Brazil renews 20% tariff on polyethylene and polypropylene resin imports
Brazil's Camex foreign trade committee renewed for 12 months, on 27 August 2026, an increased 20% import tariff on six types of polyethylene and polypropylene resins, up from 12.6%. Plastics converters in Minas Gerais, represented by industry body Simplast, warn the measure creates a tariff inversion that raises raw material costs above those of finished plastic imports, squeezing margins across food, pharmaceutical and packaging supply chains.
Why this mattersProtected resin prices raise input costs for Brazilian converters while finished plastic goods enter at lower duties, squeezing margins across food, pharmaceutical and packaging chains.
- Camex's Gecex committee renewed the tariff increase on 27 August 2026 for 12 months.
- The tariff on six polyethylene and polypropylene resin types rose from 12.6% to 20%.
- Simplast says import prices for the affected raw materials have risen 63% cumulatively since the tariff was first applied in 2024.
- Simplast names Braskem as Brazil's only domestic resin supplier.
- Packaging can account for about 14% of a product's cost and roughly 9.5% of the final price after pass-through, according to Simplast.
Sources
Diário do Comércio
PT