China’s recent environmental policy shift is transforming the global recycled pulp market. After years of tightening restrictions on solid waste imports, China has now expanded its scope even further by banning certain types of recycled pulp. This development highlights the country’s ongoing goal to eliminate “foreign garbage” and improve the quality and sustainability of its locally produced paper. …In January 2021, China fully implemented the National Sword policy — a sweeping ban on most solid waste imports, including unsorted and recycled paper. …In October 2025, China took its environmental agenda a step further by targeting specific types of recycled pulp — particularly those processed through dry-milling techniques. …The new restrictions have rippled across the global paper recycling supply chain. Exporters that previously relied on China’s massive demand are scrambling to find alternative markets, while Chinese paper producers face delays and shortages in pulp supply.