For the Quarter Ending June 2025
North America
North America Mono Ethylene Glycol (MEG) Spot Price declined during the Q2 2025, especially in the US market where it declined by 4.8%, settling at USD 460/MT FOB US Gulf in June.
• The bearish price trend was driven by persistent oversupply, elevated inventory levels, and subdued demand from the PET segment, especially in April and early May. Downstream buyers leaned on existing stocks amid weak consumer sentiment and cautious procurement.
• The restart of key plants—including Formosa and Nan Ya Plastics—alongside stable feedstock Ethylene Oxide availability and declining upstream crude prices further pressured MEG values.
• U.S. MEG prices hit a quarterly low in mid-May, weighed by limited export flows to China due to tariffs, sluggish regional offtake, and muted PET resin consumption despite steady operations.
• A short-lived bullish correction from late May to early June was driven by temporary supply constraints, including Force Majeure declarations at Gulf Coast and Canadian facilities (Lotte Chemical, Shell Canada) and scheduled turnarounds at MEGlobal and Indorama, all of which tightened regional availability.
• Despite improved seasonal demand and tariff easing with China in June, overseas interest remained limited, with regional players like Saudi Arabia and Kuwait covering Asia’s needs.
Why did the price of MEG change in July 2025 in the North America region?
• In July 2025, the Monoethylene Glycol (MEG) Price Index in North America declined due to oversupply and muted downstream demand, especially from the PET sector.
• The MEG Production Cost Trend remained subdued as upstream crude oil values softened, while domestic output increased.
• The MEG Price Forecast indicates continued downward pressure, with logistical constraints at key U.S. ports and limited export interest from Asia further weakening market sentiment.
APAC:
• APAC – Mono Ethylene Glycol (MEG) Price rose during the Q2 2025 especially in the South Korea where it rose by 1.7%, settling at USD 539/MT CFR Busan in June.
• The bullish price trend was driven by tight regional supply amid force majeure events at Lotte Chemical and LG Chem in South Korea, coupled with prolonged maintenance at Middle Eastern units (e.g., JUPC, Sharq, and Saudi Kayan).
• Early-quarter price gains were reinforced by forward buying ahead of global turnaround schedules and PET sector restocking, particularly for beverage and packaging use.
• Supply constraints moderated mid-quarter as Saudi and Chinese units resumed operations, yet rising import costs, especially from the Middle East, and firm logistics expenses supported price resilience.
• Demand fundamentals remained mixed; while PET offtake improved seasonally, polyester consumption was capped by sluggish textile and apparel sectors and trade uncertainty driven by US-China tariff tensions.
Why did the price of MEG change in July 2025 in the APAC region?
• In July 2025, the Monoethylene Glycol (MEG) Price Index in the APAC region declined due to improved supply availability and muted demand growth.
• The MEG Production Cost Trend weakened as upstream crude oil values softened and Middle Eastern import prices declined, while regional plant restarts further boosted inventory levels.
Europe:
• European Mono Ethylene Glycol (MEG) Prices witnessed a bearish trend during the Q2 2025 especially in Germany were declined by 7.6%, settling at USD 710/MT FD Hamburg in June.
• The bearish pricing trend was driven by weak downstream PET resin demand, persistent oversupply, and logistical bottlenecks across North European ports
• Supply remained up throughout Q2, supported by steady domestic production and enough import inflows from the US and Middle East. Minor disruptions, such as short-term maintenance at INEOS Belgium, had negligible market impact.
• Ethylene Oxide feedstock prices declined marginally in June, offering limited cost support. Inventory accumulation intensified in May as downstream procurement slowed, particularly in the polyester and antifreeze sectors.
• Demand fundamentals stayed soft across the quarter. MEG consumption in Germany was constrained by low PET production due to high r-PET substitution and conservative restocking behavior by converters.
Why did the price of MEG change in July 2025 in the European region?
• In July 2025, the Monoethylene Glycol (MEG) Price Index in Europe declined due to persistent market oversupply and weak downstream demand, particularly in the PET segment.
• The MEG Production Cost Trend remained subdued, with ample inflows from the Middle East and diverted cargoes from the U.S., while upstream crude oil values stayed soft.
