Linear low-density polyethylene (LLDPE) export prices in the United States moved sharply lower this week, underscoring the persistent imbalance between supply and demand in the resin market. Industry contacts told Polymerupdate that spot export values slipped as producers and brokers struggled to work through elevated inventories while end-user appetite remained muted.
Market participants described the environment as “lengthy,” a term used to signal a pronounced oversupply. Despite steady operating rates at many plants, downstream demand has lagged, leaving sellers eager to clear material. Several sources noted that buying activity during August and September was slow as customers held off on new orders, anticipating deeper discounts. The combination of abundant supply and cautious purchasing has set off intense price competition, cutting into margins across the distribution chain.
Free-Alongside-Ship (FAS) Houston assessments reflected the pressure, with export prices for LLDPE falling to a range of USD 785–805 per metric ton. That marks a steep week-on-week decline of roughly USD 45 per metric ton and highlights the challenge faced by producers trying to move product into overseas markets.
Upstream indicators offered little relief. Spot ethylene prices along the U.S. Gulf Coast were steady on Thursday, holding at 20.00–20.50 cents per pound, unchanged from the prior week. Contract settlements for August 2025 edged slightly lower as well, with ethylene finalizing at 32.00 cents per pound, a marginal decrease of 0.25 cents from July levels.
Traders say attention now turns to whether production cutbacks or a seasonal pickup in demand can help stabilize pricing before year-end. Until then, the combination of surplus resin and buyer restraint is likely to keep the U.S. LLDPE export market under pressure.
