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EU diplomats endorse PPWR deal

  • : Petrochemicals
  • 24/03/15

EU diplomats today endorsed the EU parliament and council of EU member states' compromise agreement on the Packaging and Packaging Waste Regulation (PPWR), which will — among other things — implement mandatory requirements for recycled content across almost all plastic packaging in the single market.

Parliament and member states provisionally agreed to the compromise on 5 March, but it was not agreed at the time by the European Commission. A particular sticking point centred around whether and how imported recyclates would be allowed to count towards the recycled content requirements, with the compromise saying that imports should be "subject to equivalent conditions with regard to emissions and separate collection and sustainability criteria for recycling technologies".

The commission said today it would not stand in the way of an agreement, an unnamed official told Argus. Some EU member states also expressed concerns, but none opposed and only two expressed reservation or had not reached an official position.

European recycling industry association Euric called the outcome of discussions a "significant milestone for the European recycling industry and circular value chains".

"Setting equivalent conditions that guarantee that imported recycled plastics meet equivalent standards to those set in the EU is vital for ensuring European industrial sovereignty and competitiveness", Euric president Olivier Francois said.

But it raised concerns about a clause granting member states freedom to prioritise access to recycled plastics "for use in applications where the distinct quality of the recycled material is preserved or recovered in such a way that it can be recycled further and used in the same way and for a similar application". This "risks disrupting the well-functioning internal market", Euric said.

It said that the focus should instead be on improving recyclability and collection rates to ensure access to recycled plastics. A similar debate has occurred with respect to the Single Use Plastics Directive which mandates recycled content in PET bottles in the EU from next year.

Concerns have also been raised about bans focussing primarily on plastic packaging, with exemptions for other packaging materials. German plastic packaging association IK's director-general Martin Engelmann highlighted single-use packaging for fresh fruit and vegetables. The commission initially proposed a material-neutral ban on these products, but the provisional compromise proposal narrows the ban to only plastic packaging, he said.

Special rules for plastic packaging, for instance, could be challenged as discriminatory in the European Court of Justice, he told Argus last week.

Engelmann also raised concerns this week about 100pc reuse requirement for industrial packaging used to transport goods between one company's sites within the EU, and 40pc reuse requirement for all other industrial packaging. Such a high level of reuse is "impossible to achieve for many packaging formats because, for example, it is not technically possible to reuse stretch film for pallet wrapping", he said.

Following today's meeting of EU diplomats, the provisional deal will be formally adopted first by parliament's environment committee and then the whole parliament. Following formal approval by EU ministers, the text could be on the EU statute books in the summer.


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25/05/09

EU consults on tariffs for €95bn US imports

EU consults on tariffs for €95bn US imports

Brussels, 9 May (Argus) — The European Commission is consulting on an extensive list, worth €95bn ($107bn), of US industrial, agricultural and other imports that could be subject to tariff countermeasures. The long list includes extends from livestock, biofuels, wood pellets to metals, aircraft, tankers and polymers . The consultation runs until midday on 10 June. It is aimed at stakeholders affected by US measures and possible EU rebalancing measures. Also considered for possible countermeasures are restrictions, worth €4.4bn, on EU exports to the US of steel, iron and aluminium scrap, as well as toluidines, alcoholic solutions and enzymes (CN codes 7204, 7602, 292143, 330210 and 350790). The commission linked the possible new measures to US universal tariffs and to Washington's specific tariffs on cars and car parts. The commission said the public consultation is a necessary procedural step. It does not automatically result in countermeasures. The EU also launched a WTO dispute procedure against the US for Washington's universal tariffs, set at 20pc for EU goods and currently paused at 10pc, and at 25pc on all imports of vehicles and car parts. The commission will need approval by EU governments under a simplified legislative procedure. Officials say this will complete a legal act for the countermeasures, making them "ready to use" if talks with the US do not produce a "satisfactory" result. The list of products potentially targeted includes livestock, along with items ranging from spectacles to antiques. The 218-page list includes a range of agricultural and food products including oats, maize, and cereal pellets. Also included are biodiesel and wood pellets (CN codes 38260010, 44013100), as well as paper and cotton products. Aluminium, iron, steel are listed together with a wide range of other goods from gas turbines, ships propellers and blades, aircraft, sea-going tankers and other vessels. Polymers, copolymers, polyesters and other products are not spared (CN codes 39039090 and more). On 10 April, the EU paused its reciprocal tariffs against the US for 90 days, responding to a US pause. The EU notes that €379bn, or 70pc, of the bloc's exports to the US are currently subject to new or paused tariffs. By Dafydd ab Iago Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Chemicals, polymers part of EU tariff consultation


