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APEC: Tariffs on green goods to be reduced to below 5% by 2015

The APEC Leaders' Summit communiqué, issued on November 14th in Honolulu, Hawaii, announced that member economies agreed to develop a list of APEC environmental goods that positively contribute to green growth and sustainable development by 2012, taking into account the economic conditions of each member economy and without affecting the organization's position. Tariffs on all green goods will be reduced to below 5% (inclusive) by the end of 2015. Furthermore, the goal is to reduce the overall energy intensity within the APEC region to 45% by 2035. The statement also indicated a reduction in non-tariff trade barriers related to trade in green goods. (Source: APEC, November 13, 2011)

Europe may impose heavy penalties on the automotive industry for failing to reduce carbon emissions.

The European Environment Agency (EEA) said today that a few automakers that have failed to meet European carbon emission targets could face fines of up to €10 billion ($13 billion) in 2012. The EEA stated, "If automakers do not further improve the carbon efficiency of their new vehicles between 2010 and 2012, non-compliant manufacturers could face fines totaling €10 billion." Major automakers that fail to meet the mandate to reduce CO2 emissions may be penalized. The overall emissions target for the automotive industry is 130 grams of CO2 per kilometer per new passenger vehicle. Under this common target, manufacturers set their own targets based on the average emissions of their various vehicle models. From 2012, automakers must ensure that 65% of new vehicles registered with the European Union (EU) meet this target. The threshold will rise to 75% in 2013, then 80% in 2014, and 100% in 2015. The EEA report stated that in 2010, 32 automakers achieved 80% of their new vehicle registrations meeting the 2012 target. Source: AFP, Yahoo News (2011-12-22)

The six-month deadline for submitting notifications to ECHA regarding the seven substances of very high concern is fast approaching.

ECHA reminds manufacturers and importers that if their products contain any of the seven substances of very high concern added on June 20th of this year, they must notify ECHA by December 20th of this year. ECHA provides updated Q&A information on its website for manufacturers required to notify by this deadline, and also offers guidelines for calculating tonnage, time, etc. The ECHA website also provides notification tools, guidelines, and submission forms. For detailed information, please visit the ECHA website. Source: ECHA (2011-11-23)

ECHA publishes list of 91 assessment substances

The European Chemicals Agency (ECHA) has submitted its first Community Rolling Action Plan (CoRAP) for REACH substances to EU member states. The plan, published on ECHA's official website, lists only 91 substances, far fewer than initially expected. These substances will be assessed between 2012 and 2014, and only registered substances require evaluation. Unlike previous assessments, this time the evaluations will be conducted by individual EU member states. The final CoRAP will clarify each country's responsibility for evaluating each chemical substance. Triclosan, assessed in 2012, is banned in the EU for use in food-contact plastics due to its ability to interfere with animal hormones. Additionally, the chlorinated solvents carbon tetrachloride, ethylene oxide, toluene, and methanol from the same batch will be uniformly classified as Group 2 reproductive toxicity by Italy. Substances submitted in 2013 include three chlorinated solvents: tetrachloroethylene and formaldehyde. These were submitted last year by France and uniformly classified as Group 1 carcinogens. Substances to be evaluated in 2014 include: phthalates: diethyl phthalate, branched bis(1-)-undecyl phthalate, and diundecyl phthalate.

Current Status of Germany's Solar Renewable Energy Industry

The German National Solar Energy Association (BSW) announced yesterday that Germany's solar power generation surged 60% in 2011, reaching 18 billion kilowatt-hours (kWh), accounting for more than 3% of the country's total electricity generation. Reuters reported that this solar power generation is enough to meet the electricity needs of approximately 5.1 million households, about one-eighth of the total household electricity consumption in Thuringia. Despite pressure from an oversupply of low-priced solar panels from China and pressure from a reduction in the German feed-in tariff (FiT) (which will decrease by 15% from January 1st and by another 9% in mid-2012), German solar photovoltaic (PV) manufacturers still achieved encouraging results. This has triggered some industry turmoil. A second German solar photovoltaic manufacturer, Solar Millennium, recently followed Solon into bankruptcy proceedings. Nevertheless, the fundamentals of the German solar industry appear robust, as Germany, the EU's largest economy, is in the early stages of shutting down nuclear power plants. The nuclear power plant closure plan, scheduled for completion in 2022, will support investment in solar and other renewable energy sources, bringing the share of renewable energy in the country's electricity production to 40%. Although Germany is not known for its sunny climate, solar photovoltaic and thermal energy have proven their potential in the country. Active government support and collaboration with the private sector have made Germany a world-leading solar market and industry. This has made the sector a pillar of employment and economic growth.

