Commodity Market Report
Polypropylene North America monthly market overview April 2020
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Report summary
North American polypropylene production showed improvement in March, with the United States operating rates rising to 92 percent, up from 82 percent in February. However, this looks to be short-lived with production cuts expected in Q2. North American consumption has strengthened in March with levels rising to 692kt, 8.6% higher than the 2019 average. As effects from the coronavirus begin to impact end-use sectors, consumption is expected to remain volatile as food packaging, and healthcare growth remains strong while automotive and appliances demand is falling. US Gulf Coast polypropylene fell 2cpp ($44/t) with PGP contracts this month. Meanwhile, April export prices fell $55/t.
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