Potential Tariff Reaction by European Union

Plastics Targeted by Retaliatory EU Tariffs

Sixty US plastics resin and product exports to the EU could be hit as a countermeasure to US tariffs on steel and aluminum.

Sixty plastic products exported by the US could be hit with retaliatory tariffs by the European Union (EU), analysis by the Plastics Industry Association (PLASTICS) reveals. The products are on a list of goods potentially targeted by the EU as a countermeasure to the 25% tariffs on steel and aluminum imposed by the US on March 12, 2025. 

The resin and plastic products are among 1,708 products itemized by the European Commission for possible countermeasures. On March 12, 2025, the commission launched an information-gathering notice under the (EU) No. 354/2014 regulation, allowing stakeholders to input their recommendations until March 26.

Tariffs would impact $5.9 billion in US plastics exports

When the eight-digit, EU Harmonized Tariff Schedule (HTS) level is matched to the corresponding six-digit US HTS codes, the proposed EU tariffs are estimated to impact $5.9 billion in US plastics resin and product exports to the EU, based on 2024 export values, as shown in the table below, according to analysis by PLASTICS Chief Economist Perc Pineda.

“Based on the $4.3 billion in US imports of the above resin and plastic products from the EU in 2024, the European Commission’s proposed countermeasures put a potential $1.6 billion US trade surplus from 2024 at risk in 2025,” said Pineda. “While the European Commission has not included plastic equipment and molds in its proposed countermeasures, US plastics equipment and mold makers that use steel and aluminum imported from the EU are already affected by the US tariffs,” he added.

Plastics Europe cautions against tariffs

Earlier this month, the European association representing the plastics industry issued a cautionary statement on the potential negative impact of tariffs on supply chains, business expenses, and costs to consumers on both sides of the Atlantic. “As a key stakeholder in the European plastics industry, we urge both the EU and US to prioritize diplomatic solutions to avoid escalating trade tensions further,” said Plastics Europe.

Nobert Sparrow