Technical Requirements for Registration and Labeling Information of New Chemical Substances in China (Trial Version)

On August 23, the China National Environmental Protection Chemicals Registration Center released the trial version of the "Technical Requirements for Information on New Chemical Substance Application and Registration" to further standardize the information submitted by applicants for new chemical substances in China and improve the quality of such information. According to the "Measures for the Environmental Management of New Chemical Substances" (China Reach), new chemical substances in China are classified into nine categories based on their chemical structure and origin: inorganic substances, organic substances, organometallic or organometallic compounds, polymers, mixtures, reaction products, biologically derived chemical substances (including enzymes, extracts, etc.) or materials, dyes and pigments, and others. The information required for application and registration includes the substance's Chinese name, English name, Chemical Abstracts Service (CAS) number, molecular formula, and structural formula. When the applicant requests confidentiality of the above information, the Chinese and English class names of the substance should also be provided. Specific requirements for the application and registration information are as follows: I. Chemical Abstracts Service (CAS) Number (I) Substances with a CAS Number Substances with a CAS number should submit an accurate and valid CAS number. The structural information of the applied substance should be completely consistent with the structural information of the substance corresponding to the CAS number. It should not be part of the substance corresponding to the CAS number, nor is it allowed for the substance corresponding to the CAS number to be part of the applied substance. Information regarding the identification associated with a CAS number is subject to authoritative databases (such as the SciFinder database, CA CD-ROM database, paper CA, etc., for products or authoritative sources related to CAS).

ECHA urges businesses to begin preparing for REACH registration in 2013.

At the REACH international symposium on September 23, the European Chemicals Agency (ECHA) announced the launch of the "REACH Action Plan 2013." The Industrial Development Bureau of the Ministry of Economic Affairs reminded chemical manufacturers and importers with an annual production or import volume of 100 tons or more of chemical substances to begin preparing their registration files in advance and complete chemical registration by May 31, 2013, in preparation for the second registration deadline of June 1, 2013. ECHA also reminded that, to ensure timely registration, the registration representative must submit the registration file by March 30, 2013. While preparing the file and conducting necessary chemical safety assessments, registrants should allow one year for dialogue and exchange with downstream users regarding substance use and chemical safety reporting. Downstream users must inform product manufacturers of the downstream use of their products by May 30, 2012. Furthermore, the Substances Information Exchange Forum (SIEF) must complete specific arrangements for substance identification, data requirement allocation, and data sharing operations by the end of 2012.

JIG-201 Ed. 1.0 has been released.

Taiwan – 11/03/11 JIG-201 Ed. 1.0 Released No. 18/2011 The Consumer Electronics Association (CEA), Digital Europe, and the Japan Green Sourcing Survey Institute (JGPSSI) jointly released the industry guideline—Declaration of Composition of Packaging Materials for Electronic and Electrical Products: JIG-201 Ed. 1.0. This is a supply chain information disclosure guideline regarding chemical materials and substances in the packaging of electronic products for global sales and transportation. The guideline sets out relevant requirements for electronic and electrical product packaging, including chemical substances, declaration thresholds, and application lists. It also requires manufacturers and other buyers to provide this data to ensure compliance with relevant regulations, design specifications, and sustainability goals. Regulations for declaring the use of chemical substances refer to the EU Packaging Directive, REACH, and national environmental labels. Source: JIG-201 Ed. 1.0 (English version only) (PDF 3 MB)

Seven new substances have been added to the list of candidates for Substances of High Concern.