• The MEG Price Forecast suggests continued bearish sentiment, as logistical inefficiencies, high inventories, and cautious procurement behavior limit price recovery despite seasonal consumption support.
MEA:
• MEA Mono Ethylene Glycol (MEG) Price declined during the Q2 2025 especially in the Saudi Arabian market where it dropped by 13.4%, settling at USD 490/MT FOB Riyadh in June.
• The bearish quarterly trend was driven by prolonged supply overhang and sluggish demand from Asian downstream sectors.
• Regional supply strengthened post-Ramadan as major producers like Sharq, JUPC, and Saudi Kayan resumed operations. Additional output, coupled with soft Ethylene Oxide costs and weakened upstream crude, suppressed production costs but did not stimulate demand.
• Export performance remained muted across Q2, particularly toward China and Southeast Asia, where downstream PET and polyester consumption faltered amid U.S.–China trade tensions, tariff volatility, and oversupplied inventories.
• Although brief bullish corrections were observed in late May and mid-June—driven by plant maintenance, tighter Chinese imports, and geopolitical events such as Iranian MEG unit shutdowns—overall market sentiment remained weak.
Why did the price of MEG change in July 2025 in the MEA region?
• In July 2025, the Monoethylene Glycol (MEG) Price Index in MEA faced downward pressure due to sluggish global demand and bearish sentiment tied to upcoming trade policy changes.
• The MEG Production Cost Trend remained soft amid weaker upstream crude oil benchmarks and recovering plant operations following maintenance shutdowns, which led to increased domestic availability.
• The MEG Price Forecast signals continued weakness, as reduced Asian buying interest and proposed U.S. tariffs on imports from Japan and South Korea further discourage procurement activity.
South America
• South America Mono Ethylene Glycol (MEG) Price declined during the Q2 2025 especially in the Brazilian market where it declined by 6.3% and settling at USD 520/MT CFR Santos in June.
• The bearish trend was driven by oversupply conditions and sluggish demand from Brazil's PET sector. Ample inventory buildup—sustained by steady inflows from the U.S., where production remained resilient despite scheduled shutdowns—kept market fundamentals loose through most of Q2.
• Prices saw consistent pressure through April and early May, reflecting weak cost support from upstream Ethylene Oxide and falling WTI crude oil prices. The resumption of operations at U.S. producers like Formosa and Nan Ya Plastics further added to global MEG availability.
• Although MEGlobal’s Texas plant underwent planned maintenance in May, surplus supply across the U.S. and subdued exports to China drove increased cargo volumes toward South America, weighing on regional offers. Consequently, MEG prices fell to a low of USD 460/MT CFR Santos by mid-May.
• June saw modest price recovery as production disruptions in North America, Force Majeure declarations (Lotte Chemical, Shell Canada), and port congestion in the U.S. tightened short-term availability. Despite this, weak downstream PET demand and cautious procurement in Brazil capped upside momentum.
Why did the price of MEG change in July 2025 in the South America region?
• In July 2025, the Monoethylene Glycol (MEG) Price Index in South America declined due to surplus supply pressures and weakened demand from the PET sector.
• The MEG Production Cost Trend was influenced by softened upstream crude oil values and increased domestic production, while inventory accumulation added to bearish pricing sentiment.
For the Quarter Ending March 2025
North America
In Q1 2025, the North American Mono Ethylene Glycol (MEG) market followed a bullish trajectory, with prices rising steadily across the quarter. January saw a mid-month surge in MEG prices, driven by a sharp increase in Ethylene Oxide (EO) costs and unexpected supply disruptions caused by severe winter storms along the Gulf Coast, particularly impacting facilities in Texas. These disruptions limited production, tightening supply and pushing prices higher despite sluggish demand from the downstream PET sector. Strategic inventory management and restricted logistics further supported price stability.
In February, although some production resumed after the winter weather abated, scheduled maintenance turnarounds at key facilities—including Dow’s Seadrift and Indorama’s Clear Lake plants—continued to restrict spot availability. As a result, prices remained firm. By March, with most plants operating steadily and no major supply shocks, MEG prices stabilized at elevated levels. Downstream demand from the PET industry stayed weak, largely due to rising competition from recycled PET (rPET), yet no significant price decline was observed.
