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Recycled Polymers - Europe August 2017

by ChemOrbis Editorial Team -
  • 31/08/2017 (19:53)

Month: August 2017
€/ton €/ton
Recycled Grades MinMax
R-PET Flakes Clear/Blue 780940
R- HDPE Black Corrugated Pipes (PCR**)720890
R- HDPE Black Pipes (PIR**) 9601020
R- LDPE Black Film (PCR*)600720
R- LDPE Film (PIR**)10201050
R- homo-PP black injection(PIR**) 830900
R- homo-PP injection (PIR**)930960
R- PPBC injection (PIR**)8601060

* (post-consumer recycle)
** (post-industrial recycle)

The R-PET market tracked a stable to slightly firmer trend in August, with increases of €10/ton being reported in a few cases. The R-PET range for clear grade was reported at €840-940/ton while R-PET light blue grade range was at €780-850/ton, both on FD basis. Demand was reported to be less strong than it was in July due to the summer lull, although players were mostly satisfied with their August businesses. A recycler reported to have sold their allocations at the beginning of the month before the start of the summer break for many Italian companies. The recycler commented, “Supply was ample in August thanks to the high consumption of bottles in line with the season and high temperatures.” A converter shared similar comments, adding, “We expect to see plenty of post-consumer bottles in September as well and therefore we are not worried about any increases.” Players don’t expect to see a downward trend either due to the most recent surge of prime PET prices in the last part of August, which may give support to the R-PET market.

Trading activity in the R-HDPE market was very limited during August as many buyers reduced their purchases giving the fact that they had already built their stocks in July ahead of the long summer holidays. The market trend remained unchanged with respect to July as a few done deals were closed at rollovers. Supply was reportedly regular. A recycler commented to have sold less volumes in August in line with their expectations. The recycler commented, “We hope to see an upward trend of R-HDPE prices in September as prime PE market is expected to be on an upward trend next month.” A pipe producer reported a calm end-product demand due to the summer lull and confirmed to have paid stable prices.

The R-LDPE market was stable in August in line with the expectations. Trading was reported to be calm. Indeed, several buyers decided to skip their purchases this month as they suspended production at their plants for up to three weeks. Therefore, they met their limited production needs from their existing stocks. As for September, the market may follow a stable to firmer trend in the face of an expected improvement in demand for many applications that are linked to the tourism sector. Supply was reported to be good in August and it is expected to stay in balance with demand in September.

The R-PP market remained mostly stable in August, with players concluding deals mainly in the first part of the month before plants were shut for the summer break. A compounder commented, “We didn’t face any problem in finding material as we purchased limited amounts and the market was calm in August. Supply and demand were in balance.” Another buyer shared similar comments while a recycler reported to have maintained stable prices for August as their plant remained shut for three weeks in August. September expectations call for a stable trend.

Price ranges reported include an average freight cost to the customers’ location as well as duties if applicable, although VAT is not included.
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