Role reversal: Iran seeks polymers from Türkiye amid war disruptions

The US–Iran conflict that erupted in the Middle East at the end of February has not only shaken global commodity markets and fuelled price inflation, but also severely disrupted regional supply chains. Significant production losses across crude oil, energy, and petrochemicals, together with bottlenecks linked to the near paralysis of the Strait of Hormuz, continue to weigh on trade flows.

Iran has been among the most affected countries, with key infrastructure and petrochemical hubs in Asaluyeh and Mahshahr coming under attack.

Turkish players report increased inquiries from Iranian buyers

As a result, an unusual development has emerged in Türkiye’s polymer market in recent weeks: Iran, traditionally one of Türkiye’s key PE suppliers, has now turned into a buyer. Market participants report that Iranian end-users are actively sourcing PP, PE, and PVC from Türkiye to compensate for domestic production shortfalls. One player noted, “We have heard of notable sales to Iran, particularly for PVC.”

According to market sources, Iranian buyers have shown a willingness to accept higher polymer prices, reflecting urgent feedstock needs amid tightening domestic availability.

Iran’s petrochemical sector has been severely disrupted following the attacks, with a substantial portion of its production base now offline. Based on market estimates, disruptions affecting major hubs—responsible for roughly three-quarters of total petrochemical capacity—combined with the suspension of export flows, have effectively removed large volumes of PE, PP, and PVC from the regional supply balance.

In 2025, Iran’s combined PPH, PE, and PVC exports totaled more than 2.5 million tons, with China, Türkiye, and Iraq being the top three destinations. As a net exporter, Iran imported less than 100,000 tons of polymer last year, ChemOrbis data suggested.

For detailed figures on Iran exports and imports, visit ChemOrbis Stats Wizard.

War hits Iran’s production backbone

Iran’s total petrochemical output is around 75 million tons per year, of which approximately 29 million tons are normally exported. However, estimates suggest that around 75–76% of total capacity has been impacted, particularly in the key hubs of Asaluyeh and Mahshahr, translating into a theoretical disruption of roughly 50–55 million tons per year of production capacity.

Mahshahr, a major polymer production center with around 26 million tons/year capacity, has reportedly seen nearly 17 million tons/year of complexes damaged or taken offline. Meanwhile, Asaluyeh—accounting for nearly half of national output—has effectively halted operations amid widespread utility disruptions affecting power, water, and oxygen supply.

Given that these two hubs form the backbone of Iran’s PE, PP, and PVC production, the shutdown has cascaded through the entire value chain. On the trade side, the impact is even more immediate: Iran’s usual export flow of around 29 million tons/year has been suspended or sharply curtailed, effectively removing significant volumes of PE, PP, PVC, and MEG from regional and global supply balances.