After rising by over 30% in the year, polypropylene (PP) prices in Europe have paused for the first time in 2010 as per ICIS, as average increase in July is pegged at no more than €5/ton (US$6/ton). In South Europe, PP prices have dipped by around €20/ton in the past week amid buoyant food packaging, health and hygiene sectors. Film and automotive sectors were not strong, with the Italian BOPP film market in particular described as weak by several sources. The garden furniture sector in the UK is booming, while film in southern Europe is weak.
Through the first 6 months of 2010, several PP production issues and a consistently tight propylene situation had kept the European PP market strong. Weakness in Asian markets attracted imports from the Middle East in recent weeks.