PIE - Polymer Price Reports

Engineering thermoplastics December 2022

Weak demand lowers costs / More orders expected in some areas / Prices set to fall further in January

Not surprisingly in view of weak demand, prices of all engineering thermoplastics covered by this report fell in December. For PMMA, it was the first reduction in nearly two years.

The balanced market was able to slow things down somewhat for only very few materials. On top of that, the European market was divided into two for some polymers: while the contractual commitments in Western Europe seemed to have a stronger effect, prices to the east declined in some cases quite considerably. One note: when this report was written, only a few agreements had already been concluded.

European production was able in most cases to adequately meet the contractual obligations. An increase in Asian import volumes improved the supply situation generally and for more than just standard materials.

Encouraged by their success in December, converters will push for more price cuts at the beginning of the year. They will be helped by what are in some cases very cheap imports. One of the main arguments put forward by the converters will be their threat to dissociate themselves from the contract agreements that were preferred in 2022, and to buy considerably more material on the spot market. This will force the producers to make concessions.

With a slight improvement in the volume of orders from the automotive sector and the general stock-building measures, January should begin on a positive note. Ordering by the building and E&E sectors, on the other hand, will still leave much to be desired.


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