On November 21, 2017, the European Union published a new Directive 2017/2102 in the Official Journal, revising the scope of Directive 2011/65/EU (RoHS 2). RoHS 2 imposed restrictions on the use of certain hazardous substances in electrical and electronic equipment. The new directive primarily targets the operation of electrical and electronic equipment in the secondary market, including repair, parts replacement, refurbishment, reuse, and retrofitting. EU legislators believed there was a need to assist in the operation of such secondary markets to promote a "circular economy." The "circular economy" is a concept that has emerged in recent years, aiming to extend the added value of products as much as possible, allowing products or their parts to be reused even after they have reached the end of their lifespan, thereby reducing waste. RoHS 2 allows electrical and electronic equipment that is not regulated by Directive 2002/95/EC (RoHS 1) but does not comply with Directive 2011/65/EU (RoHS 2) to continue to be placed on the market until July 22, 2019. After that date, electrical and electronic equipment that violates the RoHS 2 directive will be prohibited from being placed on the market, whether for the first or second time. However, EU lawmakers now believe that banning operations in the secondary market is inconsistent with the general principles behind EU measures, including the circular economy, and therefore requires further consideration. Therefore, the new directive specifies that if parts are recycled within an auditable, closed-loop enterprise-to-enterprise recycling system, and consumers are aware that the parts are reused, then the RoHS 2 directive's restrictions on hazardous substances do not apply to reused parts in the following situations: A. Parts from electrical and electronic equipment placed on the market before July 1, 2006, and used in electrical and electronic equipment placed on the market before July 1, 2016; B. Parts from medical devices or monitoring and control instruments placed on the market before July 22, 2014, and used in electrical and electronic equipment placed on the market before July 22, 2024; C. Parts from in vitro diagnostic medical devices placed on the market before July 22, 2016, and used in electrical and electronic equipment placed on the market before July 22, 2026; D. Parts from industrial monitoring and control instruments placed on the market before July 22, 2017, and used in electrical and electronic equipment placed on the market before July 22, 2027; E. Parts from all other parts placed on the market before July 22, 2019, and not covered by RoHS. The RoHS 2 Directive covers electrical and electronic equipment within its scope, and those intended for use on the market before July 22, 2029. However, certain less common products are excluded, including equipment intended for space launches and photovoltaic panels. Furthermore, pipe organs are made from a specific lead-based alloy with no substitute; and most pipe organs have been in the same place for centuries, with virtually no circulation. Therefore, pipe organs are also excluded from the RoHS 2 Directive because even if they were included, the effect on lead substitution would be negligible. The RoHS 2 Directive also does not apply to non-road mobile machinery with built-in power supplies for specific purposes. However, some non-road mobile machinery exists in two versions, both manufactured on the same production line, differing only in whether the power supply is internal or external. Under the RoHS 2 Directive, both versions must be treated equally. Therefore, non-road mobile machinery with traction drive systems powered by external power supplies is also excluded from the RoHS 2 Directive. Directive 2017/2102, amending the RoHS 2 Directive, will enter into force on the 20th day after its publication in the Official Journal. EU Member States must implement any legislation, regulations, and administrative provisions made to comply with Directive 2017/2102 no later than 12 June 2019. For details of Directive 2017/2102, amending the RoHS 2 Directive, please refer to the attachment: Directive EU 20172102.pdf. Source: HKTDC Research (2017-12-15) Attachment: Directive EU 20172102.pdf