For the Quarter Ending December 2025
Polypropylene Glycol Prices in APAC
- In China, the Polypropylene Glycol Price Index fell quarter-over-quarter in Q4 2025, influenced by weak consumer demand and oversupply.
- Polypropylene Glycol production costs declined in Q4 2025 as propylene feedstock eased and naphtha prices were cheaper in early November 2025.
- The Polypropylene Glycol demand outlook was muted in Q4 2025, with domestic demand weakened by a property sector slump.
- China's Manufacturing Index expanded in December 2025, despite a modest decline in new export sales for manufacturing.
- Industrial Production rose by 5.2% in December 2025, supporting Polypropylene Glycol demand, particularly in automotive production.
- Weak consumer demand reflected a 0.8% CPI YoY and 0.9% retail sales growth in December 2025, impacting end-use products.
- Persistent oversupply of propylene oxide capacity in China contributed to downward pressure on Polypropylene Glycol prices in Q4 2025.
- The unemployment rate of 5.1% in December 2025 indicated labor market weakness, dampening consumer spending for durable goods.
Why did the price of Polypropylene Glycol change in December 2025 in APAC?
- Negative PPI of -1.9% in December 2025 indicated weak industrial demand, contributing to lower Polypropylene Glycol prices.
- Muted downstream polyol demand and persistent propylene oxide oversupply pressured Polypropylene Glycol prices in Q4 2025.
- Easing propylene feedstock costs and declining crude oil prices in Q4 2025 reduced production expenses for Polypropylene Glycol.
Polypropylene Glycol Prices in Europe
- In Germany, Polypropylene Glycol Price Index fell in Q4 2025, driven by weak industrial demand.
- Production costs remained elevated in Q4 2025 due to persistently high European energy and feedstock expenses.
- The Polypropylene Glycol Price Index declined in Q4 2025, reflecting a -2.5% year-on-year PPI in December 2025.
- Polypropylene Glycol demand was dampened by a 'Contracting' Manufacturing Index in Germany in December 2025.
- Modest industrial production growth of 0.8% year-on-year in October 2025 offered slight demand support.
- A 1.8% year-on-year CPI increase in December 2025 eroded consumer purchasing power, dampening demand.
- Despite 1.1% year-on-year retail sales growth in November 2025, consumer confidence remained low.
- A 6.2% unemployment rate in December 2025 reduced consumer spending, impacting discretionary Polypropylene Glycol demand.
- Elevated Red Sea freight rates in late 2025 impacted Polypropylene Glycol trade flows and logistics costs.
Why did the price of Polypropylene Glycol change in December 2025 in Europe?
- A -2.5% year-on-year PPI in December 2025 indicated weak industrial demand, pressuring prices.
- Consumer confidence at -17.5 in December 2025 reduced spending, impacting consumer Polypropylene Glycol demand.
- 'Contracting' Manufacturing Index in December 2025 signaled reduced industrial activity, lowering Polypropylene Glycol demand.
Polypropylene Glycol Prices in North America
- In the United States, Polypropylene Glycol prices rose in Q4 2025, influenced by increasing production costs.
- Polypropylene Glycol production costs increased, with Producer Price Index rising 3.0% year-over-year in November 2025.
- Consumer inflation, a 2.7% CPI increase in December 2025, raised operational expenses for Polypropylene Glycol.
- Polypropylene Glycol demand outlook softened as automotive industrial production declined throughout Q4 2025.
- Construction sector demand for Polypropylene Glycol decreased, with housing starts softening in October 2025.
- Energy costs for Polypropylene Glycol production increased, as Henry Hub natural gas spot prices averaged higher in Q4 2025.
- Despite declining manufacturing output in Q4 2025, industrial production increased 2.0% year-over-year in December 2025.
- Retail sales increased 3.3% year-over-year in November 2025, supporting consumer-driven Polypropylene Glycol applications.
- The Polypropylene Glycol price outlook was influenced by sustained cost pressures and mixed demand signals in Q4 2025.
