Current laws allow import of scrap materials and prohibit import of industrial waste. However, state management agencies are confused because they cannot determine if imports are “scrap materials” which can be imported for domestic production, or “industrial waste”, which must not be imported. 

There is a fine line between “scrap materials” and “industrial waste”, because it is unclear how much “waste” can exist in “scrap materials”, and how much waste should be in “industrial waste”.

That is why a big volume of industrial waste has been brought to Vietnam as scrap to serve domestic production.

The period from 2006 to 2011 is considered the golden age of the traders who imported scrap material temporarily for export later. 

The business was so lucrative because traders did not need to have initial capital, while they even were paid by the sellers, who tried to take waste out of their territories. 

Analysts said that during that years Vietnam imported a big volume of industrial waste, including hazardous industrial waste such as lead batteries and used electronics.

Deputy Minister of Transport Nguyen Van Cong has rung the alarm bell over 5,000 import containers left at ports, including Hai Phong, for many years.

He said the Prime Minister has requested the Ministry of Finance and the Ministry of Transport to work out on a solution to settle the ownerless containers soon.

Deputy general director of the Hai Phong Port, Cao Trung Ngoan, noted that a specific mechanism will be needed to clear the 5,000 containers, saying that the measure stipulated in the Ministry of Finance Circular No 15 which took effect in April 2014 cannot be applied because of a lack of money.

Sources said that the Ministry of Finance has submitted a plan to deal with ownerless imports, possibly allowing some domestic enterprises to buy the imports.

Bitter pills needed

Nguyen Hai, head of the Vietnam Maritime Bureau, warned that if iron discipline cannot be imposed, Vietnam would become the world’s dumping ground because once the 5,000 containers are cleared, more containers of waste will arrive.

A customs officer said that loosened control over temporary imports for re-export later paves the way for businesses to bring industrial waste to Vietnam for re-export to China. 

As China recently tightened control over imports, thousands of containers of goods for re-export cannot enter China.