No. 12/ 2011 On May 31, 2011, the European Chemicals Agency (ECHA) announced the results of its meeting, approving all seven items from the previously proposed fifth batch of eight open consultation items, except for cobalt dichloride, which was already listed. These items will be added to the SVHC candidate list. These are all carcinogenic, mutagenic, and reproductively toxic (CMR) substances. Cobalt dichloride, which was already listed in the candidate list, remains on the candidate list as a CMR substance, with the description of "reproductive toxicity" added. ECHA officially announced this on June 20, 2011. As of now, the REACH regulation's SVHC candidate list contains 53 substances. The seven newly added SVHC candidate substances are listed in the table below: Substance Name EC No. CAS No. Possible Uses 2-ethoxyethyl acetate 203-839-2 111-15-9 Solvent, paint and varnish manufacturing cyanoacrylate adhesives Strontium chromate 232-142-6 7789-06-2 Anti-corrosion agent Used in: (1) paints, oil paints, sealants (2) steel and aluminum coatings (3) vehicle coatings (4) steel pigment manufacturing, electroplating Diphthalate

Manufacturers using chemical substances must proactively log in.

To effectively control the environmental hazards of toxic substances, the Environmental Protection Administration (EPA) has revised the "Toxic Chemical Substances Management Act," which will be submitted to the Executive Yuan for review before the end of the year. The EPA explained that the purpose of this revision is to promote source management of toxic chemicals and incorporate the EU's REACH practices. It requires manufacturers to proactively register existing and newly added chemical substances on the EPA's platform, and the responsibility for safety testing and proof will return to the manufacturers. The EU has implemented REACH (EU New Chemicals Policy) since 2007. All products exported to EU countries containing chemical substances must be registered. If a substance is classified as highly hazardous by the EU, manufacturers must also conduct a safety assessment, and importation is only permitted after EU confirmation. REACH emphasizes early warning, shifting the responsibility for safety testing and proof from the "competent authority" to the "manufacturer," in order to address the hundreds of new chemical substances added annually. Government management would inevitably have loopholes, making it difficult to ensure public health. EPA Director-General Shen Shih-hung pointed out that the EPA has revised the "Toxic Chemical Substances Management Act" to incorporate the EU's REACH regulations. In the future, chemical substances will be divided into two categories: existing chemical substances and new chemical substances. The Environmental Protection Administration's Toxic Drug Control Division explained that by the end of December last year, the Council of Labor Affairs had screened out [the virus].

EU revises RoHS Directive exemption list

On September 10, 2011, the European Commission published revisions to the exemption list for RoHS Directive 2002/95/EC in the Official Journal. The specific revisions in Directive 2011/534/EU are as follows: 7(c)-IV Lead in capacitors using PZT as the dielectric ceramic material, used in integrated circuits or discrete semiconductors; 40 Cadmium in photoresistors of analog optocouplers in professional audio equipment; Exempt until December 31, 2013. Source: Directive 2011/534/EU, SGS (2011-10-12)

China announces implementation rules for voluntary certification of electronic information products

On August 25, 2011, the Certification and Accreditation Administration of the People's Republic of China (CNCA) and the Ministry of Industry and Information Technology (MIIT) jointly issued an announcement entitled "Announcement on the Publication of the First Batch of the Nationally Unified Voluntary Certification Catalogue for Pollution Control of Electronic Information Products and Exceptions to the Application of Restricted Substances." The following electronic information products, peripheral equipment, components, and electronic materials are eligible for voluntary certification: On August 25, 2011, the CNCA also published the "Implementation Rules for the Nationally Unified Voluntary Certification for Pollution Control of Electronic Information Products" (CNCA-RoHS-0101: 2011), which will be implemented on November 1, 2011. According to these voluntary certification implementation rules, there are four different certification modes based on product category and attributes: Mode 1: Type testing + post-certification surveillance. Applicable to components and parts, and materials. Mode 2: Sampling testing + post-certification surveillance. Applicable to components and parts. Mode 3: Optimization testing + post-certification surveillance. Applicable to complete products and component products. Mode 4: Sampling test + initial factory inspection + post-certification surveillance. Applicable to all products within the scope of the regulations. Source: SGS, CNCA Annoucement, CNCA-RoHS-0101: 2011

