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According to Korea’s recent customs data, lead battery scrap import from Japan again went beyond 10ktn in April. Since it is firmly expected that the export from Japan in April also should go beyond 10ktn, consequently it is predicted monthly export from Japan has been going beyond 10ktn for three consecutive months from February. Current export price at Korean ports is moving around JPY110/kg at mid of May.

Korea’s Thirsty vs. Japan’s Reluctance

Picture of lead battery scrap demand-supply relation is simply clear.　Japan’s position is to restrict the export. On the contrary, Korea definitely maintain it’s buyer position to import Japanese lead battery scraps as it demands. One Korean major secondary lead smelter told us in it’s real intension that while monthly lead battery scrap import from Japan counts just 10ktn out of total 40ktn import, it clearly stands at a position to keep import route from Japan for location conveniences with just-in-time delivery capability.

Korea’s secondary smelter industry has got quite nervous about Japan’s process enforcing export restriction. In Japan an integrated approach from national – MIT and Ministry of Environment – and private – elementary and secondary smelters – organizations in a scrum making is proceeding for export restrictions. But at Korea’s end, it is said the government currently is not cautious about that. Further Korea largest lead-zinc producer, KZ(Korean Zinc) is also at the same attitude.

However, when the lead battery industry comprising 4 players, one of most important industries in Korea, is getting influenced, thereafter the government would take actions against that, according to objective comments of insiders of  a major secondary lead smelter in Korea.

In such circumstances, industrial insiders are foreseeing that a conference for export countermeasure will be held in an early date with participations of MIT and lead smelters altogether in Japan. It is also rumored that export applications from June onward would be checked by more restrict standard equivalent of that for non-OECD countries and as the case may be, all of Korean secondary lead smelters of 12-15 players would be subject of on-site inspections. Since relevant Ministry orders were already legislated which allows Minister of MIT – final export approver –  to bar any exports as soon as he finds appropriate reasons, it is highly likely that export of lead battery scraps stops in reality and any export application is rejected, when appropriate reasons found.

Some assumed that most of new export applications from June may not be accepted and even formerly accepted applications may be cancelled.

“Toyama Framework on Material Cycles” adopted by G7 Toyama Environment Ministers’ Meeting build up a consensus that waste recycles be best done within “direct from producer to consumer” scheme. Following this idea, it is highly possible that from Japan, export of lead battery scraps intercepting consumptions of domestic smelters as well as Zappin scraps in issue will be restricted more than ever before.

(IRUNIVERSE S. Aoyama)

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