The Trade War Will Have A Major Impact On The Plastics Industry
The United States has listed injection molding machines, extruders, blow molding machines, and hot molding molds as imports, and its tariffs have been raised to 25%.As a counterattack, China will also significantly increase import tariffs on low-density polyethylene (LDPE), polyolefin elastomer and plasticizer (POEs, POPs), polyvinyl chloride (PVC), polyamide (PA) 66 resins, aromatic and semi-aromatic PAs and their copolymers, as well as plastics related to epoxy resins.In addition, PET sheet and thin film, acrylic resin and polycarbonate resin also included in the list, showing China's resolve to deal with the trade war.
China is one of the most important trading partners in the U.S. chemical industry, and in 2017 China imported 11 percent of its total plastic resin from the U.S. - trade volume reached $3.2 billion. In particular, 40% of the new tariff products allocated by China are chemicals, including polyethylene, polyvinyl chloride, polycarbonate and acrylate.
With $185 billion of new chemical plants being built across the country, the expansion and restart of the facility is based on the current tariff plan, and market changes caused by the tariff increase could prompt investors to invest elsewhere. We strongly urge the United States and China to reach a productive agreement before any proposed tariff arrangement takes effect.
In a written statement, Cal Dooley, President and CEO of the American chemical council (ACC), said: "" us chemical manufacturers believe that the principles of free and fair trade should apply to all WTO members, including China. However, a trade war with one of our most important trading partners is not the solution. We strongly urge both governments to work together to reach a satisfactory and mutually beneficial decision before the situation escalates further.
ZHEJIANGJIAAO ENPROTECH STOCK CO.,LTD
ADD: No.1 Economic & Development Zone,Tongxiang, Zhejiang, China
Contact: Gray Li
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Contact: Joey Deng
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