April 25, 2025 The Ministry of Economy and Finance issued Order No. 1125, It has been decided to continue imposing duties on oriented polyester film with a thickness of more than 10 microns originating from China, Indonesia, and Thailand. Impose a five-year anti-dumping tax on films(See attached table), among them,The tax rate in China ranges from 2.50% to 25.04%.The Korean tariff numbers of the products involved are 3920.20.0000 and 3921.90.2000. The measures take effect from the date of the announcement. On January 7, 2013, South Korea initiated an anti-dumping investigation on oriented polypropylene films imported from China, Indonesia, and Thailand. On December 20, 2013, South Korea officially imposed anti-dumping duties on the products from these three countries. Subsequently, South Korea conducted a sunset review, and on August 23, 2019, it made an affirmative ruling and extended the duration of the duty collection. On April 26, 2024, South Korea launched a second sunset review investigation on the products from these three countries. On February 20, 2025, the South Korea Trade Commission made a final ruling on the second sunset review, recommending the continued imposition of anti-dumping duties. Appendix: Final ruling tariff table for the second sunset review of the anti-dumping case on import-oriented polypropylene film from China by South Korea

On the evening of April 27, TCL Electronics (01070.HK) released the global TV sales data for the first quarter of 2025. Data shows that TCL Electronics' global television shipments in the first quarter of 2025 exceeded 6.51 million units, a year-on-year increase of 11.4%. Benefiting from the increased proportion of mid-to-high-end products in its television business, the sales revenue of its television business saw a significant year-on-year growth of 22.3%. TCL Electronics' Q1 2025 Shipment Volume Data (Unaudited) Source: TCL Electronics Investor Relations It is reported that TCL Electronics adheres to the "mid-to-high-end + large-screen" strategy, investing heavily in cutting-edge technologies such as high-end display and artificial intelligence, which has earned global favor from users. In the first quarter, its mid-to-high-end products, specifically Mini LED TVs, performed impressively with a shipment of 550,000 units, representing a year-over-year increase of 232.9%. According to the latest data from Omdia, in 2024, TCL's Mini LED TV global shipment market share reached 28.8%, ranking it first globally. Recently, CITIC Securities released a research report on TCL Electronics, stating that TCL Electronics' "mid-to-high-end + large screen" strategy has been highly effective, with its black electric main business experiencing both volume and price increases, and its innovative businesses flourishing in multiple areas. With the subsequent national subsidy catalysis and the global high-end breakthrough trend, TCL Electronics possesses both short-term performance elasticity and long-term growth certainty, making its investment opportunity noteworthy. The report gives a "buy" rating. Notably, TCL Electronics announced a new round of incentive equity grant plan with performance-based vesting conditions in early April. The plan is to grant approximately 91 million incentive shares to 860 incentive targets, including company executives and core staff members. Based on the adjusted net profit attributable to shareholders in 2024, the threshold values (unlocking 80% of the incentive shares) for 2025/2026/2027 correspond to adjusted net profit growth rates of 25%/50%/75%, while the target values (unlocking 100% of the incentive shares) correspond to growth rates of 45%/75%/100%, demonstrating strong confidence. Meanwhile, CITIC Securities' report also pointed out that in the future domestic market, driven by national subsidy policies, the penetration rate of Mini LED TVs will rapidly increase. The accelerated adoption of large-size and Mini LED products is expected to boost the industry's average price, contributing to profit elasticity for enterprises. As a leading player in the industry, TCL Electronics is poised to benefit more significantly.

