Commodity Resin Prices Q2 2024: Flat or Slightly Lower Across the Board

In the second quarter, commodity volume resin prices are largely holding steady or declining. PVC suppliers rolled back a February price increase in April, and late‑settling May propylene monomer contracts pushed PP prices up temporarily, though that spike is expected to recede.

Polyethylene (PE) Prices Flat-to-Down

PE prices in May were essentially flat after a brief 3¢/lb rise in late April. Suppliers have postponed the scheduled 3¢/lb increase on May 3, citing difficulty in justifying the hike. Senior analysts from RTi’s PE market team and PetroChemWire (PCW) expect June and July to see either flat or modestly lower prices, barring storm‑related disruptions or a major global event. Mike Burns, RTi v.p. of PE markets; David Barry, PCW senior editor.

Burns noted that every price driver points to a flat‑to‑downward trajectory—from oversupply to lower global feedstock costs—except for potential oil price surges. Greenberg, CEO of The Plastics Exchange, said buyers are already hoping that any temporary price uptick will recede in June as new capacity comes online, though producers will strive to maintain gains.

Polypropylene (PP) Prices Rise

PP prices climbed 4.5¢/lb in May, mirroring a 40¢/lb settlement on propylene monomer contracts. Both RTi’s PP market team and PCW’s David Barry forecast June and July to remain largely flat, with only minor fluctuations possible. The market is described as well‑supplied due to slower domestic and export sales, offset by planned and unplanned production outages.

Newell and Barry anticipate stable propylene monomer supplies as maintenance season concludes. Greenberg reported that spot monomer prices eased by May’s end, and PP spot prices fell 1¢/lb. All parties agree that PP will not rebound to the high levels of recent years, citing a 25¢/lb drop between Oct 2018 and Apr 2019. Domestic PP demand has weakened across all major sectors, with a 1.2% decline in domestic demand but an 8% overall increase due to exports.

Polystyrene (PS) Prices Flat-to-Down

PS prices remained flat in May and are expected to stay level into June, with a potential decline in July. After a 2¢/lb rise in March and 2–4¢/lb in April, PCW’s David Barry and RTi’s Robin Chesshier predict July may see price relief as buyers push back against a 4¢/lb increase, which they deem excessive.

By April’s end, supply had risen 2% while demand increased only 1%, and exports for both monomer and PS fell 17%. Seasonal demand for PS is below traditional levels, with plants operating at 72% of capacity in April after a first‑quarter record low. The implied styrene cost, based on a 30/70 spot ethylene/benzene formula, rose slightly to 26.1¢/lb as falling ethylene partially offset a benzene uptick.

PVC Prices Flat-to-Up

After a 2¢/lb drop in April, PVC prices were flat in May. New 2¢/lb hikes slated for June 1 are under discussion. RTi’s Mark Kallman and PCW senior editor Donna Todd note that lower feedstock prices contrast with potential demand growth from a slowed construction season, while a major supplier’s planned June maintenance could tighten supply.

Some buyers question whether the June price hike will fully materialize, citing domestic demand that has not matched producer expectations. Todd also highlighted that producers have not disclosed their higher profit margins following an 8.75¢/lb decline in ethylene contract prices through April, though further reductions are anticipated.

PET Prices Down

PET resin prices fell 1¢/lb at the start of June. Imported PET is priced in the high 50¢/lb range for deliveries within 300 miles of West Coast, East Coast, and Midwest ports, while domestic PET is 1–4¢/lb higher (60–63¢/lb) for railcar business tied to monthly contracts based on feedstock costs.

A surplus of imports and lower global paraxylene prices are the primary reasons for the decline throughout Q2, according to PCW senior editor Xavier Cronin. Domestic prices are expected to hold steady through June and possibly July, despite rising demand from bottle manufacturers during the high‑consumption summer season. “Supply is outpacing demand and feedstock prices remain low,” Cronin notes.

ABS Prices Flat

ABS prices have been flat throughout the second quarter, with May’s levels remaining highly competitive amid escalating trade tensions. RTi’s Kallman explains that domestic demand has been flat‑to‑down across all key sectors, while import prices are low due to reduced production in Taiwan and Korea, where margins are tight. A resolution to the trade war could spur domestic market recovery.

Polycarbonate (PC) Prices Flat

PC prices have stayed flat during Q2, following an 8–10¢/lb concession in first‑quarter contract settlements. Kallman expects the trend to continue, as feedstock costs remain well below 2018 levels. Weaker domestic automotive demand and a late construction season suggest further price concessions could occur, though modest feedstock price increases may keep prices stable.

Nylon 6 & 66 Mostly Flat

Nylon 6 prices rolled over in April after remaining flat in Q1, with a brief 6¢/lb increase in April attributed to a temporary rise in benzene prices. However, buyers resisted the hike as benzene prices eased and supply overshot demand, partly due to a 17% rise in affordable European imports and weak automotive demand.

Nylon 66 prices stayed largely flat through the first two months of Q2, mirroring Q1 levels after the 2018 25–40¢/lb price jump driven by tight global supply of nylon 66 intermediates. RTi’s Kallman notes a more balanced market, reflecting a 10‑month global softening in automotive demand and incremental supply chain improvements.