Polycarbonate (PC) prices across Asia and the United States held steady during the week ending June 27, 2025, as the market remained in a state of consolidation, with limited supply disruptions and subdued demand continuing to define trading sentiment.
In Asia, domestic PC makers' operating rates averaged at about 79%, off slightly from mid-June's levels of 85% due to the resumption of capacities at Luxi Chemical and Zhejiang Petrochemical. The minor downtick in output was due to a planned technology upgrade at the Cangzhou Dahua complex. However, ample supplies blocked any PC price uptick momentum during this timeframe in Asia.
On the material side, bisphenol A, a critical PC feedstock, registered only a small price rise by late June. Although the upstream crude oil market had recorded gains previously, their effects on phenol and acetone prices were limited. With bisphenol A stagnant and costs remaining modest, producers had no reason to revise PC offers.
Demand-side fundamentals were weak in the region. With rising summer temperatures, downstream activities in the consumer electronics and automotive industries cut production levels. Purchasers avoided placing new orders in significant part, instead concentrating on the completion of outstanding commitments. Players took a wait-and-see approach, further dampening spot PC market activity. Traders reported resistance to higher offers and reported slow movement of the product.
In the US, PC prices also held stable against increasing logistical pressures. Rate hikes imposed in early June to prevent a fall lost their effect as Asian container freight rates to the US plummeted. Freight to the US West Coast fell by approximately. 21% week-on-week, and East Coast rates dropped by approx.7%. The fall was due to excess capacity and an early end to the transpacific peak season. Though this might alleviate importing expenses, its impact on PC prices remains insignificant in the short term.
Tensions in the Strait of Hormuz relaxed considerably following a reported ceasefire between Iran and Israel, diminishing geopolitical risk. Oil prices responded accordingly by declining by more than USD 2 per barrel. Brent declined to USD 69.31 and WTI to USD 66.39 this week. The muted energy market assisted in curbing cost pressures in PC manufacturing.
As per ChemAnalyst, the PC market is likely to keep moving steadily. New downstream investments in automotive electrification and infrastructure may create future demand pockets, but current fundamentals point to continued price consolidation in the coming weeks. Additionally, traditional seasonal lulls during this time of year further constrained demand, making any near-term recovery unlikely across the globe.
