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Morning Briefing - 20 October 2026An Indonesian major extended its domestic price hikes for a second consecutive session, with PP grades leading the latest round as tightening regional supply and soaring propylene costs strengthened sellers' pricing leverage. |
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MORNING BRIEFING
CommoPlast Tuesday, 20 October 2026
commoplast.com
MARKET MOVEMENT
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Brent CRUDE · $/BBL |
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WTI CRUDE · $/BBL |
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109.55 |
103.66 |
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▼0.31 |
▲2.25 |
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▲ Naphtha CFR JAPAN |
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≈ Ethylene CFR NEA |
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≈ Ethylene CFR SEA |
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≈ Propylene FOB KOREA |
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≈ Propylene CFR CHINA |
Closing prices, previous trading day. Monomers show price directions only.
TODAY’S DEVELOPMENTS
PRICE LIST · INDONESIA
Indonesian major ramps up PP hikes but keeps LLDPE on ice amid buyer caution
An Indonesian major extended its domestic price hikes for a second consecutive session, with PP grades leading the latest round as tightening regional supply and soaring propylene costs strengthened sellers' pricing leverage. Other polyolefin grades also moved higher, although the producer took a more cautious approach to PE.
The rally is colliding with weak downstream demand, as converters struggle to pass higher resin costs on to end-product customers. Growing resistance to elevated offers has prompted some manufacturers to consider production cuts, raising questions over how far sellers can push prices before buying interest falters.
Read full story:
POLYPROPYLENE · VIETNAM
Vietnamese PP second week rally hits a wall as converters sit on stocks and shun fresh buys
A Vietnamese PP major extended its domestic price hikes for a second consecutive round, supported by reduced operating rates and stronger regional prices. However, converters remain reluctant to buy at elevated levels, with sufficient inventories and weak downstream orders limiting the producer’s ability to turn higher offers into sales.
Export demand has provided an important outlet, with Vietnamese homo-PP reportedly concluded at markedly competitive levels in Indonesia, helping suppliers clear available volumes and defend domestic prices. Local traders on the contrary, have remained more cautious, keeping spot offers well below the producer’s latest quotations.
November restocking ahead of the first quarter in 2027 could test whether the rally has further room to run. The key question is whether renewed buying can overcome persistent demand weakness, particularly if feedstock costs and regional supply constraints continue to support prices.
Read full story:
Vietnamese PP major extends domestic price hikes as supply constraints persist, buyers resist
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