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Brazil has implemented a significant policy shift by raising import duties on key polymers, including high-density polyethylene (HDPE), low-density polyethylene (LDPE), linear low-density polyethylene (LLDPE), polypropylene (PP) copolymers and homopolymers, and polyvinyl chloride (PVC). Effective immediately, these duties have increased from 11.2% to 12.6%, a move aimed at boosting the competitiveness of domestically produced materials. 

The decision comes amid a substantial influx of chemical imports, leading to Brazil's second-worst trade imbalance in history, as reported by the country's chemical producers association, Abiquim. “The government's decision is considered a pivotal step in enhancing the competitiveness and economic contributions of Brazil's chemical industry, which has faced challenges due to rising imports,” he added. 

Meanwhile, imports of chemical products from January to October totalled $52 billion, surpassing exports at $12.2 billion in the same period last year. Official data shows a notable uptick in PE and PP imports by 18% and 24%, respectively, during the first 10 months of the year. This policy adjustment is anticipated to have far-reaching implications for the nation's chemical trade dynamics.