Market Monitor MM-004: Regulation Accelerates. The Market Is Still Hesitating.

Market Indicators

▲ Propylene increased by €55/t in August, adding cost pressure for PP producers.
▼ Recycled polymers remained under pressure from weak demand and competition from attractively priced virgin material.
▲ German automotive production increased by 3.6%, while output from energy-intensive industries declined by 1.8%.
◆ PPWR became applicable across the EU on 12 August 2026, changing the framework in which Europe's packaging and recycling industries must operate.ust 2026.


A market without a single direction

The first half of August brought divergent signals across the European plastics industry. Upstream costs came under renewed pressure, but weak demand continued to limit producers' ability to pass those increases through into polymer prices. In recycling, competitively priced virgin material continued to weigh on recyclate demand, while EREMA's results point to a more difficult investment environment for recycling equipment.

At the same time, regulatory pressure is increasing. PPWR has moved from the legislative calendar into actual application, while new anti-dumping duties on PTA imports from South Korea and Mexico are changing trade conditions in part of the European PET value chain.


The rules are becoming clearer. The market is not.

The new Plastinfo Market Monitor MM-004 examines these tensions and the key signals that could influence European polymer producers, processors, recyclers and raw-material buyers in the period ahead.


Read the Full Analysis

Link (pdf): Market Monitor 004