    • E-Scrap: The Longevity Conference
    • Textiles Recovery Summit
  • Publications
    • E-Scrap News
    • Plastics Recycling Update
    • Policy Now
    • Resource Recycling
    • Other Topics
      • All Topics
      • Brand Owners
      • Critical Minerals
      • Glass
      • Grant Watch / RFPs
      • Markets
      • Organics
      • Packaging
      • Research
      • Technology
      • Textiles
Subscribe
No Result
View All Result
Resource Recycling
  • The Latest
  • Analysis
    • All
    • Certification Scorecard
    • Industry Announcements
    • Opinion
    Partnership ups quality control on device-sales platform

    Certification scorecard — week of Oct. 19

    Industry veterans buy Entropex with plans to rebrand

    Lifecycle growth tested as metals diverge

    Sorted: Making Halloween costumes more sustainable

    Sorted: Making Halloween costumes more sustainable

    Researchers work on fluorine-free battery binder

    Researchers work on fluorine-free battery binder

    CommanderAI launches searchable hauler database

    Blancco brings agentic AI to data erasure, ITAD operations

    APR adds PCR content verification to cert program

    Certification scorecard — week of Oct. 12

  • Conferences
    • Resource Recycling Conference
    • Plastics Recycling Conference
    • E-Scrap: The Longevity Conference
    • Textiles Recovery Summit
  • Publications
    • E-Scrap News
    • Plastics Recycling Update
    • Policy Now
    • Resource Recycling
    • Other Topics
      • All Topics
      • Brand Owners
      • Critical Minerals
      • Glass
      • Grant Watch / RFPs
      • Markets
      • Organics
      • Packaging
      • Research
      • Technology
      • Textiles
Subscribe
No Result
View All Result
Resource Recycling
No Result
View All Result
Home Plastics

Malaysia ramps up scrap plastic restrictions

Colin StaubbyColin Staub
October 3, 2018
in Plastics

Scrap plastic shipments to Malaysia will be subject to new restrictions in the coming weeks, as the country follows through on vows to get a handle on skyrocketing imports.

However, it remains unclear exactly what impact the move will make. One Asia-based industry professional said the proposed tax is too low to affect the decision-making of those moving material into the country. At the same time, a non-governmental organization in the country is pushing for a complete ban on imports of recovered plastic material.

The Malaysian Ministry of Housing and Local Government announced the tax plan late last month. The government agency said it will add a levy of 15 ringgits (about $3.62) per metric ton.

After China’s ban on imports of many recyclables, Malaysia has become the largest destination for U.S.’s scrap plastic exports in Asia, data analyzed by Plastics Recycling Update shows.

The Malaysian government stopped issuing scrap plastic import permits in July, explaining that it was a three-month measure while officials developed regulatory controls. The tax will begin on Oct. 23, the day the government begins processing import permits again.

Plastic recyclables imports until this point have not been subject to levies, according to the government.

In addition to the tax, imports will face additional scrutiny. Importers will need to obtain new government approvals from different agencies, and processors operating in Malaysia will have new zoning requirements.

Expert reaction

Steve Wong, chairman of Hong Kong plastics recycling company Fukutomi, said the tax is very low and he theorized it is unlikely to reduce the volume of imports. He speculated it could be a separate initiative from the move to restrict imports.

“The tax does not stop contamination,” Wong said, noting that, “in fact, it can send the wrong message.” For example, if companies are now paying duties on material they’re bringing in, they might feel like they can get away with less quality.

As for the heightened restrictions on processors inside Malaysia, Wong described optimism among recycling companies. He described his conversations with facility operators who met with the country’s Minister of Housing and Local Government, Zuraida Kamaruddin.

“They said the meeting was positive for the recyclers,” Wong explained. Authorized companies observing the rules and preventing pollution will be able to carry on without problems, Wong relayed from his conversations.

Wong will speak during the Plasticity conference in Malaysia this month, presenting a session titled “Global Perspective on Waste Stream Economics and Impacts of the Chinese National Sword.”

Government officials have expressed a desire to crack down on unauthorized processors and importers who illegally rent out import permits. Plastics processors who have been operating within the law, meanwhile, have said the illegal operators are giving the whole industry a bad name. In a news article, the Malaysian Plastics Manufacturers Association said it supported the crackdown on the numerous illegal operations that have popped up in the past two years.

Not far enough

After the government announced its taxation plan, the Consumers Association of Penang (CAP) responded by calling for a complete ban on imports of scrap plastic. CAP advocates on a number of issues of public concern, including environmental protection.

