DOW · News · 20260808N

Competition and Pricing Pressure

DOW INC. · 2026-08-08 · Importance 20 · Surprise 24

Industry commentary describes weak global polyethylene demand, strong supply, slowing exports, and record U.S. inventory builds. Polyethylene prices are expected to remain under pressure, while polypropylene prices have also declined following lower polymer-grade propylene prices. Separate coverage says Dow’s recent earnings rebound benefited from pricing and supply tightness, but investors remain concerned about weak demand, industry overcapacity, soft polyethylene pricing, and supply-demand imbalances.

Key facts

• The bi-weekly plastics report for July 8, 2026 indicates a bearish outlook for Polyethylene (PE) prices due to strong supply, slowing exports, and weak global demand, with record inventory builds in the U.S. source
• For Polypropylene (PP), prices also moved lower following a decrease in Polymer-grade-propylene (PGP). source