Japan’s Circular Economy Vision Under the Action Plan | Chapter 2Resource Competition and Japan’s Circular Economy Challenges
Overview
While competition for recycled resources as well as primary resources is intensifying worldwide, Japan faces the overseas outflow of iron scrap and recycled plastics, concentrated sourcing of lithium-ion battery materials, and problems involving improperly managed scrap yards. A transition is needed toward an economic and social system that uses waste and other materials as resources domestically and creates added value.
Key points
- Competition for resources is also expanding to recycled resources.
- Approximately 7.7 million tonnes of iron scrap are exported overseas from Japan each year.
- Approximately 80 percent of plastics are incinerated, landfilled, or otherwise disposed of.
- A transition toward creating added value through domestic resource circulation is considered necessary.
Overview
China has tightened export controls on critical minerals, established the China Resources Recycling Group, and focused on domestic recycling. The European Union has also announced stricter controls on exports of electronic scrap and other materials outside the region, along with mandatory use of recycled plastics in new vehicles.
As decarbonization progresses, demand is expected to grow for mineral resources essential to producing batteries, motors, and semiconductors, renewing recognition of the importance of securing resources.
Key figures
- Japan’s annual overseas exports of iron scrap
- approximately 7.7 million tonnes
- Share of plastics incinerated, landfilled, or otherwise disposed of
- approximately 80 percent
- Overseas outflow of recycled plastics relative to domestic use
- approximately 3 times
- Year of the Waste Management Act amendment
- 2017
- Law number of the Waste Management Act
- Law No. 137 of 1970
- Law number of the Home Appliance Recycling Act
- Law No. 97 of 1998
- Law number of the Small Waste Electrical and Electronic Equipment Recycling Act
- Law No. 57 of 2012
Impact
The weakness of Japan’s domestic resource circulation infrastructure is leading to missed opportunities for new growth through the use of waste and other materials.
Improper storage and processing of metal scrap and other materials outside the scope of the relevant systems have been reported in local communities as causing noise, offensive odors, pollution of water bodies and soil, and fires.
Details
Statistics indicate that the amount of plastics sent for recycling flowing overseas is approximately three times the amount used domestically.
Lithium-ion batteries depend excessively on specific countries for material procurement, and the number of used batteries is expected to increase. Recovering lithium and other materials from black mass obtained through intermediate processing is considered important.
It has been noted that, for vehicles using high-quality iron, nonferrous metals, plastics, and other materials, an increase in used-vehicle exports can lead to resource outflows.
The 2017 amendment to the Waste Management Act established a notification system for the storage of hazardous used equipment and related activities. Notification is mandatory when equipment covered by the Home Appliance Recycling Act and the Small Waste Electrical and Electronic Equipment Recycling Act is handled as part of a storage or disposal business.
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