2005, China's polyethylene terephthalate (PET) resin production capacity to reach 21.5 million t / a, production and consumption of 13.9 million t. Consumer to make a huge waste generated in China each year up to several million tons of PET resin. As a thermoplastic engineering plastics, PET resin, higher-value, recovered can be easily processed into a variety of products, so China's recycled PET industries have been developing rapidly. In 2000, the recycled PET resin production capacity is only 1.5 million t / a, output of 1.35 million t, 2005 an annual production capacity has reached 4.5 million t / a, output of 2.3 million t. At present, China is only engaged in the production of recycled PET fiber enterprises reached 389, due to intense competition,
    Operating rate from 90% in 2000 to 2005, 55%, some companies have discontinued.
As the access to recycled PET fiber industry, the lower the technical threshold, the investment is not high, many companies have entered the industry. However, these enterprises generally do not have the new product development ability, research and almost no investment, companies are not considering how big the market demand, but in trying to use low-cost to get a bigger market share. These enterprises to produce short-fiber-based, including the 6-20D solid staple fiber, 1.5D cotton type staple fiber, two-dimensional hollow staple fiber and three-dimensional hollow staple fiber, the respective proportions of 40%, 35%, 15% and 10 %.
    China recycled PET fiber in the non-application of the field of a late start, but developing rapidly. In the food grade and non-food grade bottle with a larger proportion of the area, including food-grade recycled PET bottles used in the enterprise, only Beijing Ying Chong-renewable resources will be put into production in 2006 of 20000 t / a production capacity can meet the FDA and the State food hygiene-related certification, others are recycled PET bottle chip will be added directly in the A-PET bottles film (mixing ratio of 10% -15%), while this approach may not produce PET bottles for food packaging .
    Of renewable capacity of PET products: plastic belt 06000 -1.0 10000 t / a, plate 12000 t / a, Zipper 12000 t / a. Recycled PET spunbond non-woven fabrics in many new areas of application was still a blank in urgent need of development.
    Industry, lack of planning for a lack of market standards.PET recycling industry can be divided into PET and recycled PET recycling washing industry, processing industry, two sub-sectors, are currently the two sub-sectors, there are many problems:
PET recycling washing industry
China is currently engaged in a number of enterprises in this industry, including production capacity in 2000-3000t / a of small businesses accounted for more than 95% capacity more than 20,000 t / a business less than 20. These enterprises mostly in the urban fringe, where basically no environmental protection facilities and sewage treatment facilities.
Recycled PET processing industry
China's processing industry to produce recycled PET fiber mainly recycled PET fiber production capacity in recent years, blind expansion. According to incomplete statistics, only the first half of 2002-2006, the expansion of production capacity of nearly 3 million t / a. Blind competition among enterprises, a number of newly added businesses that did not do adequate market research, operational management of the polyester industry, are not familiar with, put into operation soon face a serious management crisis.
For these reasons the serious consequences are:
(1) Environmental pollution

(2) The soaring prices of raw materials
PET bottle recycling domestic waste processing capacity can not meet the fiber capacity to over-expansion, raw material shortages have become a bottleneck for the development of the industry among enterprises queues to purchase raw materials, resulting in soaring prices of raw materials. In order to do three-dimensional hollow fiber bottle chip prices, for example, in 2001 for the 3200-3800 yuan / t, has now risen to 7000-8000 yuan / t.
(3) The enterprise benefits Landslide
In recent years, the average price of recycled fiber products, the basic stay in 8500-11000 yuan / t in this interval, except for labor, transportation, production accessories increased costs, soaring raw material prices alone have made an industry-wide in a low-profit status, many companies are loss of edge.
(4) The rise of international trade disputes
Beginning in 2002, many companies competing to export recycled PET fiber, the competition for customers competing prices down. According to customs statistics, exports of 55.032 million Number of Short-Fiber past three years, doubling in 2003, exports of 65000 t, earned 087 million U.S. dollars; in 2004 exports of 144,000 t, earned 140 million U.S. dollars; in 2005 exports of 230,000 t, earned 210 million-US yuan. In the meantime, Europe to China's export bundle fitted disused PET bottles in 2000, the price of 30 euros / t jump to the current 450-500 euros / t. In China, the export of recycled PET staple fiber prices are declining. With recycled PET three-dimensional hollow staple fiber, for example,
In 2004, the average FOB price of 1200 U.S. dollars / t or so, now down to 1000-1050 U.S. dollars / t. Recycled PET staple fiber exports a large number of low-cost, triggering an international trade disputes, March 19, 2005 Europe PET staple fiber in China anti-dumping duties introduced in 2006, the United States began to PET staple fiber in China anti-dumping investigation.
