The USA is one of the world's largest generators of scrap tyres. For an Indian importer, the goal is to source high-quality "Baled" or "Shredded" scrap that can be processed locally. However, the regulatory "red tape" is significant, and being an "Actual User" (Recycler) is now a mandatory requirement.
1. Market Intelligence: Sourcing from the USA
The USA produces over 300 million scrap tyres annually. Most of the export-grade scrap comes from large shredding facilities and scrap management firms.
Top Origin States: Texas, California, and Florida (due to large vehicle populations and proximity to major ports like Houston, LA, and Savannah).
Price Benchmark (2025-26): $40 - $70 per Metric Ton (FOB) depending on the type (Passenger vs. Truck) and the form (Whole vs. Cut/Baled).
HS Codes: * 4004 00 00: Waste, parings, and scrap of rubber.
4012 20 90: Other used pneumatic tyres (for scrap/recycling).
2. Top 5 Direct Sellers/Exporters in the USA
These companies are verified high-volume exporters with established logistics for the Indian market.
| Seller Name | Location | Specialization |
| Schnitzer Steel Industries | Portland, Oregon | Massive metal & rubber recycler; multi-port export capacity. |
| Westside Exports LLC | Florida / Multi-state | Leading exporter of pressed baled tyre scrap to India. |
| Sims Limited | New York | Global leader in circular economy; handles industrial rubber scrap. |
| Emanuel Tire of Virginia | Virginia | Specializes in tire-derived fuel and high-grade recycled rubber. |
| Liberty Tire Recycling | North Carolina | The largest tyre recycler in North America with 50+ locations. |
3. Regulatory Compliance: The "Actual User" Rule
In 2026, you cannot import tyre scrap as a "Trader." You must be an Actual User (Recycler) with an operational plant.
MoEF&CC Permission: You must apply to the Ministry of Environment for an "Import Authorization." They will only grant this if your plant has adequate pollution control equipment.
DGFT License: Since used/scrap tyres are in the "Restricted" category, you need a specific Import License from the DGFT.
EPR (Extended Producer Responsibility): You must register on the CPCB (Central Pollution Control Board) portal. Importers are now responsible for ensuring a percentage of the imported waste is recycled into specific end-products (Crumb Rubber/Recovered Carbon Black).
SOP Compliance: Your factory must follow the 2025 Revised SOP for Tyre Pyrolysis or Recycling Units to ensure zero liquid discharge and emission control.
4. Logistics: Baled vs. Shredded
Shipping "Air" is expensive. To make the math work, you must maximize the weight in your container.
Baled Tyres: Pressed into dense blocks. A 40ft High Cube (HC) container can hold 25 - 28 Metric Tons.
One-Cut/Multi-Cut: Tyres are cut to save space.
Shredded/Crumb: Higher processing cost in the USA, but easier to handle in India.
Transit Time: USA East Coast to Nhava Sheva/Mundra: 35-45 days. USA West Coast: 25-30 days.
5. Duty & Tax Math (2026 Estimates)
| Component | Rate | Description |
| Basic Customs Duty (BCD) | 10% | On the assessed CIF value. |
| Social Welfare Surcharge | 1% | (10% of BCD). |
| IGST | 5% or 18% | Depending on the specific end-use/classification. |
| Total Duty Impact | ~17% - 30% | Total tax on top of your buying price. |
6. Action Plan for Sanskriti Global Exports
Plant Audit: Himanshu, before applying for a license, ensure your Consent to Operate (CTO) from the State Pollution Control Board is valid and specifically mentions "Recycling of Waste Tyres."
Verify ISRI Codes: When buying from the USA, use ISRI Codes (e.g., Liberty or Specialty) in your contract to ensure you don't get "mixed waste" which customs will reject.
Pre-Shipment Inspection: For the USA, a PSIC (Pre-Shipment Inspection Certificate) is often required to certify that the container contains only the scrap types permitted in your license.