Why did the price of Polypropylene Glycol change in December 2025 in North America?
- Rising input costs, with CPI increasing 2.7% year-over-year in December 2025, pressured Polypropylene Glycol prices upward.
- Higher energy expenses, as natural gas prices averaged higher in Q4 2025, contributed to increased production costs.
- Weakened demand in automotive and manufacturing output in Q4 2025 moderated price increases.
For the Quarter Ending September 2025
Polypropylene Glycol Prices in North America
- In United States, the Polypropylene Glycol Price Index remained stable in Q3 2025, influenced by eased propylene prices.
- Production costs faced upward pressure from a 2.6% year-over-year PPI increase in August 2025.
- Demand was supported by a 5.42% year-over-year retail sales increase in September 2025, boosting consumer applications.
- Industrial production increased only 0.1% year-over-year in September 2025, indicating weak industrial demand.
- Propylene prices eased year-on-year in Q3 2025, contributing to stable feedstock costs for production.
- US new-car sales picked up in Q3 2025, but light-vehicle output tracked below prior year levels.
- Residential construction spending inched up in August 2025, yet privately-owned housing starts softened.
- The 3.0% year-over-year CPI increase in September 2025 suggested general inflation, impacting consumer purchasing power.
- Consumer confidence declined to 94.2 in September 2025, potentially dampening discretionary spending.
- The 4.3% unemployment rate in September 2025 indicated a healthy labor market, supporting economic activity.
Why did the price of Polypropylene Glycol change in September 2025 in North America?
- Eased propylene prices year-on-year in Q3 2025 reduced feedstock costs for Polypropylene Glycol.
- A 2.6% year-over-year PPI increase in August 2025 indicated rising input costs for manufacturers.
- Mixed demand signals from strong retail sales and weak industrial production contributed to stability.
Polypropylene Glycol Prices in APAC
- In China, Polypropylene Glycol prices fell in Q3 2025, influenced by weak industrial demand and softening feedstock costs.
- Polypropylene Glycol production costs decreased in Q3 2025 due to softening propylene and propane feedstock prices.
- Global Polypropylene Glycol demand softened in Q3 2025, despite a 3.0% year-over-year increase in retail sales in September 2025.
- China's Manufacturing Index contracted in September 2025, indicating a slowdown in overall industrial activity.
- Consumer confidence remained low at 89.6 in September 2025, suggesting cautious spending impacting discretionary purchases.
- Industrial production grew 6.5% year-over-year in September 2025, providing underlying support for raw material demand.
- Propylene supply became plentiful from September 2025, contributing to lengthening supply and market overcapacity.
- Global Polypropylene Glycol markets experienced inventory destocking in Q3 2025 amid overall chemical overcapacity.
- Manufacturing input prices remained elevated in September 2025, despite a -2.3% year-over-year decline in PPI.
Why did the price of Polypropylene Glycol change in September 2025 in APAC?
- Weak industrial demand, with PPI falling -2.3% year-over-year in September 2025, pressured prices.
- Softening propylene feedstock costs in Q3 2025 reduced production expenses, contributing to price declines.
- Global Polypropylene Glycol markets experienced inventory destocking and lengthening supply, impacting price stability.
Polypropylene Glycol Prices in Europe
- In Germany, Polypropylene Glycol Price Index declined in Q3 2025, influenced by softened feedstock costs.
- Polypropylene Glycol production costs decreased in Q3 2025 as propylene and naphtha costs softened.
- Demand for Polypropylene Glycol weakened in Q3 2025 due to automotive and construction sector contractions.
- Germany's industrial production declined 1.0% in September 2025, impacting Polypropylene Glycol demand.
- The Manufacturing Index was contracting in Q3 2025, signaling a slowdown in industrial activity.
- Producer prices (PPI) fell 1.7% in September 2025, driven by lower energy costs.
- Consumer Price Index (CPI) rose 2.4% in September 2025, suggesting rising input costs.
- Retail sales rose 0.2% in September 2025; unemployment remained stable at 6.3%.
