Most players expect the market to recover only in mid-January or early February, following the holiday season and the associated downtime. Market participants predict that large PP producers may initiate January with significant price hikes, anticipating a rebound in demand. However, there is a high probability that customers will reject these increases, potentially leading to a price correction and a drop in prices to approximately +25 EUR per tonne (t).
The return of active demand in January appears unlikely, contingent on substantial orders for finished goods. No significant changes in demand or prices are expected in the PP market until the end of the year. Traders, aiming to avoid selling at a loss, are currently holding back transactions and waiting for the situation to improve in January.
- In the first half of December, demand for polypropylene was minimal.
- Demand for copolymer remained extremely low, with some traders receiving no inquiries for this type of PP.
- There are offers on the market for imported polypropylene at competitive prices.
- Some traders have temporarily suspended PP raffia sales due to intense competition from a local manufacturer.
- Customers are showing interest mainly in homopolymer with delivery already scheduled for next month.
- Market participants reported no issues with material availability.
- One manufacturer has declared force majeure at one of its polypropylene plants in Germany, which could result in delivery delays.
- A plant in Central Europe has resumed production of several types of PP following the conclusion of its force majeure period.
