US PBAT Prices Expected to See Modest Recovery Amid Improving September Demand

US Polybutylene Adipate Terephthalate (PBAT) prices are expected to show a modest recovery in September after remaining largely stable through August. Higher inventories and competitive Chinese export offers kept the market subdued, while elevated Shanghai–Los Angeles freight costs increasingly raised landed replacement values. September demand is anticipated to improve as bargain buying and pre-fall restocking encourage converters to return to the market, particularly for compostable packaging applications. In July, PBAT prices fell 7.27% month-on-month amid aggressive import offers, lower energy costs, and cautious purchasing. The market later stabilized as converters aligned procurement with operating requirements. For September, PBAT prices are anticipated to strengthen gradually as delayed purchasing resumes and restocking supports downstream consumption. Freight inflation and potential increases in crude- and naphtha-linked costs could further lift import replacement costs. However, elevated inventories and competitive Chinese offers may restrain the pace of recovery. Overall, the September PBAT outlook is moderately positive, with demand recovery and logistics expected to outweigh lingering supply-side pressure.