US PET and rPET Imports Face New Challenges from Tariff Roadblocks

The recent prohibition by the U.S. White House of the exemption from reciprocal tariffs on PET and rPET has sent shivers down the spines of some very key Asian producers and exporters. The U.S. administration has imposed full duties on all imports of PET and rPET with effect from *th September ****. This decision is bound to impact the Southeast and South Asian markets, including India, where the tariff can go up to ***. The full tariff enforcements on PET and rPET have been rationalized on the grounds of the two-pronged issue-widespread importation at cheap costs and oversupply of PET, which impairs the interests of local producers and recyclers. This well and truly drills down into the domestic market of the U.S., with local brands turning away from their commitment to use rPET and preferring to use virgin PET or cheap rPET from foreign suppliers.

An...