Low-density polyethylene (LDPE) prices in Europe came under renewed pressure this week, with spot values sliding sharply while contract prices largely held their ground. Market participants reported that a combination of sluggish downstream demand and plentiful supply continued to weigh on sentiment, keeping buyers firmly on the sidelines.
Industry sources said spot LDPE prices fell as sellers, faced with high inventories and limited restocking activity, grew more flexible in negotiations. Competitive import offers, particularly from U.S. suppliers, added to the downward momentum, leaving local producers struggling to maintain market share. Packaging and construction industries, two key end-use sectors, remained notably quiet, reinforcing the negative tone across the region.
Spot assessments reflected the weakness. LDPE values were reported at €1,025–1,035 per metric ton FD Northwest Europe, a steep week-on-week decline of €40. FCA Antwerp LDPE general-purpose film prices mirrored this trend, sliding to €1,010–1,020 per metric ton, also down €40.
In contrast, contract prices for September showed remarkable stability. General-purpose LDPE grades were steady at €1,910–1,915 per metric ton FD Northwest Europe in Germany, Italy, and France, with only the United Kingdom posting a slight dip to £1,650–1,655 per metric ton, down £10 from the previous week. Producers and buyers settled at rollover levels, a reflection of their effort to balance subdued demand with the need to protect already thin margins.
Market observers noted that sellers resisted deeper concessions, citing elevated production costs and continued competition from U.S.-origin material. Even so, weak order intake and a lack of fresh restocking limited any chance of upward momentum.
Feedstock prices provided little direction. Ethylene spot values were unchanged at €675–685 per metric ton FD Northwest Europe, while the September ethylene contract settled at €1,130 per metric ton, a marginal rise of €5 from August.
Looking ahead, participants remain cautious. Producers are keen to avoid further cuts, but with demand in packaging and construction sectors still muted, negotiations in the coming weeks are expected to be challenging, and the risk of additional spot price erosion cannot be ruled out.
