The General Law for the Prevention and Integral Management of Wastes (“LGPGIR”) and the Official Mexican Standard NOM-052-SEMARNAT-2005, (“NOM-052-SEMARNAT-2005”) state that in order to determine whether a waste may be considered as hazardous the following criterion must be met:

1. In general, terms shall be hazardous all wastes that have any of the characteristics of corrosivity, reactivity, explosiveness, toxicity, inflammability, or that contain biological infectious agents that make them dangerous (“CRETIB Criteria”).¹
2. Additionally, based on the CRETIB Criteria the LGPGIR ², the NOM-052-SEMARNAT-2005 ³ have lists that establish the wastes that are to be considered as hazardous. Nevertheless, if the specific activity carried out by the waste generator is not to be found on such lists waste generators may either:
   1. Carry out a CRETIB Criteria analysis, in other to determine the nature of the waste ⁴, or;
   2. Produce a statement based on scientific evidence regarding the materials and processes used to generate the waste ⁵.

Based on the above-described criteria, the following wastes are classified as hazardous by the NOM-052-SEMARNAT-2005:

• Slugs from the scrap furnace in aluminum production;
• The benefit of dust metals from electric furnace emissions control equipment in the production of iron and steel;
• Spent oils in metal hot treatment operations; and
• Spent cutting and cooling oils in die-cutting, milling, drilling, and grinding operations.

Neither steel slags nor refractories are outlined in the lists of NOM-052-SEMARNAT-2005; however, they would fall in the scope of the regulations of hazardous wastes if they met CRETIB Criteria.

If it were the case that the waste generated does not fulfill the CRETIB Criteria, then the waste may be considered as special handling wastes. In this case, unlike other special handling wastes which are governed by local regulations, the ones generated by the mining and steel industry will befall into the scope of the federal authorities.

Generators of more than 50 tons of hazardous wastes per year are obligated, to prepare a handling plan and submit it before the Ministry of Environmental and Natural Resources (“SEMARNAT”) for its approval. In this plan, the generator shall establish how the quantity of generated wastes will be reduced, as well as how they will be recovered or reused. To comply with recovering and reusing principles, the wastes may be transferred to a third party, for free or through payment, for being used in other production processes and they could be considered by-products when the transference of its ownership is foreseen in the handling plan registered before SEMARNAT.

Finally, although there is no specific restriction on landfilling such materials if they were to be considered as hazardous waste, the law prohibits its landfilling and its final disposal could be only done in site duly authorized by SEMARNAT.

In this regard, section 7.8 of the Mexican Official Standard NOM-083-SEMARNAT-2003 established that sites, where urban and special handling wastes are disposed, shall not admit the among others any hazardous wastes.

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¹ LGPGIR, Article 5 XXXII; NOM-052-SEMARNAT-2005 §7
² LGPGIR, Article 31
³ NOM-052-SEMARNAT-2005, Third Transitory, Listing
⁴ NOM-052-SEMARNAT-2005 §6.4.1
⁵ NOM-052-SEMARNAT-2005 §6.4.1
⁶ Article 28, Section II, of the LGPGIR
⁷ Rules for the LGPGIR, Article 2 XIX.
⁸ This standard rules the environmental protection specifications for the selection of the site, design, construction, operation, monitoring, closure, and complementary work of a site where urban and special handling wastes are disposed. 

On July 4, 2003, a notice was published in the Federal Official Gazette (“DOF”) stating the recyclability options for slags generated in the production process of iron and steel, as well as from ferroalloys with manganese and silicon (“Notice”).

The Notice is the outcome of the cooperation agreement signed by SEMARNAT and the Federal Attorney’s office for the Environmental Protection ("PROFEPA") with the National Chamber of the Iron and Steel Industry ("CANACERO") with the purpose to improve the environmental performance of that industry, as well as optimize the regulations, handling, and control from authorities (“Agreement”).

In the Agreement, it was foreseen the possibility to approve Technical-Regulatory Instruments with the purpose to set environmental criteria that complement the legal framework governing the iron and steel industries. As a result, on February 19, 2004, Technical-Regulatory Instrument CVS-ITN02-2003 regarding the handling of slags generated in the production process of iron and steel was approved. In accordance with the Notice:

1. Slags that are not classified as hazardous wastes, shall be considered by-products when they are incorporated as raw material in the production process of either the same party that generated them or of a third party.
2. The provision of the Notice would apply to those parties that have expressed their adherence to the Technical-Regulatory Instrument CVS-ITN02-2003, regarding the slags from the EAF process, among others.
3. The options for reusing the slags are for the manufacturing of cement and concrete aggregates; base for paving roads and highways; soil conditionings; recovery of sulfate-acid soils; railways ballast; closing for cells in landfills; agricultural applications; anti-skid for snow control and ice, slope stabilization, stabilization banks for the control of erosion, raw material in construction, gabion formation, shot blasting or sandblasting, road and parking lot rolling surface, landfilling and leveling, shaping of embankments, formulation and manufacturing of slag conditioners for metallurgical processes, and filter bed for wastewater treatment.