Despite the significant uncertainty brought about by the current tariff issues, the industry still hopes to see more merger and acquisition transactions in fields such as orthopedics and interventional cardiology; major merger targets are expected to gradually shift towards publicly listed companies. Recently, the ranking of the top 100 global medical device companies was released. Based on the 2024 annual revenue, Medtronic ranked first with a revenue of $33 billion; Johnson & Johnson ranked second with a revenue of $30.4 billion; Abbott and Danaher followed closely with revenues of $27.9 billion and $24 billion, respectively. Other medical device companies in the top ten include Stryker, Siemens Healthineers, BD Medical, GE Healthcare, and Philips, all with revenues around $20 billion. In recent years, mergers and acquisitions in the medical device sector have driven the trend of "the strong getting stronger" among giant companies, benefiting from the ample cash flow of large enterprises. By acquiring and integrating a significant number of innovative technologies, medical device giants have further solidified their positions in certain specific fields. In 2024, Johnson & Johnson announced two major acquisitions, purchasing cardiovascular medical device company Shockwave for $13.1 billion and atrial shunt manufacturer V-Wave for $1.7 billion. Medtronic acquired Fortimedix Surgical, an innovative medical device company in the endoscopy field. BD Medical acquired the entire line of critical care products from Edwards Lifesciences for $4.2 billion in cash. Since 2025, the enthusiasm for mergers and acquisitions among major medical device companies has not waned. In January of this year, orthopedic giant Stryker announced its acquisition of venous thromboembolism (VTE) medical device company Inari Medical for a total cash consideration of $4.9 billion; Siemens Healthineers completed the acquisition of industrial simulation and analytics software provider Altair for $10 billion; Medtronic acquired part of the intellectual property used for the development of the next-generation PEEK intervertebral fusion devices from Nanovis, a nano-surface technology supplier; Medtronic also increased its investment in Contego Medical, a provider of blood revascularization therapy solutions. Despite the current tariff issues bringing significant uncertainty to the industry, there is still anticipation for more mergers and acquisitions. As the U.S. IPO market warms up, the motivation for private companies to be acquired may decrease, and the share prices of listed companies are far from reaching their peak. It is expected that major M&A targets will gradually shift towards listed companies in the future. Regarding the popular acquisition targets in the medical device industry, analysts believe that as more large medical device companies bet on the peripheral vascular market, leading companies in this field are worth paying attention to; surgical robots remain a hot sector that requires significant investment in research and development, and private companies urgently need the resources of large companies to survive; in addition, fields such as orthopedics and interventional cardiology will continue to be "strategic tracks." Johnson & Johnson expects to continue expanding its interventional cardiology product portfolio. Tim Schmid, the global chairman of Johnson & Johnson MedTech, stated last year that the company would triple its market size through acquisitions. Johnson & Johnson CEO Joaquin Duato has invested over $30 billion in mergers and acquisitions for the company's medical technology business within less than two years of taking office. In addition to the acquisition of Shockwave, Johnson & Johnson has also acquired artificial heart manufacturer Abiomed and heart implant developer Laminar in the past two years. Du Anqing previously stated that the company will continue to maintain its momentum in mergers and acquisitions, including small acquisitions and large deals, in order to achieve long-term growth. This is related to Johnson & Johnson's strong cash flow and balance sheet. Although the company mentioned in its recent quarterly financial report that its medical technology business might face a profit loss of $400 million in the fiscal year 2026 due to tariffs, industry insiders believe that Johnson & Johnson still has considerable flexibility to consider various types of transactions. "A company's abundant cash flow is the foundation for carrying out M&A transactions," Shen Yi, Danaher's Global Vice President and Head of Strategic Investment and M&A for the Asia-Pacific region, told the First Financial Daily. He also mentioned that Danaher's cash flow has exceeded the company's profits almost every quarter over the past decade. "In over 400 M&A transactions in its past history, Danaher has made all acquisitions except for one mega deal valued at $200 billion in cash, with 85% of its cash being used for acquisitions," said Shen Yi. Medtronic CEO Geoff Martha has indicated that the company will adopt a "top-down" precision strategy, focusing on small-scale acquisitions. Martha did not disclose specific targets, but he emphasized the importance of small acquisitions and portfolio management. Boston Scientific Corporation has also been quite active in mergers and acquisitions over the past year, benefiting from its relatively strong profit margins in recent years. Analysts predict that the company's PFA pulsed field ablation product, Farapulse, will drive continued profit growth in 2025. In 2024, Farapulse's annual revenue exceeded $1 billion.