The organization issued a Sept. 26 release expressing frustration with the Malaysian government, which CAP said “does not recognize the scale of the problem” of plastic scrap imports.

“Now that China has closed its borders to foreign waste, we are discovering that massive volumes of the same have started to arrive in the ports of Southeast Asian countries, including Malaysia where illegal factories to recycle plastic waste have mushroomed,” wrote S.M. Mohamed Idris, president of CAP. “We understand from reports that many errant recycling firms, many of which are from China and operating without permits, are burning residual waste that cannot be recycled or illegally dumping them.”

The tax, according to CAP, is not an adequate solution, and it doesn’t address domestic recycling infrastructure development.

“The cost and burden to public health and the environment far outweigh the revenue gained by the Malaysian government from the levy imposed on plastic waste imports,” Idris wrote. “We already have plastic waste generated domestically which needs to be recycled safely.”

Photo credit: By Derek Brumby/Shutterstock

 

Tags: AsiaTrade & Tariffs
TweetShare
Colin Staub

Colin Staub

Colin Staub was a reporter and associate editor at Resource Recycling until August 2025.

Related Posts

APR, PROs appeal to Ottawa for help

APR, PROs appeal to Ottawa for help

byAntoinette Smith
October 6, 2026

APR and Circular Materials say policy goals risk failure without government actions that acknowledge market realities.

Analysis: Undersupply of PCR is ‘stifling’ brand goals

US lawmakers urge protection of domestic RPET

byAntoinette Smith
September 25, 2026

In a letter to the US Trade Representative, five representatives asked the USTR to consider trade remedies and support verification...

Canada Plastics Pact reports 2024 progress

Trade tensions shift global mineral partnerships 

byPaul Lane
September 15, 2026

Canada is seeking new trade partners amid worsening US relations, while South Korea is trying to tap into deep Asian...

Canada tariffs latest in new normal for RPET

Canada tariffs latest in new normal for RPET

byAntoinette Smith
September 11, 2026

Tensions with the valuable trading partner have frayed nerves for over a year, but North American markets already have tariff...

Live selling presents pathway to ITAD sales

Live selling presents pathway to ITAD sales

byPaul Lane
September 3, 2026

Refreshed Tech has shifted to primarily live-stream sales like TikTok and Whatnot one year after expanding into that space.

ERI’s Asian expansion continues with move into India

ERI’s Asian expansion continues with move into India

byPaul Lane
August 31, 2026

The jointly owned facility in India will be ERI’s third such partnership in the region this year.

Load More
Next Post
Major U.S. and European plastics recycling conferences join forces

Major U.S. and European plastics recycling conferences join forces

2026 Buyers’ Guide

Equipment, services and technology suppliers serving the recycling industry.

Browse the Guide

More Posts

Republic breaks ground on St. Louis MRF

October 15, 2026
Court gavel and justice scales on a table.

NAW asks to pause Oregon EPR fees

October 20, 2026
Lawsuits hover days after SB 54 approval

CAA trims first-year SB 54 budget in final plan

October 13, 2026
Dow, Orbis talk EPR, demand at Pack Expo

Dow, Orbis talk EPR, demand at Pack Expo

October 21, 2026
Northeast recycled commodity values hit 5-year lows

HDPE, PP prices climb for October

October 14, 2026
Sorted: Making Halloween costumes more sustainable

Sorted: Making Halloween costumes more sustainable

October 19, 2026
Triton to make rail ties from artificial turf

Triton to make rail ties from artificial turf

October 20, 2026
Brokers of shame: 10,000+ containers of U.S. e-waste to Asia

Brokers of shame: 10,000+ containers of U.S. e-waste to Asia

October 16, 2026
Removing an eBike battery pack.

EPR’s next fight is over embedded batteries

October 13, 2026
Industry veterans buy Entropex with plans to rebrand

Lifecycle growth tested as metals diverge

October 19, 2026
Load More

About & Publications

About Us

Staff

Archive

Magazines

Work With Us

Advertise
Jobs
Contact
Terms and Privacy

Newsletters

Get the latest recycling news and analysis delivered to your inbox every week. Stay ahead on industry trends, policy updates, and insights from programs, processors, and innovators.

Subscribe

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

No Result
View All Result
  • The Latest
  • Analysis
  • Recycling
  • E-Scrap
  • Plastics
  • Policy Now
  • Conferences
    • E-Scrap Conference
    • Plastics Recycling Conference
    • Resource Recycling Conference
    • Textiles Recovery Summit
  • Magazines
  • About Us
  • Advertise
  • Archive
  • Jobs
  • Staff
Subscribe
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.