The Notice entered into force on July 4, 2006, and up to this date, it has not been repealed.

Steel Industry

Regarding material containing fluor, aluminum oxides from dross slags, chrome, beryllium, calcium, and oxides – no present or anticipated regulation, within the next 12 months, were identified. Anticipated regulations were determined based on the content of the National Program of Quality Infrastructure 2021 which set the standards scheduled to be discussed during the year 2021.

The specifications and test methods of molybdenum trioxide and Ferro molybdenum in the steel industry are ruled by the Mexican Standard NMX-B-092-CANACERO-2007 and NMX-B-228-CANACERO-2008, respectively.

Finally, the test to determine the molybdenum in the white foundry of iron is ruled in the Mexican Official Standard NMX-CH-113-1992.

Cement Industry

The use of Calcium Chloride as an admixture of hydraulic concrete used for the conditioning of roads and accelerated curing of such kind of concrete is ruled in the NMX NMX-C-356-ONNCE-2010.

The specifications that must be met the chemical admixtures added the mixtures of hydraulic concrete prepared with Portland cement, for the modification of its consistency and curing period is ruled by the Mexican Official Standard-C-255-ONNCCE-2013. 

Regarding material containing fluor, aluminum oxides from dross slags, chrome, beryllium, calcium, and oxides – no present or anticipated regulation, within the next 12 months, were identified. 

Extraction of Wastes From Landfills

The legal provisions ruling the final disposal of special handling of wastes ⁹ and hazardous wastes in landfills or sites authorized by SEMARNAT, respectively, do not foresee disposition ruling the possibility of extracting back the wastes that have been dully disposed of in that place, for being used in a specific production process.

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⁹ General Law for the Prevention and Comprehensive Management of Wastes and its Regulations, as well as the Mexican Official Standards NOM-057-SEMARNAT-1993, that rules the requirement that must be observed in the design, construction and operations of cells for controlled confinement of hazardous wastes; NOM-058-SEMARNAT-1993 that establishes the requirement for the operation of a hazardous wastes’ confinement; and NOM-083-SEMARNAT-2003 that established the environmental protection specifications for the selection of the site, design, construction, operation, monitoring, closure, and complementary work of a site where urban and special handling wastes are disposed.

Until August 30, 2020, in force in Mexico was the Federal Law of Meteorology and Standardization, which foreseen to kind of standards: the Mexican Official Standard ("NOM") which are binding by its nature, and the Mexican Standard ("NMX"), although voluntary in nature they may become binding if a Mexican Official Standard establishes it or if an authority determines it for a specific purpose ¹⁰.  

Mexican Standards could be prepared by national entities of standardization and certifications, and exceptionally, by the chamber, professional bars, associations, private corporations and governmental bodies. Once completed the process set by law for preparing Mexican Standard, a validity statement was published in the Federal Official Gazette; however, the complete version of the Mexican Standard can only be acquired directly with the entity responsible of its preparation. 

Regarding the Addition of Slags, Fly-ash, etc. to Cement ¹¹

The following Mexican-Standards rule the substances that can be used as admixtures in concretes:

1. Mexican-Standard NMX-C-414-ONNCCE-2017 ¹²: establishes the specifications and test methods applicable to the various types of hydraulic cement of national or foreign manufacture that are destined for consumers in Mexico.

This Mexican-Standard classifies hydraulic cement into the following categories:

• CPO–Ordinary Portland Cement;
• CPP–Portland Pozzolan Cement;
• CPEG–Portland Cement with Granulated Blast Furnace Slags;
• CPC–Portland Composite Cement;
• CPS–Portland Cement with Silica Fume; and
• CEG–Cement with Granulated Blast Furnace Slag.

In accordance with the Mexican Standards, cement components must comply with the limits set in charts 4 and 5 below:

2. Mexican-Standard NMX-C-146-ONNCCE-2000 Building Industry Specifications

Admixtures for concrete natural pozzolana raw or calcined and fly ash for being used as a mineral admixture in Portland cement concrete. This NMX establishes the specifications applicable to fly ash and raw or calcinated pozzolan for use as a mineral admixture in concrete when a cementitious or pozzolanic action or both are expected.

This Mexican Standard establishes the specifications applicable to fly ash and raw or calcinated pozzolan for use as a mineral admixture in concrete when a cementitious or pozzolanic action or both are expected.

3. Mexican-Standard NMX-C-255-ONNCCE-2013 Building Industry Specifications and Test Method: Chemical Admixture for Concrete

This NMX establishes the specifications to be met by chemical admixtures added to hydraulic concrete mixtures prepared with Portland cement, which modify the consistency and setting time of such mixtures, as well as the test method for their evaluation.

