Overview
Despite a benzene price bounce, market sentiment remains subdued with seasonal demand adding pressure to prices.
Although some constraints in European Benzene supply resulted in a price increases, falling crude oil and Naphtha pricing squeezed all other feedstock prices lower. Whilst producers were reluctant to pass the fall in monomer costs through, polymer pricing prices came under further pressure as the lull in demand through the December holiday season necessitates the need to keep inventory moving through the supply chain.
Much attention is already being placed on the prospects for Q1 2026, with many converters trying secure inventory in the expectation that prices are unlikely to fall further and with the possibility that prices may increase.
In the case of the UK the upcoming Budget is already putting the value of the GBP under pressure, due to fears that increased taxation will dampen economic prospects, and given that polymer prices are either € or $ derived this has a very real prospects of pushing UK prices up.
Monomer Price Movement
Feedstock
Price per Tonne
Change (contract)
C2 (Ethylene)
£956.52
-£21.64
C3 (Propylene)
£848.34
-£21.64
SM (Styrene Monomer)
£1,028.37
-£14.72
Benzene
£513.32
£32.03
Butadiene
£657.88
-£34.63
Brent Crude (monthly average)
£376.80
-£16.55
Exchange Rates
€
1.15
$
1.34
€/$
1.16
Mike Boswell
Executive Chairman – Plastribution Group
Oil Prices
No Data Found
Exchange Rates
No Data Found
UK Economic Data
Topic
Item
Date
Change
Trend
GDP
Real GDP (Q on Q)
Q2 2025
£705,403
PMI
UK Manufacturing PMI
October
49.7
UK Output
Manufacturing Index
Q2 2025
101.8%
Sales
New Car Registrations (Y on Y)
Oct 2025 YoY
0.5%
Sales
Retail Sales (Y on Y)
September 25
104.2%
Labour
Unemployment Rate
Jun 25 – Aug 25
4.8%
Prices
CPI (Y on Y)
September
3.8%
Prices
RPI (Y on Y)
September
4.5%
Interest Rates
Bank of England Base Rate
November
4%
Standard Polymers
After many months of price falls, we do appear to be hitting the bottom of the current pricing cycle. Both C2 and C3 monomers dropped €25 / MT on the back of lower oil pricing, and this has broadly been reflected in polymer price offers for early November. It can, however, feel like rollover compared to the pricing we saw towards the end of October as prices fell through the month due to increased trader activity trying to move stocks.
The argument for this being the bottom is largely driven by a resurgence in buying activity, whilst not necessarily a shift in demand, there is an appetite from buyers to restock. Many buyers are trying to secure volumes for early 2026 at current pricing, a strong indication that they feel the bottom has been reached.
Whilst producers are pleased to see the bottom of the pricing, they are unlikely to be able to achieve much in the way of price recovery as demand is still some way behind supply. There will be strong attempts to restore margin and to widen the delta from monomer to polymer back to profitable levels, but this will be challenging whilst we continue to see imports from cheaper production countries.
Exchange rates will also be a factor in November for us in the UK. The £ is weaker against both the € and US$ so imports are now more expensive.
Ian Chisnall
Product Manager – Polyolefins
Polyolefins Feedstocks
£/Metric Tonne by month
No Data Found
LDPE
Supply
Demand
LDPE pricing has largely rolled over this month compared to the end of October with a drop of around the monomer reduction of €25 compared to the start of October. LDPE is perhaps the grade that may see some slight price recovery as buyers try to restock, and producers implement order stops to manage their inventory having limited production in recent months.
LLDPE
Supply
Demand
LLDPE has also largely dropped by around the monomer though we do see signs that some sellers are holding out for a rollover having given discounts through October. As with other grades, strong signs that we are at the bottom of the pricing with strong interest in forward deals for early 2026.
HDPE
Supply
Demand
HDPE is a similar story to LLDPE with a drop around the monomer compared to the start of October. Exchange shift is eating into some of that monomer reduction as the costs of imports are rising slightly with the weaker £.
PP
Supply
Demand
PP market also appears to be reaching the bottom of the pricing cycle though there is not quite as much buying interest as we see in PE. Current pricing is approximately €25 / MT lower than early October but largely a rollover from recent pricing as we saw PP drop in the middle of last month. Demand continues to be quite muted and supply still strong so we are unlikely to see much of a price recovery but with European Producers deeply in the red, they will be happy enough for now to see the prices stable at least.
PS
Supply
Demand
PS pricing has fallen in line with the monomer reduction of €17 / MT. As with Polyolefins, suggestions that we are reaching the bottom with fewer import offers pushing down pricing beyond monomer. With the prospect of increased shipping rates soon, there is an expectation that the very low offers are gone for a while.
Other Polyolefins
EVA pricing has rolled over as we continue to see interruptions to supply in Europe. Speciality POP and POE are typically rollover as they are mostly price quarterly, but some are moving down with the monomer.
Performance Polymers
The market slump continues, with very low demand, high stocks, and cheap imports, particularly from Asia. As a result of these factors, many European producers are struggling to balance supply/demand and are therefore cutting production even further. With the ongoing weak demand and the global oversupply situation, most polymer costs reduced again. No improvement is expected before the year end.
The November benzene contract settled at €593/t, up €37/t from October. The increase was mainly due to the rise in prices on the spot markets, in response to lower import volumes.
Pete Tillin
Product Manager – Performance Polymers
Performance Polymer Feedstocks
£/Metric Tonne by month
No Data Found
ABS
Supply
Demand
Plentiful stocks & good availability, coupled with low demand & cheap imports from Asia mean that prices remain under downward pressure. The styrene monomer price has declined by a further €17/t in November, along with butadiene down €40/t and ACN down €14/t, which will almost inevitably be reflected in lower ABS prices.
PA6
Supply
Demand
The market remains particularly competitive due to weak demand and high inventories. No upturn in demand is expected in the short term so some further discounts are probable.
PA66
Supply
Demand
The situation for PA66 continues to follow the same trend as PA6 with weak demand, high stock levels, and an incredibly competitive marketplace. There is even talk of job cuts at producers.
POM
Supply
Demand
A competitive market with plentiful supply and poor demand means prices continue to face downwards pressure. There is a possibility of more stable prices, but this depends on the level of cheap imports, particularly from Asia.
PC
Supply
Demand
PMMA
Supply
Demand
Weak demand, coupled with reduced production in Europe, high levels of imports and high inventories means yet more downwards price pressure.
PBT
Supply
Demand
Weak demand and oversupply means prices remain under downward pressure.
Other Engineering Polymers
The current situation for most other engineering materials is similar, with weak demand, plentiful supply, and therefore downward price pressure.
Sustainable Polymers
Recycled Polyolefins have mostly seen around a rollover reflecting the pricing seen in the virgin market. Industry continues to be under pressure with Sustainability lower on the agenda for many brands and demand for good quality recycled slipping with it. There is some hope that legislation will help protect the industry as we continue to see more closures throughout Europe.
Ian Chisnall
Product Manager – Sustainability
Recycled LDPE / LLDPE
Supply
Demand
Recycled LDPE / LLDPE is mostly a rollover though some small discounts were reported to stimulate sales.
Recycled HDPE
Supply
Demand
Recycled HDPE has rolled over in November, some signs of improvement in blow moulding grades with better demand in non-food packaging for things like screen wash.
Recycled PP
Supply
Demand
Recycled PP is rolling over and, in some cases, slightly increasing in £ terms as the exchange rate affects imported grades. Some slight improvements in demand have been seen and the outlook for 2026 appears slightly better.
