Asia
In China, propylene prices showed mixed performance over the third quarter. The period began with a softening trend due to lower raw material costs. Additional capacity from newly commissioned plants, such as PetroChina Guangxi Petrochemical, expanded supply, and kept competition high. Demand remained subdued as downstream sectors operated cautiously, purchasing only on a need basis.
Through August, prices fluctuated as increased output loosened supply and pressured margins. Temporary rebounds late in the month were linked to maintenance-related shutdowns and short-lived restocking from polyether producers. By the last month of the quarter, rising feedstock prices and renewed downstream interest led to a gradual recovery. The quarter closed with values above mid-quarter lows, supported by firmer sentiment yet tempered by balanced fundamentals.
In India, the propylene price witnessed range-bound movements with a slight upward bias during the third quarter of 2025. The prices were about 743 USD/MT (CFR) in July and around 760 USD/MT in September. The initial period saw weak buying activity, reflecting steady inventories and limited downstream pull from derivatives such as polypropylene and propylene oxide. Softer crude-linked feedstock values and cautious purchasing further restricted gains. By mid-quarter, market sentiment stabilized as refiners adjusted run rates and downstream producers resumed replenishment. Gradual improvement in consumption, combined with moderate cost pressure, lifted confidence heading into September. The rebound was measured, driven more by inventory needs than speculative buying. The quarter ended on a slightly firmer note, aligning with regional cost recovery and improved trading participation, though overall conditions stayed steady rather than strong.
Europe
In Europe, propylene markets remained broadly stable throughout the quarter. Supply conditions were adequate, supported by consistent refinery operations and balanced inventory levels. Demand from major downstream sectors, including polypropylene and oxo-alcohols, was steady, offering limited price direction. Feedstock and energy costs fluctuated mildly but failed to introduce major volatility. Market participants reported moderate activity, with contract settlements reflecting equilibrium between production costs and consumption rates. The absence of notable supply disruptions or significant demand surges kept overall trading calm and predictable.
North America
In Q3’25, the propylene price curve mirrored the trends of its global counterparts in the North American market. Early weakness stemmed from sufficient inventories and cautious downstream orders. As feedstock costs inched upward and maintenance curbed availability, sentiment improved, encouraging moderate restocking. Late-quarter demand from derivative producers strengthened slightly, lifting prices from earlier lows. Overall, balanced supply-demand dynamics, steady operating rates, and cost-driven adjustments shaped a restrained but positive close.
