South East Asia
Since late May, a significant number of recycling and processing yards across Thailand has been forced to halt operations as government authorities intensify inspections related to illegal waste dumping. This enforcement drive has caused widespread disruption across the industry, particularly for facilities handling e-waste and other industrial materials.
On June 5, the Thai government officially announced a full ban on all e-waste imports. As a result, many containers already en route to Thailand are being returned to origin or diverted to alternative destinations. In response to the growing regulatory uncertainty, several shipping lines have begun demanding clearance deposits of up to THB 350,000 per container in an effort to mitigate risks, citing similar issues in the past at Malaysian ports.
According to Thai media, Minister of Industry Akanat Promphan has directed the Department of Industrial Works (DIW) to suspend the issuance of new licences to recycling factories under categories 101, 105 and 106. These categories include operations within duty-free zones, which have been identified as major sources of environmental harm owing to illegal dumping of industrial waste. In line with the ministerial directive, DIW’s legal division is currently drafting a formal order to ban the establishment and expansion of recycling plants nationwide.
Investigations have revealed widespread violations, including: operating without proper permits; unauthorised possession of hazardous materials; improper disposal of industrial waste; and construction or expansion of facilities without regulatory approval. The Ministry of Industry has emphasised that all licensing activities will remain suspended until the situation stabilises and the upcoming Industrial Waste Management Act is implemented. The goal is to prevent Thailand from becoming a global dumping ground for recyclable or hazardous materials.
As Thailand cracks down on e-waste imports, Indonesia has emerged as a new hotspot for traders’ diverted shipments. However, questions remain regarding Indonesia’s handling capacity and potential for future regulatory tightening as scrutiny increases across the region. Meanwhile, Malaysia is seeing a gradual rebound, particularly as more buyers obtain SIRIM approvals that enable them to import legally. This has allowed containers to begin clearing at Malaysian ports again, albeit under heightened oversight and stricter documentation requirements.