Carbon Reduction: The Global Aviation Industry Turns to Biofuels for Solutions

The New York Times reports that global air passenger traffic is expected to reach 2.8 billion this year, carrying 46 million tons of cargo; the estimated fuel consumption will reach 210 million to 220 million tons, producing 650 million tons of carbon dioxide. Due to continued rising fuel prices and stricter emission standards, airlines are investing heavily in biofuel research. Six airlines are already using biofuels for passenger flights. Since the first trial of biofuels five years ago, the use of biofuels in aircraft has developed rapidly, and at least six airlines are currently using biofuels for passenger flights, including KLM, Lufthansa, and Finnair. At a conference held in Hong Kong in September, many airline executives expressed surprise at the development of biofuels. Aviation Industry: Carbon Neutrality by 2020. Former Cathay Pacific CEO Taylor, who took over as president of the International Air Transport Association (IATA) in July, stated, "Just a few years ago, using biofuels for passenger flights was a pipe dream; now it's a reality." Many executives predict that the aviation industry can achieve carbon neutrality by 2020, growing its business without increasing CO2 emissions; some even boldly predict halving carbon emissions by 2050. However, biofuels are currently 3 to 5 times more expensive than traditional jet fuel, making them uncompetitive in both price and supply. The aviation industry accounts for 2% of total man-made CO2 emissions, making it crucial for carbon reduction. In recent years, the aviation industry has focused on improving aircraft design; current aircraft are more fuel-efficient than those designed 40 years ago.

The International Plastics Disclosure Project (PDP) has released four new announcements.

Founded by former US President Bill Clinton, the Clinton Global Initiative (CGI) forum, recognizing the environmental problems caused by plastic waste in the ocean, officially launched the Plastic Disclosure Project (PDP) in September 2010. The aim is to establish a global prevention mechanism to encourage companies to reduce plastic packaging at the source. Once companies begin to re-examine the plastics they use, they can reduce the amount of plastic waste generated and limit plastic entering the ocean. At the CGI annual meeting held in New York this September 20th, illustrative questions for the Plastic Disclosure Project (PDP) were announced, categorized into four main areas: Management, Risk and Opportunity, Strategy and Operations, and Communication. The Plastic Disclosure Project aims to establish benchmarks and, through reporting, make companies transparent about their plastic usage, enabling them to reduce waste and focus on design, plastic types, and recycling. I. Governance ◆ Where and who is responsible for plastic issues within your company? ◆ Are there any incentives for reducing plastic use within your company? II. Risks and Opportunities ◆ What regulations and laws concerning plastics are you aware of and comply with? ◆ Will reducing plastic use affect your business operations, and if so, what are the impacts? ◆ Reducing or replacing...

International carbon emissions trading market development trends

The World Bank's "State and Trends of Carbon Market 2011" report, published in June 2011, pointed out that most Annex I and non-Annex I countries of the Kyoto Protocol have implemented greenhouse gas emission reduction measures. The EU will launch the third phase of its carbon emissions trading program (2013-2020) starting in 2013, while Japan, South Korea, and mainland China have also begun planning to establish carbon emissions trading markets. Under the Kyoto Protocol carbon emissions trading mechanism, the international carbon emissions trading market will experience a supply exceeding demand from 2008 to 2012. I. The Status of Carbon Emissions Trading in Major Countries (I) Annex I Countries of the Kyoto Protocol 1. EU: Plans to enter the third phase of its carbon emissions trading program starting in 2013. To gradually implement the polluter-pays principle, it is expected that the proportion of emissions allocated through auction will increase significantly from 3% in Phase 2 (2008-2012) to over 50%. The EU also decided to include aircraft entering and leaving Europe in the EU Emissions Trading System (EUETS) starting in 2012, but this was strongly opposed by the Air Transport Association of America, the Civil Aviation Administration of China, and others, who threatened retaliatory action. 2. United States: Although the United States is an Annex I country to the Kyoto Protocol, the protocol has not been ratified by Congress, and the federal government is unwilling to assume emission reduction responsibilities. Therefore, it has not actively promoted a carbon emissions trading system. However, some state governments (such as California) and private institutions (such as the Chicago Mercantile Exchange) have...

Germany requires continued stricter restrictions on chemicals in toys.

