In the first half of October 2025, MDI prices in Europe fell because of a decline in production costs and moderate demand from buyers. Production rates remained firm due to the steady availability of feedstock benzene supplies, and supply from regional suppliers was steady. Trade between European countries remained active. Governments and companies worked on greener transport and better digital tools to improve supply chains. At the same time, demand for MDI stayed stable in the polyurethane (PU) sector. In the automotive industry, it was used to make light parts and insulation for electric cars. In construction, it helped make foam insulation and strong adhesives for buildings. Public projects and green building plans supported this demand. Nevertheless, MDI prices are expected to rise in the coming weeks of the final quarter of 2025 due to an expected increase in the use of PU foam furniture ahead of Black Friday sales and lower supply rates in winter. Higher energy and feedstock costs may also raise production costs, leading sellers to increase their prices.
