Published 11/17/2025

December 2025: Lower Prices for PE, PP, PS and PVC; PET Higher

Downward trajectory continues for four of the five commodity resins amid supply/demand imbalances.

Contributing Editor, Plastics Technology Magazine

PE Prices Flat

October PE prices appear to be rolling over again despite suppliers’ proposed price hikes of 3-5¢/lb, and a few nominations for an additional 3¢/lb in November, according to Barry, Greenberg, Burns and Kevin Mekaru, RTi’s senior business leader for PE and PET.

Barry notes that as 2026 contract negotiations take place, there appears to be some non-market reductions of 2-3¢/lb underway. He ventures that year-end pricing will depend on the degree of reduction in plant operating rates. “As we have previously stated, an official decrease would be more appropriate than an increase,” Greenberg says. Mekaru notes that operating rates dropped to 87% in September from August’s 94%, and felt a further reduction to the mid-80s was likely by end of year. Despite some good spot market deals, processors were holding off as they wanted to keep inventories low. Greenberg confirms that despite a small lift in spot levels by October’s end, “Deep discounts remain and unofficial contract relief is creatively in place for some buyers.”

Barry reports that spot prices were said to be as much as 8-10¢/lb below contract prices, as buyers fulfilled more of their 2026 resin needs with the spot market. Burns maintains that oil prices will lead PE prices now and into next year. Steady oil prices in the low/mid-$60s will keep global prices flat. He notes that global market conditions rather than demand have forced suppliers to “push” resin exports with lower pricing. “This activity will keep exports prices low and relieve any upward pressure on the domestic secondary and contract market prices,” he says.

PP Prices Down

October’s PP prices dropped 4¢/lb, tracking polymer grade propylene (PGP) monomer, which settled at 31.5¢/lb, with some further decline in November possible, according to Barry, Newell, Greenberg and Greg Eberhardt, RTi’s senior business unit leader for PP. PGP’s price is the lowest since March 2020 during COVID, but Barry says prices might move up a bit before year’s end as suppliers position themselves for scheduled first-quarter turnarounds.

Newell adds that PP prices could drop in November as PGP is oversupplied and likely to drop due to lower prices in its feedstock, propane. Also, there was a 10¢/lb differential between contract and spot prices vs. a more typical 4-5¢/lb spread. He and Eberhardt see this as a buyer’s market with PP contracts for 2026 currently being negotiated. “There are some excellent spot deals but not a lot of buying taking place,” Eberhardt says. These sources say plant operating rates have been reduced to the upper 70% range and could be lowered to the low 70s before year’s end.

“For now, the spot PP market seems to have stopped the bleeding, though without stronger downstream pull or sustained propane dehydrogenation constraints, this stabilization may prove fleeting.”

Processors continue to buy cautiously, though some have been more aggressive due to very attractive spot deals, according to Greenberg. “For now, the spot PP market seems to have stopped the bleeding, though without stronger downstream pull or sustained propane dehydrogenation constraints, this stabilization may prove fleeting,” he adds.

PS Prices Drop

October PS prices dropped by another 2¢/lb after September’s fall of 2¢/lb with potential for further decline before year’s end, according to Barry and Brian Balboa, RTi’s senior market analyst for PS and PVC.

Benzene contract prices were expected to settle lower by about 10¢/gallon, which translates to 1¢/lb in PS resin. Balboa notes that processors should take advantage of lower PS spot prices, while Barry anticipates lower feedstock costs and continued slower demand through the end of 2025. Barry says the implied styrene price, based on a 30% ethylene, 70% benzene spot formula, was at 28.5¢/lb, down 1.7¢/lb going into November. Plant operating rates, which according to Balboa, had a three-year average of 59%, stand at roughly 53%.

PVC Prices Lower

PVC prices dropped by 1¢/lb in October, following the 2¢/lb total decline of the previous two months, according to Balboa, who says pricing could remain flat till year-end. He sees processors benefiting from the current environment during their resin contract negotiations for 2026, with an imbalance between supply/demand creating a buyer’s market. Despite suppliers reducing plant operating rates to the low 80s, in percentage terms, the market continues to be oversupplied. The traditionally stronger pipe market saw a drop in demand, Balboa notes. “There are other pockets of PVC segments that are doing a bit better,” Balboa says, citing fencing and decking; wire and cable and film and sheet. Due to the U.S. government shutdown, there were no numbers on new construction, and orders ahead of early next year were unknown.

PET Prices Up

Meanwhile, PET prices in October rose 2-3¢/lb from the 6¢/lb price hike suppliers sought to implement. Buyers pushed back across the board, as feedstock formulation costs continued to be lower and demand remained lackluster, according to Mekaru. He views this as a margin expansion opportunity by suppliers prompted by the September reversal of a tariff exemption for PET imports. PET pricing in the November-December time frame would most likely be flat, he says. However, it’s is too early to tell how the tariffs on imports will affect the market because most buyers made their resin purchases during the third quarter, he continues. How potential reciprocal tariffs will affect buyers remains to be seen, with that impact unlikely to be felt until early in the first quarter. The same holds true for if and to what degree domestic PET suppliers will boost plant operating rates.