For the Quarter Ending June 2025
North America
In Q2 2025, the North American biodegradable polymers market showed a mixed performance, reflecting divergent supply-demand fundamentals, trade policies, and downstream sector dynamics. Natural Rubber led declines, averaging a 3% drop as oversupply, muted automotive demand, and Asian high-output season pressured prices, despite stable production costs. Gelatin prices also fell sharply, with BS-150 and BS-220 spot prices down to USD 3900/MT and USD 4390/MT, respectively, as high inventories, tariff-induced uncertainty, and weak food and nutraceutical demand weighed on procurement. Guar Gum trended mostly soft with a –1.93% quarterly decline before rebounding in June on tightening Indian supplies and revived oilfield demand. Pectin prices surged early in the quarter, hitting USD 9890/MT CFR Los Angeles in June on rising feedstock and freight costs, but corrected downward as inventories swelled and demand slackened in beverages and supplements. PLA (Polylactic Acid) strengthened by 3% to USD 2890/MT, supported by robust packaging and textile demand, ESG-driven adoption, and tight supply amid logistics challenges. In contrast, Cellulose Ether slipped 0.5% as construction sector weakness kept demand muted, while PBT prices rose marginally (0.2%) on tight inventory control and stable feedstock support. Hydroxypropyl Cellulose fell nearly 5% quarter-over-quarter as oversupply from Asia and soft pharmaceutical demand outweighed temporary mid-quarter freight-driven price spikes. Polyvinyl Alcohol also declined steadily amid weak housing activity, ample production, and rising inventories, despite steady exports to Latin America. Overall, Q2 highlighted a polarized market, with PLA, Guar Gum (late quarter), and PBT showing resilience, while natural rubber, gelatin, HPC, PVA, and pectin faced downward corrections from oversupply, trade frictions, and soft downstream demand, underscoring cautious sentiment entering Q3 2025.
Europe
In Q2 2025, the European biodegradable polymers market presented a mixed trend, shaped by varying supply-demand balances, trade flows, and logistical challenges. Natural Rubber prices fell by around 4.5% due to oversupply, redirected trade flows, and muted demand from the automotive and personal care sectors, though late-quarter manufacturing recovery signaled a potential rebound later in the year. Gelatin prices initially firmed on US tariff suspensions and strong export demand, but persistent logistics bottlenecks, high inventories, and soft food and pharmaceutical offtake drove gradual declines toward quarter-end. Guar Gum strengthened, rising 1.5% QoQ, with prices supported by May’s shipping disruptions, redirection of Asian freight, and strong demand from food, cosmetics, and oilfield sectors, while tight supply and positive PMI data sustained bullish sentiment into June. Pectin saw sharp gains, reaching USD 12,950/MT FOB Hamburg, as crop disease, feedstock inflation, Red Sea diversions, and robust demand from food and nutraceuticals elevated costs and kept export prices bullish despite logistical strain. In contrast, Cellulose Ether declined by nearly 5% as weak construction demand, Euro appreciation, and surplus inventories weighed heavily on prices despite curtailed run rates. PBT dropped almost 6% on persistent oversupply, weak automotive demand, and pressure from Asian imports, with little recovery expected as buyers maintained just-in-time procurement. Hydroxypropyl Cellulose also slipped around 4%, first rising on port congestion but later softening in June as inventories normalized and demand weakened in pharmaceuticals and personal care. Meanwhile, Polylactic Acid (PLA) gained 7% to USD 2720/MT, supported by EU sustainability mandates, robust packaging and textile demand, and persistent port congestion, with converters stockpiling ahead of summer disruptions. Overall, Q2 reflected a polarized landscape: oversupply and weak downstream demand suppressed Natural Rubber, Gelatin, Cellulose Ether, PBT, and HPC, while logistics-driven tightness and regulatory-backed demand boosted Guar Gum, Pectin, and PLA, setting the stage for cautious but selectively firm pricing momentum heading into Q3 2025.
