Resin To Riches: Weekly Plastic Market Insights

Polymer Global Analysis

Resin To Riches: Weekly Plastic Market Insights

• General Thoughts: We highlight US building and construction fabricated plastic price developments relative to US spot PVC to frame the benefits of Westlake’s downstream integration generally, separating it from most peers.
• Polyethylene (PE): As retaliatory tariffs target US PE exports, US PE producers with production footprints in these regions will likely flex their production to keep market share. More risk faces US PE producers lacking this option.    
• Polypropylene (PP): Global PP markets remain generally weak amid ample supply and falling spot polymer-grade propylene (PGP) prices, and we anticipate this general setting to persist globally in the near-to-medium term.
• Polyvinyl Chloride (PVC): Global PVC markets remain under pressure as global housing conditions remain weak and markets are well supplied, which has led to disappointing 1Q25 profit conditions for most producers.
• Other Sector Developments: The global petrochemical production cost curve has flattened relative to levels seen in 1Q24, which has put downward pressure on polymer prices, on average, likely exacerbated by weak demand.

Exhibit 1 – Chart of the Day: US Building & Construction Fabricated Plastic Prices Show Support Relative to Spot PVC.   

Source: Bloomberg, C-MACC Analysis, March 2025