Ineos warns of CO2 offshoring as Chinese imports hit UK chemicals

Global chemical company Ineos has urged the UK Government to act on carbon-intensive imports after cutting 60 jobs at its Hull acetyls plant. The company blamed high energy costs and “carbon-heavy dumping” from China, warning that without trade protection, Europe risks offshoring CO2 emissions as industries investing in decarbonisation lose competitiveness.

Ineos said Chinese imports are produced using coal and emit up to eight times more CO2 than equivalent products made in the UK. These imports are flooding the market after being blocked from the US by tariffs but face no equivalent barriers in Europe.

“This is a textbook case of the UK and Europe sleepwalking into deindustrialisation,” said David Brooks, CEO of Ineos Acetyls. “We’re being undercut by China and the US while left wide open by a complete absence of tariff protection.”