July 21, 2026 — According to commodity research institutions, the bulk commodity price index hit a nearly two-year high in Q1 2026, with Q2 showing narrow-range oscillation, averaging 690.76 for the quarter.
The rubber and plastics industry presents a "strong raw materials, weak finished products" differentiated pattern, with industry chain profit distribution tilting toward the upstream. In January, natural rubber futures generally trended upward, with prices of polybutadiene rubber (BR) and styrene-butadiene rubber (SBR) beginning to rise, while PE and PP general-purpose plastics prices faced pressure. In February, synthetic rubber prices performed even more strongly, with BR and SBR posting significant gains as upstream butadiene costs rose rapidly, providing solid support. In March, natural rubber maintained a oscillating pattern while synthetic rubber prices, supported by costs, held firm, with BR and similar products showing divergent trends.
Entering July, international crude oil and PP futures have both moved downward, providing limited support to spot markets, and PP raw material prices have generally weakened. SCI99 notes that PE demand in June was weak during the off-season, with prices declining, and July pricing remains under downward pressure. Traders are mostly selling at market, while downstream buyers remain cautious, resulting in overall weak transaction volumes.
Looking ahead to the second half of the year, expectations for gradual recovery in end-demand remain, but oversupply pressure persists, and the differentiated profit distribution pattern along the industry chain is expected to continue in the medium to long term.
