The tense political situation in various parts of the world may impact the plastics market in Poland. For instance, the Hungarian PE producer will need to address oil supply redirection issues. Additionally, escalating conflicts in the Middle East could negatively affect supply chains, including plastic polymers into Europe. In turn, European producers, taking advantage of the unavailability of imported material, may continue to raise prices. However, the market is reacting only mildly at present.
Due to the closure of some PE production lines in Europe and a shortage of imported material, the lower bounds of price ranges may increase, particularly for LDPE.
There are already predictions of further increases in contract monomers prices in September, with market data indicating an additional rise of €20/t.
PE
- Polish traders have noted increased demand for HDPE film; other grades have been experiencing lower demand;
- In late July, a Czech manufacturer fully shut down one HDPE production line, and another has been operating below full capacity;
- Hungarian manufacturer has repair work on its production lines. The manufacturer no longer meets customer needs;
- At the beginning of the month, some producers have announced price increases for LDPE of over €100/t, but later reduced them due to market rejection;
- The closure of production lines at several European plants has led to incomplete LDPE availability.
PP
- Traders have claimed that the demand for PP homo has been at a moderate level;
- There has been no material shortage in the market, even though some European manufacturers have stopped PP production;
- Players have noted only the limited availability of PP with a high MFI;
- The price of PP random copolymer has risen by €40/t compared to July;
- There is no shortage of material on the market, even though some European manufacturers have stopped PP production.