Urgent need to support national policy
PET recycling industry is a national Eleventh Five-Year Plan to encourage the development of circular economy. According to the China Chemical Fiber Industry Association statistics, only recycled PET fiber plant supporting enterprises reached more than 1,300, according to each production line is to employ 30 people, the only recycled PET Bottle Flake washing this one will be able to solve the employment problems of persons 40000. If we add the related supporting industries (such as auxiliary materials, logistics, equipment manufacturing, services, etc.) demand for recycled PET industry to bring 800,000 -100 million people in employment.

(1) value-added tax supporting policies
Recycled PET industry suppliers are mostly small-scale recycling and cleaning supplies and processing enterprises, their production enterprises to supply recycled PET is basically do not provide value-added tax invoices, while the recycled PET processing of goods to sell value-added tax invoices must be issued. As the current level of profits in this industry has been very low, simply can not afford 17% of non-tax deductible. Zero input tax, 17% out of items of tax, which in itself sustainable economic development and national industrial policies are in conflict. Therefore, the industry calls for national relevant departments shall, in accordance with the characteristics of recycled PET, as soon as possible turnover tax policy, suggested a change of value-added tax for sales tax.
(2) on imports of raw materials
① Environmental Protection Agency approval of the import of waste PET raw materials, the distribution amount is not fully in accordance with inter-regional capacity is not a balanced distribution of characteristics, resulting in some enterprises, the feed costs. In addition, imports of waste PET inspection requirements often change also enable enterprises to increase the production cost control a number of uncertainties. Not allowed to import policy in order to tie bottling, for example, can import inspection requirement of waste residue 1% of broken washed PET Bottle Flake. Because outside of the high cost of cleaning process, the reality is that the majority of imported waste PET raw materials are not only broken bottle cleaning tablets, such a waste PET raw materials to the environment pollution not only has not reduced,
The classification actually increased the cost of cleaning, because the processing of the outstanding cleaning of broken pieces of equipment into PET bottle bottle handling equipment for more than 20% -100% higher than the input of waste PET recovery rate decreased by 10% -15%. ② Environmental Protection Administration should re-examine limits of waste PET bottles mounted bar imports of policy is that if companies scrap metal recycling process in accordance with the requirements of the pilot zone, the establishment of the pilot recycled PET Processing Park, in the customs, commodity inspection, environmental protection and regulatory conditions in place, the environmental Administration of the pilot could release the park's rolling bottling import restrictions.
(3) The design of tariff codes
China's current system of customs codes are too general and a 55.032 million tariff codes, covering all PET staple fiber. We look at the United States, Canada and other countries customs codes found, they are 55.032 million of products with different specifications under the separation of a number of sub-item coding. Concern for the commodity inspection and customs techniques on how to identify native PET fibers and recycled PET fiber, the proposed test whether there are third monomer (IPA). If the Customs Code has been further refined, it can fundamentally solve the recycled PET fiber by foreign countries against Chinese exports of anti-dumping issues.
(4) Increase R & D investment to encourage enterprises to increase investment in research and development, multi-recycled PET production of high value-added products, the product structure of enterprises to upgrade and improve the competitiveness of enterprises.
Development proposal
(1) learn from developed countries, the practice of bulk purchase of raw materials, the establishment of the purchase price of China's recycled PET industry alliances to increase our business-to-price imports of waste PET bottles bargaining power. Recycled PET bottles in developed countries due to the export of 80% -90% is dependent on the Chinese market, as long as we are able to establish an effective purchase price of alliance, we can control the price of imported bottled tie irrational growth.
(2) can refer to practices in developed countries, to legislate on the manufacture and use of disposable PET packaging materials manufacturer an appropriate amount of recycling collected taxes to subsidize my PET packaging waste recycling and re-processing enterprises in environmental protection and technological progress inputs. The eventual realization of a complete waste PET packaging materials recycled.