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China to Phase out Non-compliant Hazardous Chemical Enterprises and Obsolete Technologies and Equipment

China MEM is working to phase out non-compliant enterprises and obsolete items, technologies and equipment in the hazardous chemical industry to step up production safety.

In the wake of the blast in Xiangshui County that killed at least dozens of people, the Chinese government at both central and local levels have redoubled efforts to prevent systematic safety risks and ensure production safety in the hazardous chemical industry.

On July 2, 2020, the Chinese Ministry of Emergency Management (MEM) published the drafts of the List of Criteria of Hazardous Chemical Enterprises to be Rectified or Phased out (2020) and the List of Obsolete Technologies and Equipment to be Phased out in Hazardous Chemical Enterprises (Batch 1 in 2020). The public consultation [1] is set to end on August 2, 2020.

The List of Criteria of Hazardous Chemical Enterprises to be Rectified or Phased out (2020) is devised, on a qualitative basis, to identify major risks and hidden problems in the production of hazardous chemicals. It specifies 5 criteria for enterprises which should be phased out, including enterprises which engage in the production and operations of hazardous chemicals without getting a safety license; 18 criteria for enterprises which should stop production for rectifications, including enterprises which have not put in place an accountability for production safety; and 15 criteria for enterprises which should make rectifications within a given period, including hazardous chemical manufacturers which do not provide SDSs or attach or affix chemical safety labels on the package of their products.

After this List is officially rolled out, local regulators are expected to assess the conditions of hazardous chemical enterprises in their jurisdictions and take differentiated measures to fix their problems.

The List of Obsolete Technologies and Equipment to be Phased out in Hazardous Chemical Enterprises (Batch 1 in 2020) is developed to facilitate the implementation of the first List, as enterprises using obsolete technologies and equipment may be required to shut down or stop production for rectifications. It specifies 6 obsolete technologies and 12 kinds of obsolete equipment, among which 9 are to be prohibited and 9 others are to be restricted. The List also provides the scope of limitations, time limits and recommended alternative technologies or equipment.

The MEM noted in the notice soliciting public comments that the Lists are devised based on suggestions from key provinces and relevant enterprises managed by the central government. They will continue to be adjusted and optimized as appropriate after the official version is published following this public consultation.

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