The German Recycled Linear Low-Density Polyethylene (R-LLDPE) market experienced some decline in the first week of November 2025 with prices dropping by 1%, following the stability seen in October as R-LLDPE buyers took advantage of reduced import prices and better freight conditions while the downstream consumption remained steady.
At the beginning of November 2025, the German R-LLDPE market showed moderate price decrease after a stable month of October. As of 7 November, R-LLDPE prices for translucent pellets grade on FOB-Hamburg basis fell 1%, this was the first significant move after stable pricing during October, which had been supported by balanced market supply and demand. In the week ending second week of November, R-LLDPE prices were holding firm at the adjusted level set in the first week.
Solid domestic production and continued end-use R-LLDPE demand from packaging and automotive applications supported weekly price stability in October 2025. Yet by November the momentum was slowing as traders began to accommodate the lower ethylene prices over most of Europe. Downstream packaging and automotive companies were steady in terms of their consumption patterns in the first week of November but held off on allowing any additional rises in prices in the face of decreased import costs and freight conditions favourable to allowing them an improved position in procuring R-LLDPE supplies.
The production and supply situation of R-LLDPE in Germany was stable, with steady production and good bale-to-granule conversion. Domestic availability was stable with efficient baling and granule conversion allowing flow continuity to the downstream industries. To reduce volatility, recyclers ran at normal levels during early November benefiting from reliable delivery schedules and favourable freight rates. Notwithstanding these operational efficiencies, ample supply conditions put a downward pressure on R-LLDPE prices.
The packaging sector demonstrated resilience, supported by sustained demand from food, pharmaceuticals, and e-commerce segments. Sustainability-driven projects kept production steady, helping R-LLDPE prices hold firm through October as companies continued sourcing recycled polymers for flexible packaging applications. By early November, however, oversupply and moderated import costs outweighed R-LLDPE demand, contributing to the 1% price correction observed during the first week.
German car manufacturing sent out mixed signals for R-LLDPE consumption. In October, the production of cars fell by 4% on an annual basis to 353,600 units, while exports decreased by 1%. Despite a weaker production limiting polymer demand in car applications and restricting price momentum, the sector’s business expectations improved. Cautious demand from downstream carmakers in early November continued to drive a decrease in R-LLDPE prices on the weak consumption against stable availability.
Looking forward to December 2025 and January 2026, R-LLDPE prices in the German market are expected to decrease by 2.5% collectively. A seasonal slowdown in construction activity and year-end inventory adjustments is anticipated to undermine procurement trends as buyers limit purchasing ahead of the holidays. Uncertainties surrounding trade policies and potential tariff disputes could create a waiting market causing downstream R-LLDPE buyers to delay their commitments.
In the meantime, aggressive competition from lower virgin LLDPE prices may have a negative impact on demand for R-LLDPE, where cost concerns more than sustainability consideration. Severe winter weather could interrupt production and limit demand from downstream users, while post-holiday inventory destocking may drive R-LLDPE market sentiment well into January.
