Prices on the German waste plastics market were largely stable in May, but demand generally remains unsatisfactory, the monthly EUWID survey found. Although some market participants report a slight improvement in ordering, this definitely does not represent a lasting reversal.
The macroeconomic environment presents a mixed picture: While the order situation is improving in the German industrial sector, order intake remains weak in the services and retail sectors. The business climate index compiled by Ifo Institute rose slightly in May to 87.5, suggesting cautious optimism, but many industries continue to experience difficult trading conditions.
On the waste plastics market, the outlook for the coming months is considered modest. For one thing, the usual seasonal effects from the summer holidays are expected. Moreover, primary plastics remain cheap, putting additional pressure on recyclers. In response to the lacklustre order situation, the first recyclers have announced they will no longer accept production scrap – or will accept it if it is offered at no charge.
Read the complete monthly market report for waste plastics in Germany covering polyethylene, polypropylene, polystyrene and PVC grades and access price charts and graphing tools here:
