Plastics Industry News Roundup (Mid-June 2026)

🏭 Market Trends & Feedstock Dynamics

PVC/General Resins Under Pressure: Entering the traditional off-season in June, operating rates for downstream pipe and profile manufacturers have declined. Falling calcium carbide prices have weakened cost support, with East China PVC SG-5 prices hovering in the low range of RMB 4,680–4,820/ton amid thin trading volume.
PE/PP Trending Weak: Polyethylene demand softened in May. With increased domestic supply expected in June coupled with seasonal lows, price centers may continue to drift lower. Polypropylene (PP) markets remain sluggish, particularly in flexible packaging and adhesive tape sectors.
Dow Restarts Dutch Cracker: After nearly a year of shutdown, Dow has resumed operations at its LCH3 steam cracker in Terneuzen, Netherlands (ethylene capacity: 680 kt/year), which is expected to marginally improve olefin supply in Europe.

South Korean Giants Pivot to High-Value Products: LG Chem is focusing on battery materials and recycled plastics (PCR); Lotte Chemical is building a 500 kt/year compounding plant targeting super engineering plastics (EP); Hanwha Solutions is expanding ultra-high voltage cable insulation materials. All three are projected to return to profitability in Q2.
Japan's JGC Builds Bioplastics Hub: JGC Holdings broke ground on a "Biotechnology Process Research Institute" in Kobe, developing gas fermentation technology using Cupriavidus necatorbacteria to produce biodegradable PHB polymers from CO₂. The goal is to reduce costs to within 1.2 times that of petroleum-based plastics by 2030.
Sinochem International to Acquire Nantong Xingchen: Sinochem plans to acquire 100% equity of Nantong Xingchen for approximately RMB 2.11 billion, aiming to expand into high-end engineering plastics and specialty PPE/PPO resins (polyphenylene ether) for AI server applications.
China National Chemical Signs Indonesian PP Project: CNCEC Wuhuan signed an EPC contract for a 300 kt/year polypropylene project with Indonesia's PT. Polytama Propindo.

EU Launches Anti-Dumping Probe on Chinese PBAT/PBSeT: On June 4, the EU Official Journal published the initiation notice for an anti-dumping investigation targeting aliphatic-aromatic copolyesters (PBAT and PBSeT) originating from China.
India's Mother Dairy Rolls Out Soil-Biodegradable Milk Pouches: A global first for mainstream dairy brands to commercialize natural soil-biodegradable milk packaging that does not require industrial composting facilities.
Vietnam Adopts 100% rPET in Cosmetics Packaging: Duytan Plastics partnered with vegan beauty brands to utilize 100% post-consumer recycled PET (rPET) in cosmetic packaging.
Houston Recycling Tracking Investigation: An AirTag tracking survey revealed that some residentially sorted plastics are not effectively delivered to recycling facilities, exposing vulnerabilities in municipal recycling chains.

According to the China Plastics Processing Industry Association (CPPIA), China produced 25.062 million tons of plastic products in Jan-April 2026 (+1.5% YoY), with export value reaching USD 36.24 billion (+7.7% YoY).