Core Viewpoint - The recent announcement by the General Administration of Customs regarding the importation of recycled paper pulp aims to enhance regulatory measures and prevent the entry of "foreign waste" into China, particularly focusing on the distinction between "dry" and "wet" processing methods [3][5][8] Summary by Sections Regulatory Changes - The new regulation requires importers to specify the processing method of recycled paper pulp as either "dry" or "wet" on customs declarations, which is intended to strengthen import supervision and management [3][5] - Since January 1, 2021, China has banned the import of solid waste in any form, aiming to curb the influx of foreign waste [3][4] Differences Between Processing Methods - "Dry" processing involves minimal purification, leading to the importation of contaminated materials, while "wet" processing includes thorough purification steps, resulting in higher quality recycled pulp [4][5] - Dry processed pulp is often referred to as "more dangerous foreign waste" due to its potential contamination with plastics, heavy metals, and microorganisms [4][5] Impact on the Industry - The new regulations are expected to increase the workload for importers, who must now ensure accurate reporting of their production processes, potentially leading to stricter inspections and higher compliance costs [5][6] - Companies relying on low-cost dry pulp may face increased raw material costs and production adjustments, prompting a shift towards higher quality recycled or virgin pulp [8] Long-term Implications - The announcement signifies the end of the "dry pulp" era, with expectations that it will reduce the import of low-quality materials and promote a transition to more environmentally friendly production methods [8] - The effectiveness of these regulations will depend on the enforcement and accompanying measures to ensure compliance and prevent fraudulent declarations [6][8]