- European propylene oxide supply was influenced by lessened global pressures and disciplined tactics.
- German chemical exports weakened in Q3 2025, contributing to the industry's overall slump.
Why did the price of Polypropylene Glycol change in September 2025 in Europe?
- Propylene and naphtha feedstock costs softened in Q3 2025, reducing production expenses.
- Industrial production declined 1.0% in September 2025, weakening Polypropylene Glycol demand.
- The Manufacturing Index was contracting in Q3 2025, signaling reduced industrial activity.
For the Quarter Ending June 2022
North America
The upstream raw material propylene oxide price decreased throughout the second quarter in the North American region. The polypropylene Glycol price declined due to the region's reduced raw materials. The upstream propylene polymer grade price decreased throughout the quarter due to poor demand from the downstream industries and less buying trend in the region.
The naphtha price was reduced, and a sufficient supply of raw material to meet the ongoing demand from the downstream derivative industries further reduced the price of Polypropylene Glycol in the region. Reduction in operational cost also supported to curb of the price of downstream industries in the second quarter.
Asia Pacific
In the Asia region, the Polypropylene Glycol prices showed a downward trajectory in the regional market throughout the second quarter. The upstream raw materials propylene oxide persistently decreased owing to the less demand from the downstream polymer end-users industries in the region. The cost pressure from upstream raw materials was weak in the regional market. The feedstock consumption was stable and sufficient inventories of raw materials to reciprocate the overall demand, which caused the smooth supply of Polypropylene Glycol and prices, were decreased in the region. Due to another outbreak, covid-19 restricted the market movement to some extent, contributing to the price decline in the Chinese market.
Europe
In the second quarter of 2022, Polypropylene Glycol prices were observed to plunge in the European market. In April, the upstream propylene witnessed an upward trajectory. At the end of April, the price fell for the rest of the quarter due to the poor demand from downstream derivatives like Polypropylene Glycol, polyurethane, etc. A sufficient supply of raw materials further reduced Polypropylene Glycol's price. Polypropylene Glycol prices fell across Europe due to fewer buying sentiments from end-user industries. The cost pressure from upstream propylene oxide prices was reduced across the region, lowering downstream industry prices.
For the Quarter Ending December 2021
North America
Because of robust upstream propylene oxide and propylene, as well as exploding upstream crude oil prices, the Propylene Glycol market in North America showcased a soaring price pattern in October. Force majeure in numerous US facilities as a result of the Ida hurricane's destruction has widened the country's supply shortfall. In November, however, the manufacturers were able to see some respite due to the refiling of crude oil inventories through the coordinated release of strategic reserves and the recovery of hurricane-affected plant activities. In addition, market remained tight for upstream propylene supply due to curtailed operations post witnessing an explosion in ExxonMobil’s facility based in Baytown, that led to a steep rise in prices of Upstream chemicals including Propylene in the country during this period.
Asia
Several factors bolstered the overall uptrend in pricing dynamics for Polypropylene Glycol in the Asian market during Q4 2021. As a result of rising raw material costs, constrained supply, and high freight expenses, feedstock Propylene Glycol prices in the Asian Market hit their highest level of the year in October. Price shocks also occurred in China as a result of the Chinese government's "Dual Control Policy" for energy rationing, which prompted manufacturers to cut their operating rates in their facilities. Despite still strong pharma sector demand, average Polypropylene Glycol prices fell in November as supply chain issues eased, allowing upstream propylene oxide to reach its destination.
Europe
Throughout the fourth quarter of 2021, the European Propylene Glycol market remained tight. Propylene Glycol prices continued to rise due to a combined burden of rising feedstock costs and a catastrophic energy crisis that boosted input costs. With the rapidly spreading Omicron variant in the region, demand in the pharmaceuticals industry increased at an unprecedented rate in the second half of the quarter. Due to supply chain interruptions in the first half of the year and Coronavirus-related transportation constraints near the end of the quarter, propylene glycol spot prices remained high.
