Brazil sets antidumping duty on PE imports from US, Canada at preliminary levels

Brazil's Chamber of Foreign Trade announced on March 26 that a definitive antidumping duty on polyethylene imports from the US and Canada will be applied at the same levels as the preliminary tax, which will be valid for five years.

According to an announcement published on the official government website, the decision was made "in a way not to cause additional impacts to the chain," and was based on public interest. The official resolution remains to be released.

Brazil previously imposed a $199.04/metric ton duty on US imports and a $238.49/mt duty on Canadian products on Aug. 27, 2025, valid for six months.

Nearly a month before the expiry date set for Feb. 28, a technical review was published calculating dumping margins for US polyethylene imports at $734.32/mt, or 79.3%.

The news led market participants to back off from importing PE from the US. Although the US remains the main supplier to Brazil, its market share reached historical lows in February, falling to 37% of total imports, against levels around 70% throughout 2025.

With the preliminary antidumping duty expiry by the end of February and the beginning of the Iran war in the first week of March, duties were null again for both US and Canadian PE imports.

Some market participants even reported increased buying interest in US cargoes, as the country is the only supplier with a fixed delivery window available amid the war, and was exempt from additional taxes.

Rising prices across the globe for PE led sources to believe that the antidumping duty would not be renewed.

"The price increases applied by US producers already are an ADD itself," said a Brazilian-based trader on the week ended March 20.

A second source believed the decision to maintain the tax at the previously reported value was "prudent" amid the war.