USA Polyurethane (PU) Resin prices declined 3.67% during the week ending July 3, 2026, as comfortable inventories and subdued demand outweighed higher TDI feedstock costs. Although TDI prices increased by 3.42% and MDI remained stable, suppliers continued offering discounts to reduce accumulated stocks. Demand from coatings and adhesives remained steady, while export buying and spot inquiries stayed weak. Looking ahead, PU Resin prices are expected to decline further during July as adequate supply, cautious procurement, and competitive supplier pricing continue to outweigh limited cost-side support and restrain overall market sentiment.
The USA PU Resin market is anticipated to remain under pressure through July 2026 as ample inventories, cautious buying behaviour, and subdued export demand continue to outweigh moderate feedstock cost inflation. This follows a 3.67% decline in PU Resin prices during the week ending July 3, 2026, despite higher upstream TDI costs.
Supply-side dynamics reflected contrasting cost and inventory trends across the PU Resin value chain. Feedstock TDI FOB Texas increased by 3.42% during the assessment period, raising production costs for PU Resin manufacturers and encouraging suppliers to seek firmer offers to protect margins. Meanwhile, feedstock MDI prices remained largely stable, providing limited additional cost pressure. However, the increase in TDI failed to translate into higher PU Resin prices as producers continued to hold comfortable inventory levels accumulated during previous months. With manufacturers prioritizing inventory reduction over margin expansion, suppliers adopted competitive pricing strategies and offered discounts to stimulate sales. Stable plant operations and uninterrupted raw material availability further ensured sufficient PU Resin supply across the domestic market, preventing any tightening in availability.
Demand conditions remained broadly steady but lacked the strength required to absorb abundant supply. PU Resin consumption from coatings and adhesives manufacturers continued to provide the primary source of demand, while sealants, industrial chemicals, and specialty polymer applications maintained relatively low but stable purchasing patterns. Export demand also remained subdued, with overseas buyers refraining from rebuilding inventories despite lower market prices. Spot inquiry levels stayed limited, and transaction volumes remained modest as buyers continued purchasing only immediate requirements. Consequently, subdued domestic consumption and weak export activity outweighed the impact of higher feedstock costs, keeping the PU Resin market under sustained downward pressure throughout the assessment period.
Looking ahead to July 2026, PU Resin prices are forecast to decline further as easing geopolitical tensions between the United States and Iran continue to normalize global petrochemical trade flows. The reopening of the Strait of Hormuz and improving shipping conditions have reduced concerns over major supply disruptions, while softer crude oil and energy markets have weakened broader cost sentiment across the polyurethane value chain. Although feedstock TDI remains relatively firm, the reduction in geopolitical risk premiums is expected to limit suppliers' ability to pass through higher costs. At the same time, comfortable domestic inventories and cautious downstream procurement are likely to keep competitive pressure elevated. Export buyers are also expected to remain selective, delaying significant inventory rebuilding despite lower prices. Consequently, the combination of improved supply-chain stability, reduced geopolitical cost pressure, and restrained buying interest is anticipated to keep the USA PU Resin market on a gradual downward trajectory through July 2026.
