Polypropylene Prices, markets & analysis
ICIS has extensive coverage of the Polypropylene markets and our network of locally-based experts deliver reliable and trustworthy pricing information on a weekly basis. Price reports are published from Africa, Asia, southeast Asia, Middle East, China, CIS, Europe, Turkey, US and Latin America.
There are also weekly margin reports in Asia, China, Europe and the US assessing a short-term three-month view and longer-range view. Forecast reports looking forward a year and 12-month rolling series reports are also compiled for Asia, Europe and the US. This high-value news and analysis is an essential business tool to assist market players when making crucial decisions.
Polypropylene overview Transcript
Polypropylene or PP is a thermoplastic material that is mainly sold in resin pellets to processors who then shape it into a wide variety of products including car bumpers, oil containment booms and medicine caps.
US polypropylene has major end markets in automotive manufacturing and rigid packaging.
Some lower margin applications such as film and carpet have been largely outsourced from the US.
Most domestic contracts are linked to monomer benchmarks, so propylene market fluctuations are the main drivers of polypropylene contract prices.
In the recent years it has become more common for propylene shortages to cause rapid fluctuations in pricing for polypropylene and its feedstock.
The US polypropylene industry used to serve as a dependable export supplier to the world, but with the relatively high cost structure of feedstock, North America has become a more regional market.
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Polypropylene news and market information products from ICIS
We offer the following regional Polypropylene analysis and news coverage to keep you informed of factors and developments affecting prices in the Polypropylene marketplace.
Price Reporting – More information about the price reports we publish on Polypropylene
Independent price assessments and market coverage by region
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Price History – More information about the historical price data we publish on Polypropylene
Track historical price data
Other types of reports we cover for Polypropylene
Use margin reports to assess the profitability of commodities
News & analysis
News & Analysis - News & market analysis specifically relating to Polypropylene
Breaking news of latest developments affecting the markets.
Insight and analysis of factors driving prices.
Polypropylene: Market overview
Updated to Q1 2016
North America: US polypropylene (PP) prices fell for the most part in 2015 because of the plunge in feedstock propylene, but veteran PP watchers expect higher prices in 2016 because of rising demand from the automotive sector. Demand also increased because PP became a lower-priced substitute for other plastics, particularly in homeware.
Latin America: Lower prices in Asia and the Middle East continue to put PP prices under pressure in some Latin America countries. Although it was expected that prices would rise in Latin America because of what’s happening in the US, imports from Asia and the Middle East coming into the region continue tp push prices down in the region. Falling crude oil prices help imports because of lower shipping costs.
Europe: PP supply has improved in Europe and there are no longer any shortages. Demand should remain stable, and while imports are expected to arrive in the first quarter, sellers do not expect them to have a huge impact. Prices are expected to be more affected by falling upstream prices but producers are confident of continued strong margins in the first quarter.
China: The PP market outlook in China remains bearish because of weak demand, with market sources expecting increasing supply and decreasing crude oil prices in the first quarter of 2016. New plants starting up will increase supply, but demand should decline in February as most traders and downstream manufacturers will stay out of the market during Lunar New Year festivities during the first two weeks of February. Sources said many end-users will not go back to work until late February.
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Polypropylene news & analysis
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Polypropylene Asia Margin Report Methodology
Polypropylene China Margin Report Methodology
Polypropylene Europe Margin Report Methodology
Polypropylene Europe price forecast methodology
Polypropylene US Margin Report methodology
Polypropylene US price forecast methodology
Polypropylene (PP) is a colourless, translucent to transparent solid with a glossy surface. It has good resistance to acids, alkalis, inorganic chemicals and organic chemicals with the exception of hydrocarbons and chlorinated compounds.
It has improved impact strength, a higher softening point, lower density, better stress cracking and more scratch resistance than other polyolefins. However, a disadvantage of this polymer is its brittleness at low temperatures.
Polypropylene was first produced in a slurry process using Ziegler-Natta catalysts. Bulk phase technologies were then developed while higher activity catalysts enabled gas phase processes to be used. A combination of bulk phase tubular and gas phase reactors has become a popular process.
PP has key applications in packaging, fibres and automotive parts. PP can be extruded for pipe, conduit, wire and cable, while atactic PP has outlets in paper laminating, sealants and adhesives.