The UAE government has announced that its export ban on ferrous scrap, waste paper, and other goods will be cancelled and that export duties will be charged instead. The statement indicated that the duty to be paid for ferrous scrap export under HS codes 720450, 720449, 720441, 720430, 720429, 720421, and 720410 will be AED 400/mt.
With the removal of the export ban, it is expected that Emirati scrap suppliers, who had previously only traded in their domestic market, will increase their trading to nearby MENA countries. However, the local market may encounter some obstacles since small local mills may have difficulty meeting their demand for scrap.
Scrap buyers, on the other hand, think that in order to remain competitive in the international market, UAE exporters will have to assume the burden of the tax themselves. However, in this situation, Emirati suppliers may end up losing a lot of money, making it difficult for them to give offers effectively.