Plastics

Prices and demand continue propelling plastics markets upward. Several of the post-consumer grades, such as HDPE (high density polyethylene) and PET (polyethylene terephthalate), are seeing good markets and strong demand. Prices have noticeably firmed up, thanks in part to stronger oil prices, which have helped to boost prices for virgin HDPE and PET.

A Southwest-based processor of plastics says his domestic customers continue to be strong buyers, which is keeping material flowing steadily. At the same time, the supply of material also appears to be on an upward swing.

The export market continues to be active in a number of plastic grades. However, on the East Coast, domestic consumers are buying enough material that most of it stays within the country, leaving the West Coast as the main source for material moving offshore.

In Europe, demand for HDPE also remains strong, though the supply is limited. This is expected to strengthen prices for the material in the foreseeable future.

For some consumers of secondary plastics, higher prices are squeezing their margins, which is creating some discomfort as they look to push through price increases for their finished products.

(Additional news about plastics recycling markets is available online at www.RecyclingToday.com.)