2025 Week 07

Your Source for the Latest Market Trends in PE, PP, PVC, and PET

Market Overview

Over the past week, the African polymer markets have experienced a blend of stability and growth. Polyethylene (PE) and polypropylene (PP) prices have seen upward adjustments, primarily due to supply constraints. Meanwhile, polyvinyl chloride (PVC) and polyethylene terephthalate (PET) markets remain steady, with sustainability initiatives gaining momentum across the continent.

Polyethylene (PE) Market Update

West Africa

• Nigeria: PE prices have increased by $30 to $100 per ton, especially for high-density polyethylene (HDPE) film grades. This rise is attributed to limited shipments from the U.S. and the Middle East. However, inflationary pressures due to higher import costs are tempering demand. 

North Africa

• The PE market continues to face challenges from competitive U.S. imports, leading to price reductions and increased market competition. 

South Africa

• The plastic packaging films sector, heavily reliant on PE, is projected to grow at a CAGR of 3.67% through 2029. This growth is driven by demand in the food industry and a shift towards sustainable, recyclable packaging solutions. 

Polypropylene (PP) Market Update

West Africa

• Nigeria: PP prices have mirrored the upward trend of PE, with increases due to tightening supplies. Despite subdued demand, suppliers have implemented price hikes to reflect the constrained availability. 

South Africa

• The polypropylene film segment is expected to witness significant growth, bolstered by sustainability regulations such as the Extended Producer Responsibility (EPR), which encourages recycling and the use of eco-friendly materials. 

Polyvinyl Chloride (PVC) Market Update

North Africa

• PVC markets are experiencing downward pressure due to aggressive U.S. imports, leading to increased competition and influencing local pricing dynamics. 

South Africa

• While PE and PP dominate the packaging industry, PVC maintains its role in construction and industrial applications, with demand remaining steady.

Polyethylene Terephthalate (PET) Market Update

South Africa

• Recycling Initiatives: Efforts to enhance PET recycling are underway, with plans to increase food-grade recycled PET (rPET) capacity in the Western Cape region by 2025.

• Market Growth: The plastic bottles market, primarily utilizing PET, is projected to grow from USD 57.97 million in 2025 to USD 75.91 million by 2030, driven by the beverage and personal care sectors.

Looking Ahead

The African polymer markets are navigating a complex landscape marked by supply constraints and economic challenges. While PE and PP prices are on the rise due to limited supply, PVC and PET markets remain stable. Sustainability efforts, particularly in South Africa, are expected to influence market dynamics significantly.

Final Thoughts

Stakeholders in the African polymer markets should closely monitor supply chain developments and regional demand fluctuations. The upward trajectory of PE and PP prices may persist if supply challenges continue, while PVC and PET markets are expected to remain steady. Sustainability initiatives are poised to play a pivotal role in shaping future market trends.

Stay tuned for next week’s update!

Disclaimer

The information provided in this newsletter reflects recent market observations and is intended for informational purposes only. Market conditions are subject to change; users should conduct their own assessments before making commercial decisions. The author assumes no liability for outcomes based on this information.