European polyethylene markets drifted lower or held flat this week, weighed down by ample imports, thin downstream demand and a lack of conviction ahead of the year’s final quarter. Sellers across grades are intent on clearing inventory before December, but buyers continue to purchase only what they need, leaving sentiment muted.
High-density polyethylene (HDPE) film prices slipped again while blow-moulding and injection grades were steady. Despite reduced run rates at local plants, steady arrivals from the US, Canada and the Middle East have kept supply long. Converters are favouring bimodal film grades over unimodal, a shift that adds pressure to spot values. Traders are looking to the K-Fair in Düsseldorf in early October for clues on end-year demand, but few expect a sudden lift.
Low-density polyethylene (LDPE) rolled over as balanced supply and weak film and packaging demand held prices in check. Imports remain competitive even with a 6.5 percent tariff on US material, and debate is building over a proposal to remove that duty. Some market players warn that eliminating the levy could squeeze European producers already struggling with higher costs, while others argue US exporters might simply raise offers to capture the tariff savings.
Linear low-density polyethylene (LLDPE) prices were equally static. Imports from the US, Middle East and Asia continue to crowd the market as Europe’s own output stays trimmed. Demand in packaging and film remains soft and the European Commission’s plan to drop tariffs on US plastics, still under political review, adds another layer of uncertainty.
Polypropylene (PP) slipped as September’s anticipated restocking failed to appear. Spot values weakened, led by homopolymer injection grades, while propylene feedstock supply stayed robust. Most participants see little chance of a meaningful rebound before October contract talks and remain wary of persistent downstream weakness and heavy imports.
Polystyrene (PS) contracts were stable even as upstream styrene fell. Buyers prefer the flexibility of spot deals, with more than half of September volumes trading that way, and producers are operating at roughly two-thirds capacity. Expandable polystyrene mirrors the malaise, hurt by a sluggish construction sector.
Acrylonitrile butadiene styrene (ABS) prices also rolled over. Demand across construction, automotive and electronics remains poor and imports from China and South Korea continue to chip away at European market share. Producers expect no real improvement before 2027 and see any October feedstock relief as unlikely to shift the balance.
Polyvinyl chloride (PVC) spot prices ticked higher while contracts held flat. Modest demand gains were offset by strong local production and an influx of imports, particularly into southern Europe. Central and Eastern Europe showed slightly better buying than the northwest, but construction—a key end-use—remains subdued.
Polyethylene terephthalate (PET) contracts eased as spot prices held. Sellers face heavy inventories and weak offtake despite a preference for virgin over recycled grades. Abundant feedstock availability and limited impact from anti-dumping probes leave little room for a near-term rebound.
Across the board, Europe’s plastic markets remain long on supply and short on conviction. With buyers cautious and trade policy still in flux, most participants are bracing for a quiet close to 2025 unless October brings an unexpected shift in demand or regulation.
