Market Overview (July 29, 2026)
Crude oil prices saw a sharp decline on July 29, with WTI falling $3.35 to $79.26/bbl and Brent dropping $4.27 to $84.09/bbl. The oil retreat dragged down plastic futures across the board. LLDPE main contract settled at 7,631 yuan/ton, down 19 points; PP rose modestly to 8,098 yuan/ton, up 12 points; PVC fell to 4,503 yuan/ton, down 33 points.
Key Plastics Futures (July 29 close)
- LLDPE futures: 7,631 (-19) | HDPE index: 8,529 (-7)
- PP futures: 8,098 (+12) | PE index: 9,096 (+1)
- PVC futures: 4,503 (-33) | PVC index: 4,633 (+8)
India PVC Tariff Exemption Policy
The Indian government announced on July 24, 2026, a 6-month tariff exemption for PVC imports with CIF value exceeding $766/ton. This policy eases cost pressure on Asian PVC exporters, particularly benefiting Chinese suppliers who dominate India's PVC import market. Market participants are closely watching whether this will shift regional trade flows in H2 2026.
Recycled Plastics Sector Update
China's recycled plastics industry is entering a high-quality development phase. As of 2026, the national waste plastic recycling rate has surpassed 35%, with PE recycled materials accounting for the largest share. The global recycled HDPE market is projected to exceed $12 billion in 2026, driven by tightening environmental regulations and carbon neutrality goals. Physical recycling now achieves impurity levels as low as 0.1% through AI sorting and nano-filtration, while chemical recycling cuts carbon footprint by 65% compared to virgin materials.
Upstream Monomer Prices
- Propylene CFR China: $977/ton (-11) | FOB Korea: $948/ton (flat)
- Ethylene CFR Northeast Asia: $978/ton (flat) | CFR Southeast Asia: $918/ton (flat)
- Styrene Asia: $1,087.5/ton (-8) | Butadiene CFR Taiwan: $1,295/ton (flat)
Data sources: Jinlianchuang, Jintou, Oriental Fortune. For more plastics market analysis, visit CPLASTICS daily news.
