Sellers raised PE, PP and PVC prices, but did not get the hikes they wanted

In April, producers of standard thermoplastics failed to implement the planned price increases – which they needed to cover rising feedstock costs. Buyers put up strong resistance to the planned hikes, with reports of de-stocking and hand-to-mouth buying by converters. Material availability and producer stocks were generally better than in recent months with no major production issues reported.

Polyethylene, polypropylene and PVC prices were all slightly higher in April, while polystyrene and PET prices followed raw material costs downward. Within polyethylene, LLDPE was shortest, along with HDPE injection moulding grades. LDPE was well balanced while HDPE blow moulding and film sectors were quite long.

For May, sellers will be seeking higher prices to cover rising feedstock costs and improve their profit margins. With converter stocks believed to be low, order intake is likely to improve. However, should polymer demand fail to pick up as expected, producers are likely to consider restricting production levels.