Overall, the U.S. market experienced the most pronounced fluctuations, with MEG prices increasing by 2.4% from the previous quarter. By the end of Q1, prices stood at approximately USD 483/MT FOB US Gulf, reflecting constrained supply and cautious market sentiment.
Europe
In Q1 2025, the Mono Ethylene Glycol (MEG) market in Europe exhibited an overall bullish price trend, shaped by evolving supply-demand fundamentals and global trade dynamics. January commenced with a brief bearish phase in Germany as MEG prices dropped slightly due to weak downstream demand from the PET sector and sluggish industrial activity at the close of 2024. However, the trend reversed toward the end of the month as feedstock Ethylene Oxide costs rose and market activity picked up post-holidays, aided by tighter global supply conditions—particularly U.S. production disruptions caused by extreme weather. This initiated a gradual price recovery. February saw a consecutive price rise driven by modest demand revival from PET packaging and bottled beverage sectors amid seasonally rising temperatures. The EU’s plastic waste policies, promoting rPET over virgin PET, tempered demand growth, but not enough to offset the bullish trend. Supply constraints persisted due to lower imports and a force majeure declared by Lotte in the U.S., which reduced availability. Consequently, MEG prices continued their upward climb. March marked a sharper surge in prices, fueled by persistent supply tightness, logistical bottlenecks at major German ports, and cautious procurement strategies ahead of the peak season. Despite muted downstream demand, anticipation of future consumption and tight inventories supported a strong upward price movement. By the end of Q1, MEG prices in Germany had risen significantly by 17.5% and reached at USD 768/MT FD Hamburg.
APAC
In Q1 2025, the Mono Ethylene Glycol (MEG) market in the Asia-Pacific (APAC) region showcased a mixed performance, marked by early gains followed by a notable downturn in March. During January and February, MEG prices rose steadily, supported by tight supply conditions stemming from delayed restarts of production units in the Middle East and Southeast Asia. These supply constraints, combined with steady demand from the downstream PET sector and modest upticks in crude oil prices, led to price gains in multiple regional markets. Moreover, anticipation of Ramadan-driven and holidays in middle east demand in February lent some strength to market sentiment, while plant maintenance activities in China and the Middle East reduced regional availability, pushing prices upward. However, March witnessed a reversal in the bullish trend as the market turned bearish. Despite stable production costs and adequate inventory levels, MEG prices declined across the APAC region. This shift was largely driven by subdued demand from the PET and polyester segments, influenced by cautious procurement behavior and weakened consumer sentiment. The downward trajectory of global crude oil prices further pressured MEG costs, eroding earlier gains. Concluding Q1, the Indonesian market reflected this regional sentiment, with MEG prices falling to USD 526/MT CFR Tanjung Priok by late quarter.
South America
In Q1 2025, the Mono Ethylene Glycol (MEG) market in South America exhibited a bullish price trajectory, marked by gains in January and February, followed by stabilization in March. The initial surge was primarily driven by supply-side disruptions, despite moderate downstream demand. In January, MEG prices in Brazil rose as freezing weather along the U.S. Gulf Coast triggered plant shutdowns, tightening global supply. This, coupled with rising U.S. production costs, led to limited export availability, supporting price hikes in the region. February saw MEG prices hold firm at elevated levels, with supply pressures persisting despite the gradual recovery of U.S. operations. Although demand from Brazil's PET sector remained subdued due to economic uncertainty and weak consumer sentiment, prices remained stable amid steady import flows and improved port operations in Latin America. By March, MEG prices stabilized as U.S. production normalized and upstream costs, including Ethylene Oxide, declined. Procurement activity remained aligned with consistent downstream production needs, reflecting modest but steady demand. Among South American countries, Brazil experienced the most notable price movements, showcasing resilience through the quarter. MEG prices reached USD 555/MT CFR Santos by the end of March, driven by tight supply conditions and controlled inventory management throughout Q1 2025.
