【Overseas News】Price Hike! Freight Rates to Increase by $1000 in April! US PP Falls for 4 Consecutive Weeks, Unexpected Investment Surge in Brazilian Plastics

International News Digest:

Shipping NewsPrice hike! Shipping companies announce April rate adjustments!

Raw Material NewsThe prices of PE and PP resins in the United States have declined.

Mechanical News-Strong partnership! Baolvete and LNJ lead a new era of bottle-to-bottle food-grade recycled PET.

Packaging NewsCalifornia, USA, plans to ban the intentional addition of these substances in food packaging.

Here is the translation of the provided Chinese text to English: The above content is an international news summary:

1. 2,300 Tons of Treasure Found in 4,600 Tons of Plastic Waste! Italian Town Launches Polyethylene Recycling Revolution

On April 1, Ecopolietilene and STR jointly announced a landmark achievement in a polyethylene recycling experiment. Over the past three years (2022-2024), the two organizations successfully extracted 2,300 tons of polyethylene products from 4,600 tons of urban plastic waste. This amount is equivalent to converting half of a landfill's 'white pollution' into recyclable 'green gold.' As a specialized institution under the Eco-lighting System Alliance focusing on polyethylene management, Ecopolietilene collaborated with STR, a leading solid waste management entity in the Province of Cuneo, Piedmont region. Through the implementation of targeted sorting and recycling programs, not only did they achieve a 40% increase in polyethylene product identification rates, but they also innovatively transformed the recycled materials into industrial raw materials such as construction films and reclaimed pipes.

2. Price Increase! Shipping Companies' April Price Adjustment Notifications Have Arrived!

Despite the persistent low levels of freight rates in the spot market, it is noteworthy that several well-known shipping companies have recently decided to go against the trend and have announced new price increases set to take effect in April. This price hike covers multiple important routes, including those to South America, the Mediterranean, and West Africa, with the increase being quite significant. According to the notice, the freight rate for the largest containers will be raised by up to $1,000 each.

3. Powerful Collaboration! Polyt and LNJ Lead the New Era of Bottle-to-Bottle Food-Grade Recycled PET

Recently, BOLONG and LNJ GREENPET, a subsidiary of Bhilwara Energy Limited in India, signed a contract to provide a food-grade PET bottle recycling and cleaning system for the largest recycled PET resin project in Rajasthan, India. BOLONG will supply its next-generation ES process, delivering high-quality food-grade recycled PET through an energy-efficient, stable, and reliable production method.

4、BASF launches biomass-balanced flexible polyurethane foam system for the North American furniture industry.

BASF is expanding its product portfolio for the furniture industry with the introduction of biomass-balanced grades of Elastoflex® polyurethane systems. These mass-balanced products, along with several BASF plants, have received REDcert2 certification, including the recently certified facility in Livonia, Michigan, USA. Staci Wegener, Director of Polyurethanes for BASF in North America, stated, "Supporting our customers in achieving their sustainability goals is our top priority. With our new biomass-balanced products, our customers now have access to solutions that replace fossil-based raw materials with renewable alternatives, potentially significantly reducing the product carbon footprint compared to traditional polyurethane foam systems."

5. Market Disrupted by Tariffs, Yet Brazil's Plastic Industry Sees Rising Investments

Brazil's plastics industry association Abiplast has revealed that despite potential tariff threats that could destabilize trade relations, the Brazilian plastics sector remains optimistic about investment prospects in the coming years, with an anticipated annual investment of 10.5 billion reais (approximately $1.8 billion). During the industry event "Plastivision Brazil," the association highlighted that factory expansion plans, innovations in sustainable packaging technology, the development of new recycling techniques, and the strengthening of reverse logistics will be key drivers of investment growth. However, influenced by multiple factors such as tariff threats from U.S. President Trump and fluctuations in the global market, the Latin American polyester market is entering a period of uncertainty.

6. US PE and PP resin prices decline

According to Resinsights, prices for prime polyethylene (PE) and polypropylene (PP) continue to decline, with the lower levels encouraging broader demand. However, the average transaction size remains relatively small as packaging trucks are favored over bulk railcars. Resin sales have shifted more towards the domestic market: European buyers have curtailed imports from the U.S. as they may face a 25% tariff on American resins, and if tariffs are imposed, they could also face the threat of local price increases. Latin American and Asian buyers, recognizing the potential reduction in U.S. resin substitute sales, have become more aggressive by lowering their bids. PP activity has returned to a more moderate pace, with completed transactions falling below the average level from a week ago. PP prices dropped another half-cent, marking the fourth consecutive week of declines.

"Plastic Film Waste 'Turns the Tables', Coveris Joins Forces with Nextek to Tackle Recycling Challenges"

Austrian packaging manufacturer Coveris has partnered with UK-based environmental consultancy Nextek to "upgrade" the mechanical recycling of flexible polyethylene and polypropylene films into high-quality food-grade recycled resins and films. Nextek's COtooCLEAN technology, recently recognized by the Alliance to End Plastic Waste (AEPW), uses carbon dioxide to purify plastic film waste, which is then reprocessed to produce new food-grade films.

