Since January 1, a series of products from China and asean countries will trade. Zero tariff & throughout; Including polyethylene and polypropylene. China's export tariff on plastic products will also be reduced, which will inevitably increase the export orders of downstream enterprises. It is reported that a number of companies have started to rush the market in advance, and the trade is obviously active, which has also improved the situation of weak demand for some plastic materials.
But with the loss of the cost of imports, domestic polyethylene, polypropylene market will face from asean countries the impact of the imported raw materials, raw materials for domestic market sales pressure, the contradiction between the imported raw materials and domestic material upgrade. The construction of the china-asean free trade area will affect the domestic plastics raw materials industry. In the long run, it will accelerate the adjustment and optimization of industrial structure and improve the competitiveness of domestic products. On the short term, there will be resistance to rising prices in the domestic market, and even market prices will fall significantly.