MEA
In Q1 2025, the Mono Ethylene Glycol (MEG) market in the MEA region exhibited a mixed price trend, shaped by fluctuating supply conditions, seasonal demand variations, and shifting macroeconomic dynamics. In January, MEG prices initially declined marginally due to abundant inventories, consistent production, and subdued demand from major importing nations, especially in Asia where PET consumption remained weak post-holiday. However, mid-month, prices rebounded due to maintenance shutdowns at key units like Sharq Unit-4 in Al Jubail and MEGlobal, tightening local supply. Rising global crude oil prices further supported the upward revision. Toward the end of the month, prices surged again, driven by logistical constraints at Middle Eastern ports and increased overseas demand due to weather-induced supply issues in the U.S., culminating in a net price rise for the month. In February, the MEG market registered an upward movement overall, supported by balanced supply and improved domestic manufacturing. Despite ongoing maintenance activities, local inventories remained adequate. Demand remained subdued in the first half, especially from Asia during the Lunar New Year, but picked up modestly later as production resumed. In the end of quarter, prices trended downward, reflecting moderate demand, cautious procurement strategies, and weakening PET consumption in Asia. Despite stable production and expanding Saudi export activity, declining global crude oil prices and logistical slowdowns due to Ramadan dampened overall market momentum. In the MEA region, Saudi Arabia concluded the quarter with MEG prices softening to USD 566/MT FOB Riyadh.
For the Quarter Ending December 2024
North America
In Q4 2024, Mono Ethylene Glycol (MEG) prices in North America followed an overall rising trajectory, driven by a combination of supply disruptions, elevated upstream costs, and logistical challenges. In the early part of the quarter, prices were relatively stable, supported by balanced supply-demand dynamics, ample inventory levels, low production costs, and moderate downstream PET demand. However, mid-quarter saw significant supply disruptions due to Hurricane Milton and Indorama Ventures’ force majeure declaration at its Port Neches facility following a fire, halting operations for six days.
This period also witnessed tight supply exacerbated by production outages in the U.S. Gulf Coast and strikes at Canadian ports, which disrupted logistics and heightened freight charges. Rising crude oil and Ethylene Oxide prices further pushed MEG costs upward, while November contract price hikes intensified market bullishness.
In the later part of the quarter, ongoing labor disputes at key ports and limited imports strained supply chains further. Combined with cautious trading and potential tariff concerns, these factors led to a 1.27% price increase in the U.S. MEG market by quarter-end.
Europe
In early Q4 2024, the European Mono Ethylene Glycol (MEG) market saw a declining trend, driven by weak demand from major downstream sectors like PET resin and textiles. Despite the abundant supply, bolstered by low feedstock costs and strong operational activity, the market faced a cautious stance due to soft consumption and an uncertain economic outlook. The reduction in Ethylene and crude oil prices also put downward pressure on MEG prices. The middle of the quarter continued the downward trend, with excess supply and a decline in Ethylene Oxide prices, further depressing MEG prices. Demand from sectors like PET resin and polyester remained sluggish, partly due to seasonal slowdowns and reduced manufacturing activity. Logistical challenges and minimal upstream market support exacerbated the situation. In the final weeks of Q4, the MEG market showed some initial optimism due to seasonal demand from the PET sector, especially in the beverage and packaging industries. However, logistical issues, including port congestion and potential rail strikes, hindered the market's recovery. Limited buying activity, supported by already high inventory levels, puts downward pressure on prices. As a result, MEG prices in Germany dropped by 3.3%, marking a subdued close to the quarter.
South America
In early Q4 2024, Mono Ethylene Glycol (MEG) prices in South America experienced an upward trajectory, influenced by supply disruptions, rising upstream costs, and logistical challenges. Meanwhile, MEG prices in South America remained stable with a slight downward trend due to balanced supply-demand dynamics and steady imports. However, events like Hurricane Milton and operational halts at U.S. facilities caused intermittent supply tightness. Despite subdued demand from downstream PET and polyester sectors, stable feedstock prices and sufficient inventory supported market equilibrium. By mid-Q4 2024, MEG prices in South America began to rise, driven by tight supply conditions, elevated freight costs, and higher crude oil prices. Supply disruptions in the U.S. Gulf Coast and strikes at Canadian ports further constrained imports into the region. In late Q4 2024, MEG prices in South America continued to climb due to increased import costs linked to rising Ethylene Oxide and Ethylene prices, coupled with a rebound in global crude oil values. Additionally, supply constraints and improved downstream PET demand, spurred by holiday season activities, pushed prices up by 1.28%, particularly in Brazil, solidifying the region's bullish market sentiment.