Overseas macro market information:

"Shell completes sale of Singapore Energy and Chemicals Park"

Shell has completed the sale of its Energy and Chemicals Park in Singapore to a joint venture between Glencore and Indonesian chemicals maker PT Chandra Asri Pacific, the company said in a statement.

"Goldman Sachs Raises U.S. Recession Probability, Warns Tariff Policies Heighten Economic Risks"

On March 30 local time, Goldman Sachs Group of the United States released a report raising the probability of an economic recession in the U.S. over the next 12 months from the previous 20% to 35%. The report stated that the U.S.'s aggressive tariff policies would increase inflation and unemployment rates, hinder economic growth, and elevate the risk of a recession. Goldman Sachs noted that "a sharp deterioration in household and business confidence, as well as remarks from White House officials indicating a greater willingness to tolerate short-term economic weakness to achieve policy goals," contributed to the upward revision of the recession probability. Following the implementation of President Trump's tariff policies, the U.S. economy would face broad negative impacts, with "the risks posed by tariff policies being greater than many market participants anticipated." Goldman Sachs also predicted that the average U.S. tariff rate would rise by 15 percentage points this year, 5 percentage points higher than previously expected. Higher tariff levels could keep inflation persistently elevated. The firm projected that by the end of this year, the year-on-year increase in the U.S. core CPI would reach 3.5%, significantly higher than the previous forecast of 2.8% and the Federal Reserve's 2% target. By then, the U.S. unemployment rate is expected to climb to 4.5%.

"U.S. Commerce Secretary urges companies to increase investments, American chip funding at a standstill."

知情 sources say that U.S. Commerce Secretary Howard Lutnick has hinted he may reject promised Chips Act funding, as he is pushing companies eligible for federal semiconductor subsidies to significantly expand their investment projects in the U.S. Those familiar with the matter say Lutnick wants companies receiving incentives under the Chips Act to follow the footsteps of Taiwan Semiconductor Manufacturing Co., which recently announced it would invest an additional $100 billion at its U.S. facilities. Lutnick’s goal is to secure hundreds of billions of dollars in semiconductor investment commitments without increasing the scale of federal grants.

"Vietnam Officially Reduces Import Tariffs on Cars, Agricultural Products, and More"

Vietnam has announced a reduction in import tariffs on a range of products, including liquefied natural gas and automobiles, with the tariff cuts taking effect on Monday. Vietnam has lowered the tariff rate for certain types of cars from a maximum of 64% to 32%, and the tariff rate for liquefied natural gas from 5% to 2%. The tariff rate for ethanol has been reduced from 10% to 5%. The announcement stated that import tariffs on agricultural products, including fresh apples, frozen chicken, almonds, and cherries, have also been lowered.

IMF Chief Says Tariff Uncertainty Could Weigh on Global Economic Growth

On March 31, Kristalina Georgieva, the President of the International Monetary Fund (IMF), stated in an interview that the uncertainty surrounding the U.S. government's tariff policies poses risks to global economic activity and could hinder global economic growth.

Shell: Australia's Natural Gas Reservation Plan May Intensify Shortages

Shell warned on Tuesday that a proposed Australian plan to mandate the release of export natural gas into the domestic market could deter investment and exacerbate supply shortages. As the Australian general election on May 3 approaches, energy issues have become a central campaign topic. The conservative Liberal-National coalition has pledged to reduce electricity prices through a gas reservation mechanism and prevent potential shortages on the east coast.

Price information:

CNY to USD Central Parity Rate

The central parity rate of the Chinese yuan against the US dollar is reported at 7.1775, up by 7 basis points; the previous trading day's central parity rate was 7.1782, the official closing price was 7.2516, and the night session closed at 7.2570.

"Upstream raw material USD market prices"

Ethylene Asia: CFR Northeast Asia $855/ton; CFR Southeast Asia $920/ton.

Northeast Asia Propylene: FOB Korea average price $800/ton; CFR China average price $825/ton.

North Asia frozen cargo CIF, closed for holidays.

In April, the landed prices for refrigerated goods in South China were: propane at $639-$641 per ton; butane at $629-$631 per ton.

The landed price of frozen goods in the Taiwan region, market closed.

【LLDPE US Dollar Market Price】

Film: $955/ton (CFR Huangpu), down $5/ton;

Injection molding: $1010/ton (Dongguan Bonded Zone spot).

【HDPE US Dollar Market Price】

Film: 940-950 USD/ton (CFR Huangpu);

Hollow: $890-$965 per ton (CFR Huangpu);

Injection molding: $825/ton (CFR Huangpu), down $5/ton.

【LDPE USD Market Price】

Film: $1120-1130/ton (CFR Huangpu), down $20/ton.

Coating: 1,360 USD/ton (CFR Huangpu).

【PP USD Market Price】

Homo-polymer: $935-995/ton (spot), up $5/ton.

Copolymer: $995-1060/ton (CFR Huangpu spot).

Film material: 1030-1105 USD/ton (CFR Huangpu);

Transparent: $1020-1050/ton (CFR Huangpu spot);

The pipe material: $1160 per ton (CFR Shanghai).