On August 19, 2011, the European Commission published a resolution in the Official Journal of the European Union concerning Germany's restrictions on certain types of chemicals used in toys. Germany had requested on January 20, 2011, to retain its restrictions on five elements—lead, arsenic, mercury, barium, and antimony—released from toys and toy materials, as well as nitrosamines and nitrosoamines. The aforementioned Commission resolution addresses this request. According to EU Toy Safety Directive 2009/48/EC, the content of nitrosamines and nitrosoamines in toys was restricted from July 20, 2013, but Germany's proposed restrictions were more stringent. From July 20, 2013, Germany was required to harmonize its relevant legislation with the Directive, but Germany requested EU approval to maintain its stricter restrictions. If the EU accepts Germany's request, its restrictions will be more stringent than those of other EU member states, potentially hindering normal trade within the EU internal market and increasing costs for traders. The Commission must assess whether the trade barriers caused by Germany's request are worthwhile, for example, whether Germany can improve protections for children's health. Currently, German consumer product regulations restrict nitrosamines and nitrosoamines, stipulating that natural or synthetic rubber toys intended for use by children under 36 months or that may be placed in the mouth must release nitrosamines and nitrosoamines in extremely low amounts, undetectable by laboratories. The regulations stipulate migration limits for nitrosamines and nitrosoamines of less than 0.01 mg/kg and 0.1 mg/kg, respectively. As for the European Union...

Canadian Consumer Product Safety Act

The challenge lies in the new Consumer Product Safety Act of Canada (CCPSA), enacted by Health Canada and effective June 20, 2011. This act updates the Hazardous Products Act (HPA), which is no longer adequate for current needs, and aims to protect consumer health and safety by preventing potential or actual harm from consumer products. The CCPSA's requirements for Canadian manufacturers, importers, distributors, and retailers include: (Source: Intertek (2011-06))

U.S. Congress passes CPSIA reform bill – HR2715

The U.S. Consumer Product Safety Improvement Act (CPSIA) reform bill – H.R. 2715 – passed both houses of Congress on August 1, 2011, and is currently awaiting President Obama's signature. Unless otherwise specified, the bill will take effect upon the date of the president's signature. Key provisions of the bill include: Source: UNCTAD (September 26, 2011)

European Chemicals Agency (ECHA) is openly consulting on the sixth batch of candidate substances for the list of substances of very high concern.

The European Chemicals Agency (ECHA) recently published on its website the sixth batch of proposed substances for the SVHC candidate list (No. 15/2011). These proposed substances were submitted by Member States and ECHA because they are considered to pose a potentially serious hazard or impact on human health or the environment. Interested parties can submit their comments on these proposed substances by October 13, 2011. These comments will be taken into consideration in decisions regarding the inclusion of proposed substances in the SVHC candidate list and their selection as authorized substances. Currently, the SVHC candidate list contains 53 substances. Two of the 20 substances proposed in this batch were previously included in the second batch of the SVHC candidate list. The table below shows the solutions provided by SGS for the sixth batch of candidate substances for the REACH Directive. Regarding the REACH Directive, the SGS Group currently offers Sole Representative (OR) services, SVHC testing, Material Safety Data Sheet (SDS) creation, chemical testing (physicochemical properties, toxicology, environmental toxicology), pre-registration services, registration services, and REACH training. Source: ECHA Press Release (English version only). For the full details, please refer to the original document.

H&M pledges to phase out the use of toxic chemicals in its supply chain.

Beijing, September 20, 2011: H&M, the world's second-largest apparel retailer, publicly pledged to eliminate the use of all toxic chemicals in its supply chain and products by 2020. This makes H&M the fourth brand to respond to Greenpeace's "Toxic Future" call since the organization released its report, "Toxic Fashion – A Global Survey of Water Pollution in China by Apparel Brands," in July. Greenpeace also urged other brands, such as Li-Ning, to make similar commitments as soon as possible to detoxify China's rivers. Greenpeace Pollution Prevention Project Director Zhang Kai said, "Greenpeace welcomes H&M's positive commitment, which marks another significant step forward in our 'Detoxifying China's Rivers' campaign. H&M also recognizes the importance of disclosing pollution information, which will help the public and suppliers effectively monitor the company's progress in eliminating toxic and hazardous substances." Last Wednesday, Greenpeace members launched a simultaneous campaign in 12 countries worldwide, including Hong Kong, France, Germany, Sweden, Finland, and Turkey, displaying slogans such as "Toxic-Free Future" and "Detoxifying China's Rivers" in H&M retail store windows and launching an online campaign to convey public demands to H&M management. H&M pledged to release a concrete action plan within eight weeks, aiming to achieve zero emissions of toxic chemicals by 2020 based on a "precautionary" approach. H&M also proposed to release information annually on its suppliers' use and emissions of toxic chemicals. The first set of data will be released no later than the end of 2012.

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