Despite sluggish demand from key downstream industries like packaging and automotive, as well as a drop in the cost of crude oil feedstock, China's propylene prices surprisingly increased in August 2025. The main cause of the price increase was a sharp decline in local supplies. This resulted from the July 29, 2025, maintenance closure of the propane dehydrogenation (PDH) plant owned by Tianjin Bohai Chemical Group. New US tariffs, such as a 25% tax on South Korean and Japanese propylene exports, put pressure on the market and reduced demand for raw materials. Nevertheless, notwithstanding the poor market fundamentals, the supply disruption was the primary cause of the price increase.
Selenis has effectively manufactured recycled PET chips using terephthalic acid sourced from Circ®, a textile-to-textile recycler based in Virginia. The chip production took place through a series of batches at Selenis' pilot plant in San-Giorgio, Italy. By utilizing inputs recovered from polycotton textile waste, Selenis has created high-quality PET chip, which has been further processed into DTY yarn. This yarn will play a crucial role in product development as Circ prepares for additional capsule launches. Selenis is leveraging the success of this initial collaboration phase and is committed to advancing towards an offtake partnership to support Circ's inaugural industrial facility.
Eduardo Santos, Head of Corporate Strategy at Selenis, remarked that the monomer synthesis showed a performance comparable to virgin terephthalic acid. He expressed optimism about the consistent quality of Circ's monomer output and anticipated future commercial success. Santos pointed out that the Circ partnership complements Selenis's existing mission and goals for a more sustainable textile industry. He further stated their anticipation of expanding upon this collaboration and providing support for Circ's forthcoming commercial production trials.
