HDPE buyers yield to sellers’ demands

In July, HDPE sellers managed to pass through a large proportion of the €200/tonne price increase they wanted in response to higher C2 costs and dwindling margins. The cost of blown film and blow moulding grades increased by €150/tonne with injection moulding grade prices up by €130/tonne.

Last month, the prices of all HDPE products increased by a further E50/tonne, helped by production cutbacks and higher export volumes.

Demand was weaker as usual over the summer vacation period, but some converters drew down their stocks with prices at such unprecedented levels.

For September, buyers will be hoping that the fall in crude oil prices will ease the upward HDPE price pressure.

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