MEA
In early Q4 2024, the MEA Mono Ethylene Glycol (MEG) market experienced a bullish trend, driven by tight supply and strong overseas demand. Maintenance shutdowns at key MEG production units, global disruptions, and rising crude oil prices, fueled by geopolitical tensions, tightened supply, pushing prices higher. The U.S. shipping strike exacerbated trade challenges, further impacting MEG availability. Although local consumption remained subdued, strong export demand, especially from India ahead of the festive season, supported higher prices. By mid-Q4, MEG prices continued to rise due to tight supply and increased freight costs. Despite weaker demand from Asia and a post-festival dip in Indian imports, maintenance shutdowns, including at Yansab, further tightened supply. Increased Ethylene Oxide prices and rising crude oil prices supported the upward price trend. However, in the final weeks of Q4, prices started to decline, primarily due to weak demand from key importers and year-end decline. While domestic production remained stable and crude oil prices slightly increased, reduced consumption in downstream sectors like PET and polyester, along with cautious procurement in Asia, pressured prices. Consequently, MEA MEG prices fell by 1.72% by quarter-end.
APAC
In Q4 2024, the Mono Ethylene Glycol (MEG) market in APAC saw a declining trend driven by multiple factors. In the early part of the quarter, weak downstream demand, particularly from the PET and polyester sectors, along with stable feedstock prices and increased production, exerted downward pressure on prices. Excess inventory, despite maintenance shutdowns at key production facilities, further contributed to the supply glut, amplifying market bearishness. In mid-Q4, increased supply, including higher domestic production and more overseas imports, continued to weigh on the market, with only essential procurement taking place. Despite easing geopolitical tensions and a decline in crude oil prices, MEG prices fell due to weak external demand and insufficient support from feedstock. In the later part of the quarter, while supply remained stable, demand remained sluggish, especially from the PET resin sector. Cautious purchasing and limited overseas demand continued to apply downward pressure on prices. Overall, MEG prices fell by 6.1% throughout Q4 2024, particularly in China, reflecting a challenging market environment.
For the Quarter Ending September 2024
North America
In Q3 2024, the Mono Ethylene Glycol (MEG) market in North America faced a significant decline in prices, driven by multiple key factors. Weak demand from downstream industries, especially the PET resin sector, exerted substantial pressure on MEG prices. Additionally, the lack of upward cost support from feedstock Ethylene Oxide, along with fluctuating upstream crude oil prices, further contributed to this downward trend. The overall demand for PET in North America also showed a declining trajectory this quarter, compounded by the adverse effects of hurricanes impacting production and logistics.
Mexico, in particular, experienced marked price changes, mirroring the broader negative trend in the MEG market. Seasonal variations, along with the dynamics of supply and demand, played a critical role in these fluctuations. Despite the notable price declines observed in Q3, MEG prices remained elevated, reflecting a 2.5% increase quarter-on-quarter and a 7% rise year-on-year.
By the end of the quarter, the price of MEG in Mexico was reported at USD 483/MT CFR Manzanillo, underscoring the prevailing bearish sentiment and ongoing challenges within the regional pricing environment.
Europe
In Q3 2024, the pricing landscape for Mono Ethylene Glycol (MEG) in Europe saw a significant upward trend, particularly in Germany, where price fluctuations were most pronounced. Several critical factors influenced the overall market, including tight supply conditions, elevated feedstock costs, and steady demand from downstream sectors. Additionally, the volatility of upstream crude oil prices, exacerbated by ongoing geopolitical tensions, played a crucial role in shaping market dynamics. The 16% increase compared to the same quarter last year was largely due to supply constraints and cautious restocking efforts amid economic uncertainties. The quarter also witnessed a 3% rise from the previous quarter in 2024, indicating a gradual but consistent escalation in prices driven primarily by supply-side factors. In Germany, the market exhibited a strong correlation between MEG prices and the costs of feedstocks, especially Ethylene Oxide. By the end of the quarter, the price for MEG reached USD 694/MT FD Hamburg, highlighting a strengthening market sentiment characterized by a steady and persistent price surge throughout the period.
