The Linear Low-Density Polyethylene (LLDPE) market stayed mostly steady during the week ending July 11, 2025, with prices in both China and Germany showing slight softness. There were not any big changes, as supply was enough to meet demand, which remained slow across key sectors. The usual seasonal dip in buying, along with careful purchasing and steady raw material costs, helped keep the market calm and balanced.
Key Takeaways
In China, LLDPE prices showed a marginal decline, with a 0.5% drop reflecting the current oversupply and seasonal demand lull. Plant operations remained smooth, and ethylene feedstock costs were mostly stable, keeping producer margins comfortable. However, buying enthusiasm remained tepid.
The packaging and construction sectors posted modest demand, while the automotive sector showed relatively better resilience. Sales of new energy vehicles rose by nearly 29% year-on-year in June, lending some support. Still, this wasn’t enough to revive broader market confidence.
Even though manufacturing indicators improved—China’s PMI reached 49.7 points—the overall buying activity stayed subdued. Producers faced growing pressure as spot availability increased and offtakes remained slow, leading to selective price reductions to stimulate trade.
In Germany, the LLDPE market stood unchanged, with no significant movement in prices. Most players were waiting for the July ethylene contract settlement before making new purchasing decisions. Although ethylene prices declined, this had minimal effect on LLDPE values due to a well-balanced supply-demand setup.
Geopolitical uncertainty, especially concerning Iran and Israel, weighed on market sentiment but did not disrupt logistics or supply chains. The domestic LLDPE production stayed moderate, aligning with current consumption patterns. The manufacturing sector showed slight improvement, but this did not translate into higher polymer demand.
Construction activity continued to slump, especially in residential building. On the other hand, civil engineering projects showed early signs of revival, backed by public infrastructure investment. The automotive sector offered a small boost, with a 7% rise in vehicle registrations supporting LLDPE consumption in wire and cable segments.
As per ChemAnalyst, the LLDPE market in both China and Germany is likely to stay mostly steady in the near term. A noticeable shift in prices would only happen if there’s a strong pickup in demand from key sectors like construction or packaging, or if raw material costs see a major change. For now, with buyers remaining careful and supply levels holding firm, the market is expected to move sideways without big swings.
