Sell to China! China may be removed from permanent normal trade relations! EVA is up 400! PE strong turn red! A rebound in general-purpose materials?

The cancellation of China's MFN status by the United States has had a significant negative impact on China's export trade. First, the average tariff rate for Chinese goods entering the US market is expected to rise significantly from the existing 2.2% to more than 60%, which will directly affect the price competitiveness of Chinese exports to the US.

It is estimated that about 48% of China's total exports to the United States are already affected by the additional tariffs, and the elimination of MFN status will further expand this proportion.

The tariffs applicable to China's exports to the United States will be changed from the first column to the second column, and the tax rates of the top 20 categories of products exported to the United States with the highest scale will be increased to varying degrees, among which the applicable tax rates of mechanical equipment and parts, vehicle and machine accessories, integrated circuit semiconductor devices, and minerals and metals and products will be increased significantly.

On November 7, the US Department of Commerce issued a preliminary anti-dumping ruling on Epoxy Resins imported from China, India, South Korea, Thailand and Resins from Taiwan, China, preliminatively ruling that the dumping margin of Chinese producers/exporters was 354.99% (margin ratio of 344.45% after offsetting subsidies). The dumping margin for Indian producers/exporters is 12.01% - 15.68% (margin ratio after subsidy is 0.00% - 10.52%), the dumping margin for Korean producers/exporters is 16.02% - 24.65%, and the dumping margin for Thai producers/exporters is 5.59%. The dumping margin for producers/exporters in Taiwan is 9.43% - 20.61%.

On April 23, 2024, the US Department of Commerce announced an anti-dumping and countervailing investigation against imported epoxy resin from China, India, South Korea, Taiwan, and a separate anti-dumping investigation against imported epoxy resin from Thailand.

For a long time, the US's tariff policy has frequently targeted Chinese products. This time, it is coming with a strong momentum. If the 60% or even higher tariffs are implemented, it will definitely cause a significant impact on our exports, and the plastic raw material business will be further aggravated!