Commodity Market Report
Polyethylene North America monthly market overview May 2020
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Report summary
After a robust Q1 polyethylene operating rates decline of 5% across all grades in April, Formosa has announced they will be delaying the startup of their 400kta LDPE facility further into H2 2020. Year-to-Date (YTD) April 2020 vs. 2019 domestic total polyethylene consumption in North America is currently down 1.2%. High-density polyethylene (HDPE) demand is currently performing the weakest with YTD 2020 levels 6.8% below that of 2019. On the other hand, Linear low-density polyethylene (LLDPE) and low-density polyethylene (LDPE) markets are up by 5.4% and 2.6%, respectively, compared to the same period in 2019. The growth in LLDPE and LDPE is supported by consumer non-durable and packaging applications.
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