PLASTICS Report Shows Strong Global Demand for Plastics

The Plastics Industry Association (PLASTICS) released its annual Global Trends report during a press briefing and keynote address at the Plastimagen trade show in Mexico City. Presented by PLASTICS’ Chief Economist Perc Pineda, the report found that while global trade volume expanded by 2.7% in 2022, according to the World Trade Organization (WTO), trade volume for the U.S. plastics industry over the same time period grew at more than three times that rate, coming in at 9.7%.

For 2023, WTO is forecasting a 0.8% increase in world merchandise trade volume, but data from the first half of the year indicates a decline in plastics trade volume compared to the first half of 2022. During this time, however, the U.S. trade balance shifted from a $5.2 billion deficit to a $1.0 billion surplus. Pineda concluded that “it would not be surprising” if the U.S. plastics industry’s trade volume in 2023 once again outpaced the growth in total global merchandise volume.

China’s slowdown could hinder that growth, given that the country ranks as the third-largest export market for U.S. plastics, Pineda noted. Overall, the U.S. has a trade deficit with China in all plastics; however, it enjoys a $3.1 billion trade surplus in resin.

U.S. plastics industry exports rose 11.8% and imports rose 7.2%, shrinking the overall plastics trade deficit to $7.4 billion in 2022 from $10.0 billion in 2021. The Global Trends report found that 2022 apparent consumption of plastics industry goods in the U.S. increased 13.7% to $393.3 billion, up from $345.9 billion in 2021.

Global plastics trade volume is estimated to have reached $1.7 trillion, with China, the U.S. and Germany ranking as the top three players in the global plastics trade, based on PLASTICS’ annual Global Plastics Ranking.

The U.S. plastics industry had its largest trade surplus with Mexico of $11 billion, followed by Belgium ($2.9 billion), Brazil ($2.4 billion), the Netherlands ($881 million) and Singapore ($854 million).