The Ministry of Environmental Protection and The Ministry of Industry and Information Technology promulgated policies and regulations including the“Access Condition for Secondary Lead Industry” (The Condition”),and “Opinions on Promoting Standardized Development of Lead-acid Battery and Secondary Lead Industries” in August 2012,which further standardized the development of lead-acid battery and secondary lead industries.During the less than two years time since the promulgation and implementation of the“Condition”, the concentration degree of secondary lead industry showed evident increase.

Recently, the Ministry of Environmental Protection and the Ministry of Industry and Information Technology jointly published the name list of the first batch of enterprises conforming to the “Access Condition for Secondary Lead Industry”, two enterprises namely Jiangsu New Chunxing Resource Recycling Co., Ltd, Henan Yuguang Lead and Gold [3.14% Capital Research report] Co., Ltd appeared on the list. In 2013, the combined secondary lead outputs of these two enterprises were 266,100 tones, accounting for 17.7% of nationwide total output.

According to incomplete statistics, by the end of 2013, the existing capacity of China’s secondary lead industry (including in production and under construction) is over 3 million tonnes(excluding illegal small smelting capacity), industry advanced capacity utilization rate exceeds 50%. In 2013, the nationwide output of secondary lead was 1.50 million tonnes, up by 7.1% on Y-o-Y basis,accounting for over 30% of refined lead consumption of the current year, secondary lead industry has become a key component of China’s lead industry.

According to the “Development Progression Plan for Secondary Nonferrous Metal industry”(GXBLJ [2013] No. 51), by the end of 2015,the secondary lead industry will develop a batch of large scale enterprises with annual output above 50000 tonnes, industry concentration degree of the top 10 enterprises will reach 50% above, efforts will be made to support upgrading and expansion of ten 50000 tonnes above secondary lead project demonstration projects across the nation,which will fully bring out the role of typical demonstration in leading industry development,and improving industry overall competitiveness progressively.