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Iran War Creates a Dire Strait for Resin Markets

Source: plasticstoday.com

Iran war closed the Strait of Hormuz, slashing Middle East exports of PE, PP, EG, and methanol while spiking crude and chemical prices.
PE contracts aim for 10¢/lb hikes in March and April, potentially lifting prices $0.15–$0.20/lb through early 2026.
Building-block chemicals like ethylene, propylene, and benzene are surging, pushing all polymer prices higher despite shaky supply/demand support.

The Iran war has shut down the Strait of Hormuz, crippling key petrochemical exports from the Middle East and driving up global resin prices. This hits plastics hard since the region supplies over 33% of traded PE and 25% of PP. Buyers face tighter supply, higher costs, and force majeure risks on imports like ABS and PC.