Plastics - Robust Global Demand Sustains Market

Robust global demand is driving most commodity polymer producers - particularly polyethylene (PE), polypropylene (PP), and polyvinyl chloride (PVC) - to expand. 2007 has been especially good for PE and PP producers, which have been able to pass on higher feedstock and energy costs while maintaining their margins. However polystyrene producers are contending with high styrene feedstock costs that have crippled their margins and trimmed demand, prompting restructuring. On 1 Oct/07, PE producers in Europe announced price increases of Euros 40/m.t. for all grades of low- and high-density PE (LDPE/HDPE).