25/05/08
25/05/08

Chemicals, polymers part of EU tariff consultation

London, 8 May (Argus) — Polymer and chemical products are included in a European Commission public consultation on a list of US imports which could become subject to EU countermeasures, if ongoing EU-US negotiations do not result in a mutually beneficial outcome and the removal of the US tariffs. The consultation will remain open until 10 June, after which a final proposal will be made for the adoption of countermeasures and a legal act prepared for imposing them "in case negotiations with the US do not produce a satisfactory result". The list of additional products that could face import tariffs includes many polymers and some chemicals, although appears to target value more than volume. These additions include polypropylene homopolymer and copolymers (HS codes 39021000, 39023000), although these account for a relatively small volume of trade, at 114,000t in 2024, according to GTT data. Other polymer codes on the consultation list include some polystyrene, polyvinyl chloride, acrylonitrile butadiene styrene and polyethylene terephthalate products. Isocyanates and some polyurethanes are part of the consultation. Imports of acetic acid, a methanol derivative were included. EU 27 imports from the US in 2024 were 540,000t. Liquid caustic soda has been included. The EU 27 countries imported 540,000t in 2024. Benzene and xylenes have been included, but only under distinct "non-chemically defined" HS codes (27071000 and 27073000) and for which volumes are small. The European Union on 9 April announced a 90-day delay to a series of planned countermeasures specific to US tariffs on metals to allow space for negotiations. These are separate from the new consultation and remain poised to go ahead if negotiations fail. They included a 25pc tariff on imports from the US of polyethylene under codes representing nearly 1mnt of imports in 2024. By Alex Sands Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

OxyChem maintains demand estimates for 2025


25/05/08
25/05/08

OxyChem maintains demand estimates for 2025

Houston, 8 May (Argus) — US chemical producer OxyChem is maintaining expectations for demand growth in its key sectors this year and remains committed to its profit guidance despite various market challenges. OxyChem during its first quarter earnings call today said its full-year profit guidance is $900mn-$1bn, roughly in line with the $1bn midpoint guidance for 2025 it expected during its 2024 fourth quarter earnings call. The company said the performance of its chemical sector exceeded expectations for the first quarter, although winter weather disrupted production and stoked higher operating costs during the three-month period. Sales revenue totaled $1.19bn in the first quarter, less than 1pc higher than a year earlier. The company expects domestic polyvinyl chloride (PVC) consumption to grow by 4-5pc in 2025 from last year, while higher costs associated with first quarter disruptions were now over. But the company added there is still uncertainty around how demand, costs, and prices will overlap during the months ahead. Challenges to PVC prices persist because of China's increasing dominance in the global market. China's global PVC market share grew from virtually nothing in 2020 to roughly 30pc in 2024 as producers sold overbuilt domestic supply, OxyChem said. China's increased presence in the export market weighed on global PVC export prices, which eventually pressured domestic US contract prices, the company added. OxyChem anticipates caustic soda demand will mirror last year, but recent expansions in the wider industry could pressure prices. OxyChem reported a $185mn profit for the first quarter, 27pc lower than the same quarter a year earlier despite higher sales revenue. By Aaron May Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Shell to buy Freepoint pyrolysis oil in US: Update


25/05/08
25/05/08

Shell to buy Freepoint pyrolysis oil in US: Update

Adds Freepoint comment in second paragraph Houston, 8 May (Argus) — Freepoint Eco-Systems has agreed to provide Shell's polymer plant in Pennsylvania with "a steady supply" of pyrolysis oil produced in Hebron, Ohio, from chemically recycled plastic waste. Under the "landmark agreement", oil will be shipped to Shell's polymer plant in Monaca, Pennsylvania, where it will be used to make plastic, the company said. Shell under the deal is entitled to the Hebron plant's production capacity of 130mn lb/yr, Freepoint said Thursday. Freepoint's Hebron plant is still in its commissioning phase, but the company expects to produce up to its full capacity of pyrolysis oil upon completion later this year. Pyrolysis uses high heat to break down waste plastic into feedstocks that can be used to make virgin-like plastic material. Shell said the agreement reflected its commitment to increasing the circularity of plastics in its portfolio. On 22 April, Freepoint sent its first railcar of pyrolysis oil to Shell's plant in Norco, Louisiana. By Zach Kluver Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

PureCycle rPP volumes to follow customer trials


25/05/08
25/05/08

PureCycle rPP volumes to follow customer trials

Houston, 8 May (Argus) — PureCycle will base its production of recycled polypropylene (rPP) at its Ironton, Ohio, location on demand from customer trials, the company said this week during its first quarter earnings call. The company currently holds 14mn lbs of rPP in inventory, and produced 4mn lbs of rPP during the first quarter of 2025. "As customer trials progress and demand comes on the books, we will raise [production] rates in order to meet the demand," said chief executive Dustin Olson. PureCycle currently has 33 active customer trials for its rPP and 55 pending trials. Its material is being trialed under applications that include automotive, consumer packaging, durable housewares, and furniture. The Ironton facility's nameplate capacity is 107mn lbs, which the company is still far away from producing. However, in April, the plant achieved its best monthly feed rate of 12,500 lbs/hr with on-stream time at 87pc. PureCycle reported the company's first ever revenue of $1.6mn in the first quarter. By Zach Kluver Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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