Plastic resin production declined in March even as overall US chemical output edged upward, according to the American Chemistry Council’s (ACC) latest Weekly Chemistry and Economic Trends report. Tariffs also have had an impact on chemical output, according to the report. “Prior to the tariff announcements, there had been further progress on inflation,” the ACC said in its report. “Growth in consumer prices is now expected to accelerate in 2025 to a 3.1% pace before easing to a 2.7% pace in 2026.” Tariffs introduced in early April, combined with retaliatory moves from China and Canada, are casting a long shadow over the second quarter, according to the report. Although a recession isn’t currently forecasted, the risk has escalated significantly. ACC said it is "monitoring the tariffs situation and continuing to analyze it as the circumstances develop." The ACC report, released April 18, indicated that oil prices moved higher compared to the previous week as new sanctions were put in place targeting Chinese imports of Iranian oil, while Iraq agreed to cut its oil imports. The ACC’s latest Survey of Economic Forecasters shows that nearly all economic indicators have weakened since March. Industrial production, which fell 0.3% in 2024, is projected to grow by just 0.9% in 2025 and 1.0% in 2026 — sobering figures for plastics producers tied closely to US manufacturing output. Housing starts fall The ACC reported broader economic unrest that includes a sharp drop in housing starts, weakening manufacturing sentiment, and growing uncertainty that is tied to newly imposed tariffs on US imports. Industrial production in the US slipped 0.3% in March after three consecutive monthly gains, with the decline largely driven by a sharp drop in utility output amid unseasonably warm weather. While the broader industrial sector faltered, manufacturing and mining managed modest gains ahead of the widely anticipated tariff announcements on April 2. Overall for plastics processors and chemical manufacturers, the picture was mixed. Within manufacturing, aerospace, motor vehicles, electronics, and apparel posted strong output increases. However, these were undercut by notable declines in wood products, petroleum refining, and textiles. Industrial production trends On a year-over-year basis, overall industrial production rose 1.3%, though capacity utilization edged down 0.4 points to 77.8% — exactly where it stood one year ago. Total industrial capacity has grown by 1.3% over that same period. Chemical output continued to climb, with the Federal Reserve’s index for the sector rising 0.2% in March to reach its highest level since July 2018. Gains in agricultural chemicals, coatings, synthetic rubber, manufactured fibers, and other specialties outweighed declines in plastic resins, inorganic chemicals, and consumer products. Organic chemicals held steady. Year-over-year, chemical production was up 5.8%, and capacity utilization for the sector rose to 83.1%. However, it's important to note that capacity figures now reflect revised methodology from the Fed, making comparisons with earlier data inconsistent. Despite the sector's resilience, regional indicators point to softening ahead. Manufacturing conditions in New York and Philadelphia contracted further in April, with the Empire State’s headline index remaining in negative territory and the Philadelphia Fed’s measure plunging to a two-year low of -26.4. Both regions reported falling new orders and growing concern about future conditions. Housing data spark worry Housing data also added to concerns. March housing starts dropped 11.4%, driven by a 14.2% decline in single-family construction — a sector with significant implications for demand in plastics-intensive applications like piping, insulation, and exterior cladding. Regional weakness was concentrated in the South and West, although the Northeast and Midwest posted gains. Building permits, a leading indicator of future construction activity, rose 1.6%, suggesting some forward momentum, but the gain was fueled by multifamily projects. Single-family permits continued to decline. Consumer activity provided a rare bright spot in March, with retail and food service sales jumping 1.4%, according to the report. Analysts attribute this surge to consumers pulling forward purchases in anticipation of higher prices due to tariffs. Auto dealers saw sales rise more than 5%, while restaurants, sporting goods stores, and home improvement retailers also posted solid gains. Compared to a year ago, the ACC noted that retail sales were up 4.6%, despite ongoing weakness in furniture and home furnishings. Business inventories remained on the rise, climbing 0.2% in February. Sales, however, rose even faster — up 1.2% — causing the inventories-to-sales ratio to dip slightly from 1.36 to 1.35. For plastics suppliers and converters managing raw material and finished goods inventories, this shift may offer some temporary breathing room. Trade pressures continued to evolve in March, with import prices slipping 0.1% ahead of the tariff hikes. Fuel prices led the decline, while nonfuel imports saw a slight uptick. Export prices remained flat for the month, but have gained 2.4% over the past year. In the chemical sector specifically, import prices have now fallen for three straight months, down 