Chemicals sector has a deficit of almost US$10 billion this year

Exports were US$3.4 billion, equivalent to sales abroad of 3.4 million tons. This shows a drop of 8.3% in value and 5.2% in the quantity sold abroad, when compared to last year.

The result in the first quarter of 2024 was a deficit of US$9.9 billion, accumulating a value of US$44.7 billion from April 2023 to March 2024. The number reached a record of 46.6 million tons — difference between 61.2 million tons imported and 14.6 million tons exported in the period.

A unbridled entry of imports at predatory prices and the low percentage of use of installed capacity are unbalancing the domestic market and are already threatening national manufacturing of strategic products, according to Abiquim’s Director of Economics and Statistics, Fátima Giovanna Coviello Ferreira.

“For some time we have been warning about the risks of operating at such a low load in the sector, especially due to the productivity and efficiency results that discourage the continuity of production. Unfortunately, some companies have stopped activities for preventive maintenance and others are already talking about hibernating plants, making the risk an imminent reality”, highlights Fátima Giovanna.

According to Abiqum, there was an increase in import volumes of thermoplastic resins (36.9%), basic petrochemical products (8.1%), among other organic chemicals (10.1%) and miscellaneous products for industrial use ( 15.2%).

Protective tax measures

The executive president of Abiquim, André Passos Cordeiro, highlights that ensuring protective tax measures is vital to maintain the operation of production chains, as in the United States — where production costs are lower and import taxes are high.

“Here, we are suggesting an increase in rates to 20% in the vast majority of claims. Remembering that it is a temporary tariff protection measure. We need to have this breathing space for the industry to recover”, she argues.