APAC
In Q2 2025, the Asia-Pacific biodegradable polymers market displayed a broadly bearish to mixed pricing trend, with most products pressured by oversupply, weak demand, and trade disruptions, while a few showed temporary rebounds from short-lived demand or logistical tightness. Natural Rubber fell nearly 4% as abundant Thai supply and sluggish tire demand weighed, despite late-quarter PMI recovery hinting at stabilization. Gelatin (BS-150, BS-220) prices plunged on cheap Chinese imports, strong Korean won, and sluggish food and nutraceutical demand, leaving the market oversupplied with little sign of rebound. Guar Gum softened through April–May on oversupply and muted pharma/personal care demand, before June export-driven demand and weather-induced planting issues triggered a modest rebound, setting up a firmer Q3 outlook. Pectin rose sharply in April–May on strong exports and tariff-driven buying, but June saw a correction to USD 9700/MT FOB Shanghai as inventories ballooned and demand eased. PLA prices dropped 9% to USD 2105/MT FOB Thailand on oversupply, muted textile demand, and excess capacity from new plants, though policy support and seasonal demand may aid recovery in Q3. Cellulose Ether declined nearly 3% on persistent construction weakness, export delays, and stock buildup, while Hydroxypropyl Cellulose fell ~3% under Chinese oversupply, tariff-driven volatility, and weak pharma offtake despite a brief May spike from export restocking. PVA markets in Asia were volatile, with May declines on oversupply, a June rebound on stronger Indian/Vietnamese imports and freight hikes, before turning bearish again in July under seasonal slowdown and Chinese undercutting. Overall, Q2 2025 reflected a demand-constrained and oversupplied market, with selective bullish signals in Guar Gum and Pectin early in the quarter, while most other biodegradable polymers, including PLA, HPC, and Cellulose Ether, faced persistent downward pressure.
For the Quarter Ending March 2025
North America
In Q1 2025, the North American biodegradable polymers and related materials market exhibited mixed pricing trends across key products. Natural Rubber experienced a quarter-on-quarter increase of 2.51%, driven by temporary supply disruptions in Malaysia, rising import costs, and anticipatory buying following U.S. tariff impositions, despite overall subdued demand. Polylactic Acid (PLA) saw a slight decline of 1.62%, initially pressured by oversupply and competitive imports, but rebounded in March amid rising demand for compostable packaging and favorable sustainability policies. Polyvinyl Alcohol (PVA) declined by 2.90%, influenced by weak downstream demand, easing feedstock costs, and competitive Asian imports.
Hydroxypropyl Cellulose recorded a notable price increase of 3.80%, fueled by pharmaceutical demand, port congestion, and export pressures, before softening in March due to improving logistics and rising inventories. Cellulose Ether prices dipped by 1.21%, reflecting weak construction activity, cautious inventory management, and market uncertainty. Meanwhile, Pectin prices dropped significantly by 7.76%, driven by oversupply, declining feed citrus costs, and muted demand across the nutraceutical and food sectors.
Overall, the market was characterized by volatility, with only Natural Rubber and Hydroxypropyl Cellulose registering gains, while other biodegradable and bio-based materials remained under downward pressure amid economic and trade-related headwinds.
Europe
In Q1 2025, the European biodegradable polymers market experienced mixed pricing trends across key products. Natural Rubber prices surged by 8.31% quarter-on-quarter, driven by supply constraints from Southeast Asia and robust demand from industrial sectors. Guar Gum also posted a moderate 3.57% increase, supported by strong January demand and elevated input costs, though gains were limited by oversupply later in the quarter. In contrast, several products faced price declines. Gelatin recorded the steepest drop at 15.59% amid weak consumer sentiment, political uncertainty, and reduced demand across food, pharma, and cosmetics. Polyvinyl Alcohol (PVA) fell by 5.02% due to sluggish demand from construction, adhesives, and textiles, along with easing input and freight costs. Cellulose Ether saw a 7.74% decline amid market oversupply, slow construction activity, and inventory liquidation pressures. High Methoxyl Pectin prices dropped marginally by 0.78% as inflation and economic concerns subdued early-quarter demand despite a temporary February spike. Polylactic Acid (PLA) registered a slight 1.33% decrease, reflecting stable demand offset by logistical constraints and rising production costs. On a positive note, Hydroxypropyl Cellulose prices rose by 4.14% due to strong early-quarter demand and tight supply conditions. Overall, while a few biodegradable products showed resilience, the market was largely characterized by downward pressure from economic uncertainty, soft demand, and improved supply chain conditions.
APAC
In Q1 2025, the Biodegradable Polymers segment in the APAC region exhibited mixed price trends across key products. Polylactic Acid (PLA) experienced a notable quarter-on-quarter decline of 6.89%, primarily driven by weakening demand from packaging and consumer goods sectors, oversupply concerns, and rising competition from alternative polymers, despite early-quarter firmness supported by post-holiday demand and raw material cost pressures.
In contrast, Hydroxypropyl Cellulose demonstrated robust performance with a significant 6.13% quarter-on-quarter price increase, fueled by strong international procurement ahead of potential tariff changes, seasonal supply disruptions during the Lunar New Year, and post-holiday restocking by pharmaceutical and nutraceutical sectors. However, prices softened in March as logistics normalized, and deflationary pressures eased production costs.
Meanwhile, the Cellulose Ether market posted a moderate 2.60% price gain for the quarter, reflecting early supply tightness and increased production costs, though gains were capped by weak real estate-linked demand and improved availability by March. On the other hand, the Chinese Polyvinyl Alcohol (PVA) market declined by 1.49% quarter-on-quarter, attributed to weak downstream demand, oversupply, and subdued support from feedstock costs, with limited contributions from export markets.