1.3% year-over-year, while export prices rose 3.0% in the same timeframe. Consumer spending to moderate Consumer spending is also expected to moderate, while business investment is likely to slow to 1.7% growth in both 2025 and 2026, according to the ACC. Housing starts, another plastics-relevant market, are forecast to remain flat through 2025 before inching up slightly in 2026. Vehicle sales — a major demand driver for plastics — are expected to slide to 15.5 million units in 2025 before edging up again the following year. Labor market dynamics are shifting as well. The unemployment rate is projected to rise to 4.3% in 2025 and 4.5% in 2026 as the economy softens and job growth slows, the report indicated. Inflation, which had shown signs of easing, is now expected to accelerate again due to cost pressures stemming from tariffs, with consumer prices forecast to rise 3.1% in 2025 before cooling to 2.7% in 2026. Commodities and energy markets continue to react to global developments. Oil prices increased on news of sanctions targeting Chinese imports of Iranian oil and Iraq’s pledge to cut exports. US natural gas prices, by contrast, declined due to warmer temperatures. The oil and gas rig count dropped by eight to 577. For the plastics and chemical sectors, volatility in energy prices — and feedstock costs — remains a key concern. Railcar data provided a modest silver lining: Chemical loadings rose 2.3% year-over-year on a 13-week moving average and have increased in eight of the last 13 weeks. This could indicate that, at least for now, demand for chemical intermediates and finished plastics continues to hold up. As the second quarter unfolds under the weight of trade uncertainty and shifting consumer dynamics, plastics producers and processors are navigating a market marked by resilience in some segments and emerging risk in others. Strategic planning, inventory management, and close tracking of regulatory developments will be critical in weathering what is shaping up to be a volatile year.

ThermoFab, a supplier of heavy gauge plastic enclosures and related single use components for the medtech and other regulated industries, reports that it has acquired key reaction injection molding (RIM) assets from Mearthane Products Corp. All RIM components will be manufactured in ThermoFab’s USMCA-compliant Mexicali facility, allowing for efficient delivery throughout North America with no tariffs. This strategic investment significantly enhances ThermoFab’s RIM molding capacity, improving production efficiency and flexibility in manufacturing complex, high-performance enclosures, the company said in the announcement. Mearthane Products Corp., based in Apex, NC, is specialized in the development and manufacture of advanced polyurethane products. Supporting production of intricate, lightweight molded parts The newly acquired assets include multiple custom-built hydraulic down-stroke molding presses that can accommodate component sizes from 36 x 48 to 60 x 78 inches, with pressures up to 8,000 PSI. The machines are equipped with programmable logic controllers (PLCs), precision mixing heads, and advanced hydraulic systems, enabling the production of impact-resistant large, intricate, and lightweight molded components. The acquisition also includes advanced RIM dispensing systems with dual pressurized tank assemblies, high-performance temperature controllers, and integrated mixing technologies. The systems enhance material consistency, reduce cycle times, and allow for the processing of a range of polyurethane formulations — including high-impact structural foams and elastomers — for medical, industrial, and defense applications, said ThermoFab. The benefits of ThermoFab’s expanded RIM capabilities include: Expanded press sizes that accommodate larger and more intricate designs, suitable for medical device enclosures and robotics components. Enhanced material versatility, as high-performance polyurethane formulations provide superior strength, lightweight properties, and impact resistance. Faster cycle times and optimized material flow, resulting in improved lead times and reduced production costs. Seamless integration of RIM, thermoforming, injection molding, and CNC machining under one roof. Tariff-free production in new Mexican facility The integration of these assets into its new 50,000-square-foot Mexicali facility enables cost-effective nearshore manufacturing with enhanced capabilities and faster turnaround times, the company said. All RIM components produced in Mexicali are fully USMCA-compliant and exempt from tariffs, offering a significant advantage for North American customers, added ThermoFab. Applications of the technology cited by the company include surgical robotics, organ transport devices, genetic sequencing devices, people scanning technologies, autonomous robots, and information systems. ThermoFab said that its capabilities encompass the entire production lifecycle, from design and initial prototyping to full-scale production and assembly. Shirley, MA–based ThermoFab is a subsidiary of the Producto Group, a portfolio company of Culper Capital Partners. A contract manufacturer and supplier of precision tooling and components for the life sciences, semiconductor, aerospace, and defense sectors, Producto acquired ThermoFab in 2022.