4. Mexican-Standard NMX-C-356-ONNCCE-2010 Building Industry Specifications and Test Method: Admixtures for hydraulic concrete

This NMX establishes the specifications and test methods for the calcium chloride technical grade, used for the conditioning of roads and in the acceleration of hydraulics concrete setting.

Green Cement/Lower-Carbon Emission-Based Products

Furthermore, when it comes to the regulation either considering the promotion or limit of green cement or in general any cement that would support lower carbon-emissions based products, there are no additional regulations (including laws, rules or official standards), programs or plans issued by the governmental authorities in Mexico, either on the federal or local level.

Nevertheless, on February 25, 2021, it was published in the Federal Official Gazette, the National Program of Normalization, the purpose of this document was to establish the status of Mexican Official Standards that when complying with the procedure enshrined in the Federal Law on Metrology and Standardization or The Law of Quality Infrastructure will either become Mexican Official Standard (meaning they will be binding to everyone) or Mexican Standard (although voluntary in nature they may become binding if a Mexican Official Norm establishes it or if an authority determines it).

The aforementioned is relevant given that there currently is a project for a possible Mexican Standard (if all the requirements are fulfilled) regarding recycled aggregates for hydraulic concrete, the purpose of this standard would be to establish the specifications that recycled aggregates must meet for use in the preparation of ready-mixed concrete and/or mixed on-site.

In accordance with the National Program of Normalization, this project has a progress of 60%, and its conclusion is estimated for December 2021. It is worth noting that this project has been in the works since 2016.

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¹⁰ From August 31, 2020, entered into force the Law of Quality Infrastructure which confirms the validity of Mexican Standard issued under the Federal Law on Metrology and Standardization. Under this law, Mexican Standards are named Standards. 
¹¹ The Mexican Standards referred to in this section were prepared by the National Organism of Normalization and Certification of the Constructions and Buildings ("ONNCCE"); hence, its complete version is not published in the Federal Official Gazette and only can be acquired directly with ONNCCE.  
¹² The remarks in this section have been prepared based on a summary prepared by the Mexican Institute of Cement and Concrete.

Dust Control

Existing Regulations

Currently, the Mexican Official Standard NOM-040-SEMARNAT-2002 is in force, establishing the maximum permissible levels of atmospheric emissions during the manufacturing of hydraulic cement.

The maximum permissible levels of particles generated by this kind of fixed source when used conventional fuels are 80 mg/m³ during milling, raw material’s gridding and hydraulic cement’s gridding; 100 mg/m³ during clinker cooling and 0,15% during clinker calcination.

The rest of the fix sources are required to observe the limits of emissions set forth in the Mexican Official Standard NOM-043-SEMARNAT-1993. This includes all fixed sources that are not ruled by a specific standard including, but not limited to those sources focused on chemical, oil and gas, mining, ceramics, foundries, etc.

Anticipated Regulations on Dust Control

The Program of Quality Infrastructure 2021 foresees the update of the NOM-043-SEMARNAT-1993 since it was published 25 years ago, nevertheless, it still set limits of emissions that overpass the ones established in other countries and regions.

Dumps Recovery

Existing Regulations

As referred to in the answer to question 3, the legal provisions ruling the final disposal of special handling and hazardous wastes do not foresee dispositions ruling the possibility of extracting waste previously disposed of, for being used in the production process.

Anticipated Regulations on Dumps Recovery

The Program of Quality Infrastructure 2021 foresees the modification of the NOM-083-SEMARNAT-2003 to introduce new technologies, best practices and methods for the design and construction of landfills. However, that program does not establish that as part of the modifications, provisions related to dumps recovery would be incorporated.

These remarks are valid for all kinds of industries since there are no Mexican-Standards in force only applicable to certain industries.

Wastewater Treatment

Existing Regulations

All fix sources that discharge wastewater in water bodies under federal jurisdictions (rivers, lakes, sea, lagoons, subsoil, etc.) are obligated to observe the limits of pollutants that the Mexican Official Standard NOM-001-SEMARNAT-1996 sets. If the wastewater is discharged in the municipal drainage network, the limits to be observed are those that the NOM-002-SEMARNAT-1996 sets forth. It is important to mention that both, the National Water Commission ("CONAGUA") and local water authorities are entitled to impose particular conditions of discharge, furthermore, stricter or additional limits of pollutants may be imposed on companies of certain sectors (i.e., chemical, oil and gas, etc.) when required.

Anticipated Regulations on Wastewater Treatment

The update to the NOM-001-SEMARNAT-1996 is foreseen in the Program of Quality Infrastructure 2021 since it was issued more than 20 years ago and the limits of pollutants that it sets need to be updated.

