HS Code:
Polymers of ethylene, in primary forms (HS Code: 3901), include polyethylene materials such as low-density polyethylene (LDPE), high-density polyethylene (HDPE), and linear low-density polyethylene (LLDPE). These materials are foundational to the plastics industry, used in packaging, construction, automotive components, and consumer goods due to their versatility, durability, and cost-effectiveness. This category represents a significant segment of the global petrochemical market, driven by demand for sustainable and lightweight materials.
Total Trade Volume
USD 80.5 billion
Data from 2022
Source
United Nations Comtrade Database, International Trade Centre (ITC)
USD 12.3 billion
15.3% of total trade of total trade
Increasing
USD 10.8 billion
13.4% of total trade of total trade
Increasing
USD 7.5 billion
9.3% of total trade of total trade
Stable
USD 6.2 billion
7.7% of total trade of total trade
Increasing
USD 5.1 billion
6.3% of total trade of total trade
Stable
Average Rate
5.2% ad valorem
Highest Rate
12.5% (imposed by certain developing economies to protect domestic industries)
Lowest Rate
0% (under free trade agreements such as EU Single Market or USMCA)
Rising demand for sustainable plastics
Increased investment in bio-based and recyclable polyethylene products to meet regulatory and consumer demands
2021-2023
Shift in production capacity to Asia and Middle East
Lower production costs and proximity to raw materials have boosted exports from these regions, affecting Western producers
2020-2022
Impact of global supply chain disruptions
Pandemic-related delays and rising shipping costs have led to regional supply shortages and price volatility
2020-2022
The European Union introduced stricter regulations on single-use plastics and set targets for recycled content in polyethylene products.
March 2022
Increased costs for non-compliant exporters but opportunities for producers of recycled and bio-based polymers.
Phase One trade deal reduced tariffs on certain ethylene polymer categories, boosting bilateral trade.
January 2022
Improved market access for US exporters to China, increasing trade volume by approximately 8% in 2022.
Saudi Arabia announced new polyethylene production facilities under Vision 2030 to diversify its economy.
October 2022
Expected to increase global supply by 5% over the next 3 years, potentially lowering prices but intensifying competition.