How the US Tariff on Teflon May Affect the Industries That Use It

Cliff • July 18, 2018

A new tariff on polytetrafluoroethylene (more commonly known as PTFE, or Teflon) from China and India is shaking up the Teflon market and the industries who use it. 

From cookware and surgery to aerospace and automobiles, PTFE is used in many ways on our daily lives.

This tariff could even affect Eclipse Engineering, as we use PTFE to solve problems on a daily basis.

What is PTFE?

The most common trademarked product made from PTFE is Teflon.

Teflon is a synthetic material that is recognized for its durability and ability to function in a wide range of temperatures ( -450F to 575F ).

Teflon is commonly called upon for its low-friction properties and its inertness , which makes it compatible for use with most chemical compounds.

Because of its diversity of attractive properties, PTFE is in high demand across the world. The global market for PTFE, in fact, is expected to reach $2.9 billion by the year 2022.

Common Applications for PTFE

Non-stick Coating

One of the most common uses for PTFE can be found in the kitchen. Teflon is the main component of non-stick coating for pots and pans.

Seals

PTFE’s low-friction properties in combination with its chemical inertness also make it a go-to for seals used in equipment — especially in rotary power applications.

Think gear pumps, compressors, and generators. Eclipse often turns to PTFE seals for these applications.

Medical Equipment

Another important use of PTFE is in surgical equipment.

Its non-stick properties are perfect for surgical tools and packaging. And when combined with a non-acid formula, it prevents bacteria from growing on surfaces, keeping them sterile.

Other Uses

There are still more applications of PTFE:

What Does the PTFE Tariff Do?

The new tariff is essentially a tax or duty that Chinese and Indian producers of PTFE pay when exporting the material to America.

The current administration says the tariff is in place because it believes that the foreign product is currently underpriced.

With almost $24.6 million in PTFE exports to the US from China alone , plus another $14.3 million from India , the tariff is expected to have an impact on the American economy.

What Effects Will the Tariff Have?

The answer to this question isn’t clear.

The US Commerce Dept. is currently making preliminary determinations about the tariff based on its effects.

It’s scheduled to make final decisions about the tariff this fall.

In terms of immediate effects, the prices on PTFE have risen and are now sitting at a 4-year high. We won’t know how much the tariff might affect the price of products that use PTFE until next year.

Whether or not consumers will feel the impact of this price change depends on if companies that make products with PTFE can find cost-savings elsewhere. It will also depend on wither manufactures can find alternatives at cheaper prices from places other than China or India.

PTFE is too valuable to be rendered obsolete because of price fluctuations. Immeasurable products that enhance our daily lives rely on PTFE.

Regardless of the impact of the tariff, Eclipse Engineering will continue to deliver the most accessible and affordable PTFE options to our clients.

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Eclipse deals regularly with challenging sealing applications from all industries. High pressures and speeds create unique sets of conditions where seal design and material properties are pushed to the limit. While reciprocating applications can certainly test seals to the edge of capability, often times rotary applications can present the greatest challenge to seal integrity and wear life. Unlike reciprocating configurations where the seal is acting on a different part of the shaft or bore throughout it’s operating range, rotary seals must operate on the same sealing area continuously. This makes things like heat rejection much more difficult, especially in unlubricated or dry running applications. Extreme localized heating can have negative affect on both seal and hardware life. Rotary applications also pose sealing difficulties due to the simple fact that surface speeds can be much higher than in reciprocating systems. A simple electric motor can operate at very high rpm, while long stroke, high speed reciprocating machinery is a major piece of equipment that is far less common (though Eclipse also has sealing solutions in a number of these situations). A customer approached Eclipse with an application that was beyond the scope and capability of any standard, off-the-shelf rotary seal. This sealing system would require a combination of both wear resistance in high-speed rotary, as well as excellent leakage control and sealability. Two factors that, more often than not, work in opposition to each other. The Customer Issue The customer was developing a test system that required an electric motor shaft passed through the wall of a large vacuum chamber. The testing apparatus needed a sizable motor to meet the speed and torque requirements. Adapting the motor to operate inside the chamber would not be practical due to contamination and motor cooling concerns. Therefore, the motor would have to be placed outside the chamber and a driveshaft would have to go through the chamber wall. Which, of course, would need a seal. Operating Conditions:
 Rotary Shaft Seal
 Shaft Diameter: 2.5”
 RPM: 7,500 RPM - unlubricated
 Pressure: Vacuum internal side / 1 ATM external side Temperature: 40° - 90°F The customer knew any kind of off-the-shelf rotary seal with a rubber element would not last any amount of time in the combination of speed and a dry running condition. They also knew a single lip PTFE seal would likely not meet their leakage requirements. Therefore, they turned Eclipse for a custom sealing solution.