On October 1, 2019, SEMARNAT published, in the Federal Official Gazette, the Accord by means of which the Preliminary Basis of the Emission Trading System Test Program are established (henceforth the “Emission Trading System Accord”). The Emission Trading System Accord became effective on October 2, 2019.

The most significant aspects of the Emission Trading System Accord are the following.

1. A testing state is currently in the process. This testing stage will run for 36 months, starting on January 1, 2020, and ending on December 31, 2022.  
2. The mandatory participants to the testing stage are: (i) Facilities conducting activities in the energy and industry sectors, that generated 100,000 tons or more of direct carbon dioxide in 2016, 2017, 2018 and/or 2019; and (ii) facilities that amount or surpass 100,000 tons of direct carbon dioxide emissions as of 2020; these facilities will be classified as new participants.
3. Between the industrial sector, the following activities are considered electricity generation, the industries of cement, glass, iron and steel, lime, mining, petroleum and gas, refinery, petrochemical, paper and food and beverage. 
4. For the calculation of the threshold referred to in b, only direct emissions of carbon dioxide will be considered. This means that indirect emission and emission of diverse greenhouse gas emission will not be consider for the calculation.
5. In general terms, the testing stage operates as follows:
   1. On November 27, 2019, SEMARNAT published (I) the maximum amounts of emission rights to be issued for the first two years of the emission trading system, and (ii) the emission rights assigned gratuitously to the participants in these periods (the maximum amount of emission rights for 2020 is of 271.1 million rights and 273.1 million rights for 2021).

On the maximum number of emissions rights, 5% will be reserved for auctions,10% will be reserved for new participants and an additional 5% will be reserved for general purposes that may arise.

2. No later than November 1 of each year, participants of the testing stage must submit before SEMARNAT the number of emission rights equivalent to the reported and verified emission of the immediately previous year. Participants that comply with this obligation in a timely manner will be able to use exceeding emission rights (i) carry out transactions with participants that need emission rights to comply with their obligations, or (ii) reserve the emission rights to comply with its obligations in subsequent compliance period during the testing stage.
3. The emission rights of the participants will be administrated through an emission rights tracking system. Operation including assignation, cancellations, acquisition by means of auctions will be validated and registered in this system.
4. Participant whose CO2 annual emissions surpass the number of emission rights will be allowed to compensate up to 10% of their emissions rights surplus by means of compensation credits, assigned mitigation projects, activities determined by SEMARNAT, or activities that have received external compensations credits before the implementation of the testing stage.
5. A report and positive verification ruling conducted by a certification organism will have to be submitted before SEMARNAT each year by the participant. This ruling will be issued over the emission to be reported and that was generated in the immediately previous year.

6. After the conclusion of the testing stage, the operational stage of the Trade Emission System will be running by January 1, 2023.

Mexico is a party to the Basel Convention on the Control of Transboundary Movements of Hazardous Wastes and their Disposal (“Basel Convention”), of the Decision C (2002) 107 (Final) of the Organization for Economic Cooperation and Development ("OCDE"), and of the Peace Agreement (Exhibit III), which establish limitation to the transboundary movements of wastes. 

Internally, Article 85 of the LGPGIR set forth that “the importation and exportation of hazardous wastes shall observe the restrictions or conditions laid down in this law, its regulations, the foreign trade act, the federal anti-trust act, the international agreement of which Mexico is part and any other applicable provision”. 

The SEMARNAT has implemented diverse permits for import and export of hazardous wastes and other wastes foreseen in international agreements, that particulars shall obtain when interested in carrying out these activities.  

Wastes falling within the scope of this legal framework are either the following:

1. Wastes classified as hazardous under the Mexican environmental regulations. 
2. Wastes defined, listed, or considered hazardous by the international agreements signed by Mexico in the matter of transboundary movements.
3. Wastes defined, listed, or considered hazardous by the internal regulations of countries being exportation, destination or transit parties involved in the transboundary movements. 

Regarding section “a”, on December 12, 2020, it was published in the DOF, the Decision establishing the classification and codification of goods whose import and export are subject to regulation by the Ministry of the Environment and Natural Resources. In accordance with this decision, the import and export of, among others, slags (other than granulated) scaling and other wastes from the manufacture of iron and steel require SEMARNAT’s permit. 

Additionally, wastes generated from raw materials imported to Mexico under the temporary authorization shall be returned to the country of origin in a term no longer than 180 business days from the generation date. These kinds of wastes may remain within the Mexican territory when there can be recycled and exists the necessary infrastructure to do so. 

In regard to section “b”, Exhibit IX of the Basel Convention classifies as a hazardous waste, among others, the granulated slag arising from the manufacture of iron and steel (B1200) and slags arising from the manufacture of iron and steel including slags as a source of Ti0² and vanadium only when they contain any of the materials described in Exhibit I of the agreement to an extent causing them to have any of the Annex III characteristics.