Brazil’s Chamber of Foreign Commerce on May 27 voted to raise the antidumping duty (ADD) on suspension-grade polyvinyl chloride (PVC) from the US to 43.7%. The ADD had been 8.2%, as per Chemweek.The US is one of the main suppliers of PVC to Brazil, which does not produce enough of the material to meet domestic demand. In April, the US was the second largest supplier to Brazil, accounting for 31% of the total import volume, according to government data.One trader told Platts that he did not expect the higher ADD to affect spot import prices, as the share of customers buying from the US is small, despite the large volume. “This will have a greater impact on the PVC pipe industry. They used to buy a lot of resin from the US at very low prices,” the source said.The expectation is that the demand from these manufacturers will now be met by local producers Braskem and Unipar, the same trader said. Colombia and Egypt, which have tariff exemptions for exporting PVC to Brazil, are also "strong candidates" to meet this demand, although there are uncertainties about frequent logistical issues and availability of these origins.Platts, part of S&P Global Commodity Insights, assessed spot PVC at $835 per metric ton CFR Brazil on May 21.
mrchub.com