Polymer prices going up

Polymer prices are surging in early 2026, with increases exceeding 40% by March, driven by Middle East conflict, severe supply chain disruptions, and soaring energy costs. Polyolefins (PE, PP) and PVC face significant hikes and shortages, with market volatility expected to continue as Brent crude holds above $100/barrel.

Key drivers are:

• Geopolitical Conflict: Disruptions in the Middle East, particularly affecting the Strait of Hormuz, have restricted raw material supply, causing a 50–60% surge in some feedstocks.

• Production & Supply Constraints: Several European suppliers declared Force Majeure, leading to a "500+ EUR" target for price increases for some olefin monomers.

• Upward Trend: Prices for PE, PP, PS, and PVC rose in March 2026, with April expected to see further increases, including a planned 30-cent-per-pound hike for polyethylene in some markets.

• Global Impact: While Europe faces steep increases of €400/tonne, India's PVC market witnessed spikes of up to 78%, and similar shortages are hitting global markets.