New US-imposed trade tariffs on Canada, Mexico and China could threaten plastics manufacturing supply chains, increase costs and impact jobs, the Plastics Industry Association (PLASTICS) has warned.
While recognising the “importance of securing our borders and combating illegal drug trafficking to protect American communities”, PLASTICS president and chief executive Matt Seaholm feared a “blanket tariff policy could have significant economic consequences”.
His comments came after the Trump Administration announced that imports from Mexico and Canada would be taxed at 25 per cent and China at 10 per cent. Trump has since delayed imposing a tariff on Mexico for a month, after discussions with Mexican President Claudia Sheinbaum.
The duties on the first two countries were to be introduced in response to “the illegal fentanyl that they have sourced and allowed to distribute into our country, which has killed 10s of millions of Americans”, White House press secretary Karoline Leavitt told a news briefing on Friday.
However, PLASTICS said US plastics exports totalled $74.2 billion in 2023, exceeding imports of $73.3 billion and resulted in a $958 million trade surplus. Seaholm warned the introduction of tariffs could disrupt “the movement of essential machines, products, and materials that keep American manufacturers running”.
“A competitive industry requires policies that protect high-quality jobs and ensure stable supply chains across sectors like healthcare, consumer products, and automotive,” he said.
“A strategic, measured approach to trade is critical to strengthening – not inadvertently harming – US industry.
“The plastics industry is a cornerstone of American manufacturing and daily life. We look forward to working with policymakers on balanced trade policies that enhance US competitiveness, reinforce supply chains, and drive continued innovation.”
Seaholm’s comments come after PLASTICS used a legislative fly-in in January to push for Extended Producer Responsibility (EPR) legislation, which it said was “long overdue” in the US state of New York.
