Sustainable Plastics - January/February 2024 - 32

polymer prices
European petrochemical feedstock contract prices October 2023 to January 2024 (€/tonne)
OCT
NOV
Ethylene
Propylene
Styrene
Benzene
Paraxylene*
L/LDPE
L/LDPE prices fell further in December
after another reduction in upstream costs.
LLDPE prices fell by €50/tonne with LDPE
film prices down by €30/tonne, compared
with the €30/tonne fall for the ethylene
contract price. The L/LDPE market was
well supplied in December, despite production
cutbacks. Converters ran down stocks
towards year-end and ordered just enough
material to meet their immediate production
needs, which further reduced the already
very low demand.
L/LDPE prices were stable at the start
of the new year following a rollover for the
ethylene reference price. There was a modest
upturn in demand, but buying activity
remained well below what would normally
be expected. European L/LDPE import prices
have risen because of the conflict in the
Middle East and disruption to shipping in the
Red Sea. European producers continue to
operate tight production controls.
HDPE
HDPE prices fell further during December
following a reduction of €30/tonne in the
cost of ethylene. HDPE blow moulding
and injection moulding prices fell by €30/
tonne with blown film prices down by €40/
tonne. The HDPE market was well supplied
despite production cutbacks. Converters
bought just enough material to meet their
immediate production needs as the year
drew to a close.
HDPE prices also remained unchanged
at the beginning of the year after the ethylene
reference price settled with a rollover.
Demand picked up a little following on from
the very weak buying activity during December
but still remained much less than would
normally be expected. There is still sufficient
material available to meet demand, despite
ongoing production cutbacks and higher exports
to Turkey. There is unlikely to be any
significant price movement during the remainder
of the month.
32
January/February 2024
In December, base PVC prices fell by €30/
tonne, which represents a steeper price
reduction for PVC compared with the proportionate
€15/tonne reduction in PVC
production costs due to a fall in the cost of
ethylene. PVC compound prices fell by €3540/tonne
because of lower additive costs.
There was more than enough material available
to satisfy demand last month despite
severe production cutbacks. The short production
month further exacerbated the very
weak demand position.
PVC prices are being rolled over in January
in line with the unchanged cost of
ethylene. The demand picture is mixed;
packaging sales are good, whereas demand
from the building trade remains
very weak. There is still sufficient material
available to meet demand, despite production
cutbacks, although the attacks
on shipping in the Red Sea are leading
to delays in shipment of PVC from Taiwan
to Europe.
1195
1060
1575
841
1090
1215
1080
1486
925
998
PP
PP prices continued on a downward path
in December following a further drop in
the propylene contract price. PP prices
fell by €30/tonne across the board, which
matched the reduction for the propylene
contract price. The PP market was well supplied
in December despite the production
cutbacks. Buying activity fell sharply from
mid-month onwards as many converters
shut down their plants early ahead of the
holiday period.
PP prices remained unchanged during
the first two weeks of January after the
propylene reference price settled on a
rollover. There was more than enough material
available to meet demand despite
producers keeping a firm lid on run rates.
The attacks on shipping in the Red Sea
are leading to late arrival of cargos from
Asia and raising freight rates. Demand remained
subdued at the start of the year.
PVC
DEC
1185
1050
1370
792
960
JAN
1185
1050
1365
803
*960
PS
In December, polystyrene producers announced
a planned price cut of €80-90/
tonne following a reduction of €116/tonne
for the styrene monomer reference price.
PS producers managed to hold onto a
small part of the cost reduction with general-purpose
PS prices down by €110/
tonne. Supply remained adequate despite
reduced run rates and an outage at a PS
production plant in Spain. The weak demands
situation was further compounded
by the short production month and by processors
running down stocks.
General-purpose and high impact polystyrene
prices remained stable at the
start of January. Producers called for a
PS price rise of €10/tonne despite a €5/
tonne reduction for the styrene reference
price. Converters were slow to restart their
plants after the holidays, and there were
few signs of restocking taking place. Plenty
of material was available despite ongoing
production cutbacks.
PET
PET prices fell in December following a reduction
of €42/tonne for the November paraxylene
reference price and weak demand.
The European PET market is well supplied
by imports despite very low run rates and
plant shutdowns by local producers. The
very weak demand situation prompted many
converters to shut down their plants for an
extended holiday period.
PET prices started the new year with a
rollover despite a reduction of €38/tonne
for the December paraxylene contract price.
The is also concern among PET players
about the disruption to PET imports and the
rising cost of logistics as a result of the troubles
in the Red Sea. In addition, there is also
uncertainty regarding the fate of PTA and
PET production at the JBF site in Belgium.
Demand has remained subdued at the start
of the new year.
CHANGE DEC/JAN
€/tonne
-5
11
Note: *Contract is fixed retroactively at the month's end. PX contract for January 2024 not settled at time of writing. Source: Sustainable Plastics

Sustainable Plastics - January/February 2024

Table of Contents for the Digital Edition of Sustainable Plastics - January/February 2024

Contents
Sustainable Plastics - January/February 2024 - Cover1
Sustainable Plastics - January/February 2024 - Cover2
Sustainable Plastics - January/February 2024 - Contents
Sustainable Plastics - January/February 2024 - 4
Sustainable Plastics - January/February 2024 - 5
Sustainable Plastics - January/February 2024 - 6
Sustainable Plastics - January/February 2024 - 7
Sustainable Plastics - January/February 2024 - 8
Sustainable Plastics - January/February 2024 - 9
Sustainable Plastics - January/February 2024 - 10
Sustainable Plastics - January/February 2024 - 11
Sustainable Plastics - January/February 2024 - 12
Sustainable Plastics - January/February 2024 - 13
Sustainable Plastics - January/February 2024 - 14
Sustainable Plastics - January/February 2024 - 15
Sustainable Plastics - January/February 2024 - 16
Sustainable Plastics - January/February 2024 - 17
Sustainable Plastics - January/February 2024 - 18
Sustainable Plastics - January/February 2024 - 19
Sustainable Plastics - January/February 2024 - 20
Sustainable Plastics - January/February 2024 - 21
Sustainable Plastics - January/February 2024 - 22
Sustainable Plastics - January/February 2024 - 23
Sustainable Plastics - January/February 2024 - 24
Sustainable Plastics - January/February 2024 - 25
Sustainable Plastics - January/February 2024 - 26
Sustainable Plastics - January/February 2024 - 27
Sustainable Plastics - January/February 2024 - 28
Sustainable Plastics - January/February 2024 - 29
Sustainable Plastics - January/February 2024 - 30
Sustainable Plastics - January/February 2024 - 31
Sustainable Plastics - January/February 2024 - 32
Sustainable Plastics - January/February 2024 - 33
Sustainable Plastics - January/February 2024 - 34
Sustainable Plastics - January/February 2024 - Cover3
Sustainable Plastics - January/February 2024 - Cover4
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