APAC
In Q3 2024, the Mono Ethylene Glycol (MEG) pricing in the APAC region exhibited a mixed trend. During the first two months of the quarter, MEG prices increased significantly, driven by robust demand from the downstream PET market, which was buoyed by peak seasonal consumption. This price escalation was further supported by elevated production costs, high upstream crude oil prices, and rising shipment freight charges amid escalating geopolitical tensions. However, as the quarter progressed, MEG prices began to decline, influenced by excess inventory, accelerated production rates, and decreased demand from both domestic and international markets. Despite this mixed trend, MEG prices remained relatively high compared to the previous quarter, showing a 2% increase, while year-on-year comparisons reflected a 4% rise. By the end of the quarter, the latest price for MEG in China was reported at USD 633/MT FOB Shanghai. This figure underscores the overall declining trend in MEG pricing across the APAC region during Q3 2024, illustrating the complexities and fluctuations within the market landscape.
South America
In Q3 2024, the Mono Ethylene Glycol (MEG) market in South America experienced a significant decline in prices, with Brazil being the most affected. This downward trend can be attributed to several critical factors. A marked decrease in demand from downstream industries, particularly the PET resin sector in the latter half of the quarter, exerted considerable pressure on MEG prices. Additionally, reduced trading activity and cautious purchasing behavior from end-users further weakened market sentiment. Disruptions in the supply chain, including plant shutdowns and logistical hurdles, compounded the decline in MEG prices across the region. Specifically in Brazil, the market reflected the most pronounced price fluctuations, mirroring the overall trend within the region. Seasonal factors and the interplay of supply and demand dynamics played significant roles in shaping these price changes. Despite this decline, MEG prices remained 2.5% higher than the previous quarter, and year-on-year comparisons indicated a 6% increase. By the end of the quarter, the price for MEG was reported at USD 527/MT CFR Santos, highlighting the prevailing negative pricing environment and the challenges facing the industry.
MEA
The third quarter of 2024 witnessed a significant surge in Mono Ethylene Glycol (MEG) prices across the MEA region, driven by several pivotal factors influencing market dynamics. A robust global demand, particularly from the PET manufacturing sector, has been a primary catalyst for this price increase. Additionally, supply constraints, logistical hurdles, and escalating upstream crude oil prices, exacerbated by heightened geopolitical tensions, have collectively applied upward pressure on MEG prices in the region. Saudi Arabia, in particular, experienced the most pronounced price fluctuations, reflecting a notably positive pricing environment. During this quarter, MEG prices surged by 17% compared to the same period last year, indicating strong market performance. Furthermore, a 7% increase from the previous quarter in 2024 underscores the consistent upward trajectory of pricing. By the end of the quarter, the price for Mono Ethylene Glycol was reported at USD 543/MT FOB-Riyadh, reinforcing the overall bullish sentiment in the market. This pricing trend highlights the underlying demand fundamentals and supply-side challenges characterizing the MEG landscape in the MEA region.
FAQs
1. How did U.S.–China trade tensions affect MEG exports from North America?
China's 145% import tariff on U.S. MEG significantly reduced export volumes, keeping domestic inventories high and exerting downward pressure on prices.
2. How did r-PET trends influence European MEG consumption in Q2?
Increased use of recycled PET in packaging cut into virgin PET production, reducing MEG demand across the polyester chain.
3. Why did MEG values in MEA fail to recover even with supply disruptions in June?
Cautious Asian buying and abundant inventories limited price gains, even as Iranian unit shutdowns briefly tightened global supply.
4. What is the global outlook for MEG prices post-Q2 2025?
The MEG market faces continued bearish pressure due to oversupply, soft crude oil benchmarks, and subdued PET demand across key regions.
