In mid-April, Polyolefin Elastomer (POE) prices have experienced a slight rise in both Europe and the U.S., mainly driven by supply issues. In Europe, Ethylene supply disruptions and logistical hurdles have pushed production costs up. In the U.S., while feedstock prices have decreased, inventory shortages have led suppliers to raise their prices. On the demand side, the slowdown in homebuilding and reduced global auto production, affected by tariffs, are shaking market confidence.

In mid-April, POE prices in Europe have seen modest rise. This rise in the POE price is influenced in response to tightening supply of Ethylene — the primary feedstock used in production. A 3.76% rise in Ethylene prices, triggered by disruptions like Shell’s flaring at Moerdijk and BASF’s force majeure declarations in Antwerp and Ludwigshafen, has squeezed availability across the region. On top of that, transportation constraints, including reduced barge loadings along key inland routes, are slowing down material flows. While producers are working to manage supplies, the pressure on costs remains. With no immediate relief in sight, POE prices are likely to hold firm or edge even higher in the near term.

In the US market the price of the POE witnessed a modest rise in mid-April. This increase in the POE price is majorly attributed to the tightening supply of the inventories among the market participants. Despite fall in the feedstock price the market participants witnessed a tightness in the inventories managements due to which the suppliers have increased their exquotation price marginally.

From the downstream construction sector, The slowdown in U.S. homebuilding and shifting global auto production trends are beginning to weigh on demand expectations for materials like POE. As tariffs push up the cost of building materials, builders are holding back on new projects—especially in the single-family housing segment, where starts just hit an eight-month low. That translates to softer demand for POE in construction-related applications like sealants and adhesives. At the same time, global light vehicle forecasts have been revised downward due to auto tariffs and retaliatory trade measures. With production cuts expected across the U.S., Canada, Japan, and Europe, automakers are likely to trim orders for POE.

According to ChemAnalyst’s forecast, POE prices are likely to remain stable with a modest bullish trend in the near future. This outlook is aligned with expectations of higher contract selling prices from Asian manufacturers. Additionally, suppliers are anticipated to begin bidding for inventory accumulation, further supporting the price momentum. This combination of supply-side adjustments and steady demand is expected to drive gradual price increases in the coming sessions.