By Brazil Stock Guide – Brazil imposed five-year antidumping duties on polyethylene imports from the United States and Canada, in a move that supports domestic producers such as Braskem while keeping tariff levels unchanged from last year’s provisional measures to avoid additional cost pressures across the industrial chain.
The decision was approved by the executive committee of the Foreign Trade Chamber (Gecex), part of Camex, as part of Brazil’s broader trade defense framework aimed at addressing imports deemed to be priced below fair market value.
According to the official resolution, “definitive antidumping duties, for a period of up to five years,” will be applied to polyethylene resin imports from the U.S. and Canada. The ruling also states that the duties will be “modulated for reasons of public interest, at the levels applied during the provisional measure,” confirming the government’s decision not to increase tariff intensity.
This effectively locks in the provisional tariffs introduced in mid-2025, bringing regulatory certainty to the sector after months of temporary measures.
Tariff benchmarks
The provisional duties had been set following a recommendation by Brazil’s Trade Defense Department (Decom) in August, with levels reaching up to $238.49 per ton for Canadian exports and $199.04 per ton for U.S. shipments. Those measures directly affect major North American producers such as Dow and ExxonMobil in the United States, as well as Nova Chemicals in Canada, all of which are key exporters of polyethylene to global markets.
Support for local players
The decision strengthens the competitive position of domestic petrochemical producers, particularly Braskem, Latin America’s largest resin producer, which has faced increasing pressure from imported material in recent years.
Global dynamics
Globally, polyethylene markets have been shaped by excess capacity, particularly in North America, where companies such as ExxonMobil and Dow expanded production on the back of shale gas. This has led to aggressive export strategies, increasing competitive pressure in markets like Brazil. The Gecex decision also sends a broader signal that Brazil remains willing to deploy antidumping tools, but with increasing attention to inflationary and competitiveness effects.