Can April’s stable to firm trend hold in Mid-East PP, PE markets amid mounting pressure for May?

Players in the Middle Eastern PP and PE markets received April offers from regional sellers largely with rollovers from March. Saudi Arabia was the only exception as it saw renewed hikes targets for the third consecutive month. According to sources, demand remained mostly limited, whereas relatively squeezed supplies from regional producers continued to prop up April markets.

Saudi markets remain upbeat for 3rd month running

In Saudi Arabia, April PP offers marked a third month of consecutive increases in the country, with a Saudi major applying SAR142-143/ton ($38/ton) increases for all grades from March. These price hike amounts were more visible than the SAR15/ton ($4/ton) and SAR26/ton ($7/ton) increases applied respectively in February and March.

According to local sources, supply tightness continued to support April markets despite below-average demand, although regional turnarounds have mostly ended. “This tightness is anticipated to have stemmed from the news that the kingdom considers cancelling all previous limitations on re-export PP activities within two or three months, which called for price corrections in a bid to remove PP subsidies,” a local distributor illustrated.

Also, April PE offers from a Saudi major indicated slight SAR37-38/ton ($10/ton) increases from March. Along with April price hikes, the total increase amount reached more than SAR100/ton ($30/ton) in the past three months. “The slight increments issued for April reflect relatively tight prompt availability and below average demand, which kept the market balanced,” a distributor noted.

UAE players confirm subdued activities, cautious buying

In the United Arab Emirates, Middle Eastern suppliers revealed their initial April PP and PE offers mostly with rollovers when compared to the latest March levels. Similarly, local PP prices were assessed largely stable on a monthly comparison. Market participants voiced their concerns towards the recent stock markets and upstream costs given growing global trade barriers. “Buyers continue to meet their immediate needs as a downtrend is expected for May considering the recent weakness in crude oil futures,” a local source opined.

According to ChemOrbis Supply Wizard, Borouge’s No3 cracker along with three PE plants and two PP plants under the Borouge 3 project, are scheduled for a maintenance shutdown in April, leading to a significant production loss from the country, though this has not been directly confirmed by the producer.

Geopolitical tensions hit activities in East Med

In the East Mediterranean region, April PE prices to Jordan and Lebanon continued a mostly stable path for the second month in a row. Back in March, slight discounts were attainable for serious bids, which was reported to be also the case for April. “Nevertheless, buyers seem indifferent to sellers’ wavering discounts as the market lacks real demand boosters,” a Lebanese-based manufacturer opined.

Global bearishness and tumbling energy complex weigh on May outlook

After three consecutive months of relatively stable to firm pricing—largely supported by regional production shutdowns and limited supply—polyolefin markets in the Middle East are now bracing for a shift in direction. Market players widely anticipate that this trend cannot be sustained in May, as bearish fundamentals grow harder to ignore.

For both PP and PE, the near-term outlook leans increasingly toward the downside, shaped by a combination of plunging upstream values, persistently sluggish derivative demand, and an uncertain global trade environment.