Almost all US recycled plastic scrap markets continue to experience severe downward pressure, on softening demand as buyers assess their needs through the end of the year. In some markets, high-quality post-consumer colorless recycled resin now is at parity with virgin resin pricing, a reversal of the prior trend.
Amid weaker orders for recycled resin, several reclaimers have had to reduce operations and have cited an increased risk of closure without renewed market conditions.
In the background, most industries continue to struggle with sales volumes as the global economic outlook remains muddled by the changing trade landscape.
While most pellet prices are down month on month, lower bale feedstock costs are not yet fully reflected in some resin markets.
PET bales on the East Coast are often heard as low as 1-2 cents/lb EXW (ex works), while natural HDPE bales on the East Coast are heard as low as 42-45 cents/lb EXW.
The August US-wide average price for spot market post-consumer RPET flake destined for packaging end markets dropped another 5% month on month and now is also down 2% year on year.
The August US-wide average price for spot market post-consumer, food grade RPET pellet is down 5% month on month and down 4% year on year.
The August average price for US spot market post-consumer, natural recycled HDPE pellet is down 12% month on month but remains up 41% year on year.
The August average price for US spot market post-consumer, mixed color recycled HDPE pellet is down 2% month on month.
The August average price for US spot market post-consumer, natural recycled LDPE pellet is flat month on month though lower quality film bale markets have softened considerably.
The August average prices for US spot market post-consumer, natural and black recycled PP pellet are flat month on month.
Pricing information comes from ICIS’s coverage of US recycled plastics markets, including bale, flake and pellet information across RPET, RPE and RPP. Prices shared above exclude transportation costs and “US-wide” averages take into consideration individual US East Coast and US West Coast prices provided by ICIS.
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