Overall, while some biodegradable polymers like Hydroxypropyl Cellulose and Cellulose Ether saw price appreciation due to supply-side constraints and seasonal effects, broader market softness and economic uncertainties weighed on PLA and PVA pricing in Q1 2025.
For the Quarter Ending December 2024
North America
The North American biodegradable polymers market demonstrated varied price movements during Q4 2024, with distinct trends emerging across different product segments and applications.
Natural polymers experienced significant price volatility, with Natural Rubber recording a notable decline of 5.36% in Q4 and a quarter-over-quarter decrease of 0.80%. Gelatin prices saw an even steeper drop of 8.2%, primarily influenced by inventory adjustments and shifting demand patterns.
In the synthetic biodegradable polymers segment, Polylactic Acid (PLA) showed a slight decline of 1.36%, despite sustained demand from the packaging sector, particularly in food containers, bottles, and films. The agriculture industry continued to support PLA demand through applications in mulch films and plant pots. Polyvinyl Alcohol experienced a modest decrease of 1%, while Hydroxypropyl Cellulose demonstrated robust growth of 6%, driven by steady end-user demand.
The market dynamics were influenced by broader economic factors, particularly in the manufacturing sector. While feedstock prices for materials like Polybutylene Terephthalate (PBT) remained stable, the overall U.S. manufacturing sector continued to contract. New export orders declined notably, especially in European and Australian markets, attributed to customer hesitation amid anticipated policy changes with the incoming administration. This led to reduced purchasing activity and careful inventory management of both raw materials and finished products.
The Q4 2024 biodegradable polymers market reflected a complex interplay between end-user demand, manufacturing sector challenges, and broader economic uncertainties. The divergent performance between natural and synthetic polymers, coupled with application-specific demand drivers, suggests a market in transition.
APAC
The Chinese biodegradable polymers market demonstrated significant price fluctuations during Q4 2024, marked by varying trends across different product categories and influenced by regional supply-demand dynamics within the APAC region.
Natural polymers showed mixed performance, with Natural Rubber experiencing a 4.52% decline in Q4, yet maintaining a strong quarter-over-quarter growth of 13.2%. This contrast reflects the market's volatility and changing demand patterns. Gelatin prices decreased significantly by 8.3%, while Pectin saw a considerable decline of 6%. However, Guar Gum showed resilience with a 5.86% increase, and Hydroxypropyl Cellulose demonstrated strong growth at 6.25%.
The synthetic biodegradable polymers segment witnessed substantial movements, particularly in Polylactic Acid (PLA) which recorded a significant decline of 11.5%. This downturn was partially offset by Polyvinyl Alcohol, which showed positive momentum with a 3% increase in export prices, supported by steady international demand.
Market dynamics were heavily influenced by geopolitical factors, particularly the announcement of potential new U.S. tariffs, which created widespread uncertainty in the Chinese market. This led to accelerated inventory destocking and competitive pricing strategies among suppliers. The situation was further complicated by currency fluctuations and existing high inventory levels, resulting in a buyer's market characterized by cautious purchasing behaviour.
The Chinese biodegradable polymers market in Q4 2024 reflected the broader challenges facing the region's chemical sector, with pricing strongly influenced by external political pressures and internal market adjustments.
Europe
The European biodegradable polymers market showcased diverse price movements during Q4 2024, characterized by significant variations across different product segments and influenced by regional market dynamics and seasonal factors.
Guar Gum emerged as a strong performer, recording a 3% increase in Q4 and a robust quarter-over-quarter growth of 6.8%, supported by steady demand and controlled supply management. In contrast, Gelatin experienced a substantial decline of 9.83%, while Pectin showed a more moderate decrease of 1.3%. Hydroxypropyl Cellulose demonstrated particularly strong growth at 7.14%, driven by consistent end-user demand.
In the synthetic biodegradable polymers category, both Polylactic Acid (PLA) and Polyvinyl Alcohol (PVA) faced downward pressure, declining by 1.85% and 1.18% respectively in export prices. These movements reflected broader market challenges, including seasonal fluctuations in demand and year-end inventory management strategies.
The market dynamics were significantly influenced by regional factors, particularly holiday season port disruptions and logistics challenges. The Christmas period traditionally impacts both import and export activities, creating temporary supply chain bottlenecks. Additionally, year-end inventory management practices and varying industrial demand patterns contributed to price volatility across different polymer categories.
The European biodegradable polymers market in Q4 2024 demonstrated a clear split between natural and synthetic materials, with natural polymers generally showing more resilience. The contrasting performance across different categories suggests that market drivers are increasingly segment-specific, influenced by both regional economic conditions and seasonal factors.
