Plastribution’s Polymer Price Know-How: August 2026

In August’s Polymer Price Know-How, experts from Plastribution discuss the factors affecting polymer supply, demand and pricing across a range of polymer groups. This month, the Middle East crisis has continued to drive volatility in the crude oil markets, and the ongoing conflict has resulted in Brent Crude prices swinging 35% in July as markets reacted to repeated ‘deal or no deal’ updates on almost a daily basis.

Feedstock cost increases have had limited influence on polymer pricing, but have prices now bottomed out?

The Middle East crisis continued to drive volatility in the crude oil markets. By the end of July, Naphtha prices had risen sufficiently to result in inflation being passed though into all feedstocks apart from Butadiene, albeit the price for C2 took some time to settle as sellers and buyers fought hard to agree the final level of increase.

In the case of standard polymers, apart from LDPE, polymer converters firmly resisted calls for any price increases and either decided to deploy existing inventories or were able to secure material without premium from a market with plentiful supply. Depending on what happens to feedstock prices at the beginning of September, many polymer producers may regard this as ‘unfinished business’ when it comes to the next round of price negotiations.

With most converters taking the view that the market is now at the bottom, volumes have picked up as polymer buyers replenish inventories and look to secure further stock at low prices as a contingency in the event that prices go up in the autumn.

The prices of performance polymers continue to tick up as polymer producers look to pass through polymer price increases, and their efforts are often supported as the situation in the Middle East continues to result in some tightness in supply for certain grades.

In summary, it looks like September is going to be a pivotal month in terms of setting the price trend through until the end of the year.

Monomer Price Movement

Exchange Rates

€ / 1.17
$ / 1.34
€/$ / 1.14

Standard Polymers

September appears to be seeing reductions in both PE and PP. Although Ethylene increased €5 / MT and Propylene rolled over, there is simply too much material available in the market and nowhere near enough demand to absorb it. The supply and demand dynamic is beating the cost pressures that the producers are facing. Although European producers are deeply in the red with margins, the level of imports continues to be significant, and prices are reflecting this with buyers holding a strong bargaining position.

Talk of rationalisation within the industry as European Producers continues with the announcement of a likely 0% tariff on imports of polymers from the USA doing nothing to ease concerns about the profitability of ageing plants. Whilst the “market price is the market price” still holds true whether tariffs are applicable, without a shift in demand, the writing is very much on the wall for European production of commoditised grades. The only hope appears to be finding niche applications for high-performance grades in Metallocenes and Impact Copolymers.

The outlook for the coming months is largely expected to be flat, as there is little indication of a change in market conditions.

Ian Chisnall
Product Manager – Polyolefins

Polyolefins Feedstocks

Performance Polymers

The market is predominantly quiet during the summer holiday period with little movement on prices. It is anticipated that things will remain like this until at least September, and there is ample material to satisfy the subdued demand.

The Benzene contract price for August settled at €1,277/t, up by €184/t from July. Availability was reduced as European producers cut outputs and imports from China imports slowed. Demand was also lower so a fairly balanced situation overall.

Pete Tillin
Product Manager – Performance Polymers

Performance Polymer Feedstocks

Sustainable Polymers

Recycled Polyolefins has largely seen a rollover in September as there appears to be no further room for reductions on prices that are typically below the cost of production for many recyclers. However, with virgin prices dropping, some of the small increases that were secured in August appear to have been lost. Demand is weak and although some recycling facilities in the UK have closed, there is still very good availability.

Recycled LDPE / LLDPE are around rollover, some grades slipping, some higher quality grades staying stronger on pricing.

Recycled HDPE has typically rolled over in September, demand remains weak and this may have some impact on pricing.

Recycled PP is typically a rollover in September, but some suppliers are looking at deals to move volume in the face of continued weak demand.

Ian Chisnall
Product Manager – Sustainable

Price Know-How: August 2026 Full Report

Visit the Price Know-How website to read the August 2026 update, which details each market segment and material group produced by Plastribution’s expert product managers.

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Price Know-How, a decade-long trusted resource in the industry, provides essential updates on polymer pricing and market dynamics. This report is crafted by Plastribution, a leading polymer distributor, in collaboration with Plastics Information Europe.

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