During the first week of September 2023, the USA's Polypropylene (PP) market exhibited a steady price trajectory. The price of PP maintained its stability, largely influenced by the consistent pricing of its feedstock, Propylene Refinery Grade, which showed no fluctuations throughout the week. This unchanging feedstock cost contributed significantly to the overall stability of PP prices. Regarding market dynamics, the demand for PP from downstream industries also demonstrated stability. The consistent demand from these industries played a pivotal role in maintaining the market's equilibrium. This consistent demand acted as a counterbalance to potential market disruptions. Simultaneously, the supply of PP remained at a moderate level throughout the week. The moderate supply, combined with the steady demand, contributed to a harmonious market environment. The equilibrium between supply and demand further reinforced the stability of PP prices.

During the first week of September 2023, the European PP market saw a notable 0.6% increase in its value, driven by global market dynamics. The international market witnessed a price surge, impacting PP imports into Europe. This price uptick can be attributed to an improved global trading outlook, while European domestic demand remained relatively subdued. In addition to the international market influence, the European PP market faced challenges from a 1.7% increase in the price of upstream Crude Oil. This rise in Crude Oil prices directly impacted production costs, contributing to the bullish trend in the European PP market.

The United States plays a significant role in supplying PP to Europe. However, during this week, the USA's supply chain was severely disrupted due to a hurricane. The hurricane forced various key components of the supply chain, including airports, marine cargo ports, and distribution hubs, to either cease operations or reduce their activities in preparation for and during the storm. This disruption had a ripple effect on the supply of PP to Europe. Moreover, the hurricane also temporarily led several major parcel delivery companies to close their facilities during the storm's passage. Even after the storm had passed, these companies continued to experience delays and service disruptions, particularly in the affected areas of Florida and Georgia. These logistical challenges further exacerbated the supply issues in the European PP market.

During the first week of September 2023, the Saudi Arabian PP market experienced a noticeable 0.6% increase in its value, with global market dynamics playing a pivotal role. The surge in the price of upstream Crude Oil, rising by approximately 1.7% within the same period, further bolstered this price trend. This increase in Crude Oil prices was largely attributed to the decisive actions taken by Saudi Arabia and Russia to support oil prices. Both countries extended their ongoing production and export cuts through the end of the year, signaling a commitment to stabilizing global oil markets. In response to this news, oil prices quickly soared, reaching their highest levels of the year, with Brent Crude prices surpassing the significant milestone of $90 per barrel. This development underscores the intricate interplay between energy markets and the prices of petrochemical products like PP in Saudi Arabia.

Overall, global PP prices in early September 2023 displayed varying trends, with the USA maintaining stability, Europe witnessing an increase influenced by international factors and supply chain disruptions, and Saudi Arabia experiencing a price surge linked to rising Crude Oil prices and global oil market dynamics.