In the last week of June 2025, the recycled plastics market in Saudi Arabia experienced growth. This positive trend was driven by steady demand from buyers and favourable supply conditions.
Prices for recycled polypropylene (R-PP) in the region rose by 2.6%. Increase in demand from the automobiles, household products, and woven sack manufacturing industries has led to this steady growth. Companies were cautious and placed their orders based on their needs because of the ongoing economic uncertainties. R-PP manufacturers kept their production levels steady. However, they faced significant difficulties in obtaining high-quality post-consumer polypropylene bales, particularly in black and natural colours. These limitations helped avoid any drop in prices, keeping the R-PP market stable and positive throughout the week.
The market for Recycled High-Density Polyethylene (R-HDPE) too experienced growth, with prices rising by nearly 3%. This was because of the high demand from packaging and container industries. Continuous purchases by these industries, along with steady operations, helped the R-HDPE companies in fulfilling the downstream orders. Moreover, better waste collection rates have resulted in a consistent supply of post-consumer HDPE bales, which are used to produce R-HDPE.
At the same time, the prices for Recycled Linear Low-Density Polyethylene (R-LLDPE) remained stable, showing that there was a balance between supply and demand. Flexible packaging companies continued to see steady demand, and R-LLDE manufacturers kept their production levels constant. Market participants observed that both buyers and sellers were satisfied with the current price levels, indicating that the overall sentiment in the market was strong. The buying activity for R-LLDPE was steady, showing no signs of either a shortage or surplus, which helped maintain a balanced market throughout the week.
The Recycled Polyethylene Terephthalate (R-PET) market saw growth, with prices increasing by nearly 1.4%. This increase happened due to strong demand from the packaging and textile industries. Throughout the week, companies strongly favoured clear and food-grade flakes, but there was a limited supply of high-quality recycled bottles. However, better collection rates in some areas helped reduce these supply issues to a certain extent.
Overall, the recycled plastics market in Saudi Arabia finished ended June 2025 on a positive note. R-PP, R-HDPE, and R-PET saw an increase in prices because of strong demand from buyers and a stable supply. In contrast, R-LLDPE prices remained the same. Market participants expressed strong optimism about the short-term outlook, highlighting the ongoing demand and stable production rates throughout the recycled plastics industry.
