November 2025 | Market Update

Resin Prices Stable Amid Global Shifts

From Chuck Hoop, Business Director, Star Plastics

Engineering resin pricing
The numbers below are relative numbers, subject to change based on the supply and demand over the last 30 to 60 days.

PC GP ($1.58) and PC Optical ($1.48) had little or no movement. The Sabic price increase (see the next paragraph) has not seemed to have stuck, even before it was implemented. ABS was also very stable for both injection and extrusion grades at $1.46 and $1.36 respectively. Nylon continues to be on a downward slide; it seems the pond has a lower water level with the same supply, so a fight to the bottom continues. Nylon 6 at $1.48 and 66 at $1.69 have moved consistently down. PBT has held recently ($1.45), seemingly from the impact of tariffs from the Asia Pacific region.

Sabic announced a 22 cents per kg. cost increase, effective November 1 on engineering grade resins including: Cyclolac™, Geloy™, Lexan™, Cycoloy™, Valox™, Xenoy™, and Xylex™ products. Read Sabic’s full letter. This is the first significant increase seen in 2025 for such a broad range of resins.

Fire at Dow’s Freeport plant shuts down 3 lines temporarily
A fire at Dow’s Freeport, Texas complex on Oct. 6 knocked out three polyethylene production lines, including a brand-new unit that just started up in June with 1.3 billion pounds of annual capacity. Dow confirmed the incident happened in a PE unit and said it’s still assessing the operational and product impacts. Emergency crews contained the fire within a few hours, and no injuries were reported. The three lines remain offline, which could have a noticeable supply impact since Freeport houses nearly 4 billion pounds of Dow’s PE capacity—about 44% of its U.S. output and 21% of its global total. The new line was part of Dow’s Poly-7 expansion, meant to boost resin supply for export markets. Dow is now conducting a full review before restarting operations. It is reported from other sources that Dow provides ~17% of North American capacity of polyethylene. View the full report.

After the fire, within two weeks, two of the three manufacturing lines were back up, while the third is still being reviewed.

Saudi Arabia Takes a Risk in Boosting Oil Production
Crude prices have dropped this year, and while Saudi Arabia says it’s just normal market management, analysts say there’s more going on. The kingdom is trying to win back market share from fast-growing producers like Brazil, Guyana, and U.S. shale companies. They’re also urging OPEC members to stick to quotas and raise money for its massive (and therefore expensive) infrastructure projects. The move has had ripple effects globally — especially in the U.S., where lower oil prices have helped bring down gas costs. That’s been politically convenient for the Trump administration, which has pushed for cheaper energy and says it’s helping fuel the economy while keeping inflation in check.

Meanwhile, Saudi Arabia and Trump’s circle remain tightly connected through business and investment ties. The Saudis have pledged hundreds of billions of dollars in U.S. investments and recently partnered with Jared Kushner’s firm on a $55 billion gaming deal. Compared with the Biden years — when Saudi production cuts drove prices higher — Riyadh’s current approach seems designed to reassert OPEC’s dominance while also currying favor with Washington. Still, it’s a risky play: pumping more oil lowers prices but also strains Saudi finances. The kingdom needs oil at about $92 a barrel to balance its budget, but prices are hovering around $65. Despite efforts to diversify, over half its revenue still comes from oil, and it’s been selling assets and taking on more debt to keep its big-spending plans on track. Get the full update.

Why General Motors boss Mary Barra Is slamming the brakes on lofty EV ambitions
General Motors once pitched itself as the leader in the EV revolution, with CEO Mary Barra setting bold goals to phase out gas-powered cars and invest billions in electrification. But the company’s stance has shifted sharply in recent years. Facing weak EV demand, higher costs, and a more favorable political climate under the Trump administration, GM has shifted back toward gas engines while lobbying aggressively against tougher fuel-economy and clean-air rules. California’s governor blasted GM for undermining the state’s ability to set stricter emissions standards, and the company has poured millions into lobbying efforts—spending more than Toyota and Ford combined.

Meanwhile, Barra has stopped citing GM’s once-famous 2035 all-EV target, now emphasizing that the transition will take “decades” and promoting investments in V8 engines and gas-powered trucks. Despite the change, GM insists it hasn’t abandoned EVs. Sales have doubled in 2025, and the automaker still offers one of the widest EV lineups in the U.S. GM says its lobbying is meant to slow down unrealistic timelines, not kill off the shift entirely. Still, production cuts, factory reversals, and layoffs paint a picture of an automaker hedging its bets. In reality, GM is straddling both worlds—still building EVs at ‘Factory Zero’ while retooling other plants for gas vehicles. Barra continues to argue that EV adoption is inevitable, just delayed by consumer hesitation and infrastructure gaps. For now, GM is trying to keep one foot in the future, and one firmly planted in its profitable gas-powered present. Explore further.

Tariffs between Mexico and China looking forward to 2026 reports the WSJ
Mexico currently imposes tariffs of up to 20% on Chinese vehicles, 25% on footwear, 35% on textiles, and 5%–50% on a wide range of other products such as steel, plastics, and furniture. Under its 2026 budget proposal, the government plans to raise tariffs to 50% on many Chinese goods, including cars, textiles, and plastics, in an effort to shield domestic industries and ease U.S. concerns ahead of the USMCA review. Mexico imported over $50 billion in Chinese goods last year, which equates to 20% of its total imports. The Trump administration has accused Mexico of acting as a backdoor for Chinese products to enter the U.S. tariff-free, though Mexico denies this. President Claudia Sheinbaum has not commented on the proposal, while Mexico and the U.S. recently extended a trade deal that keeps a 25% tariff on Mexican goods instead of raising it to 30%. We’ll keep an eye out on this situation as it is very fluid. Learn more details here.

Asia to dominate worldwide PET capacity additions through 2030
GlobalData in a recent edition, had an article concerning Asia dominating the PET market. Asia is poised to take the lead in PET capacity growth through 2030, driven by strong demand in packaging, textiles, and fabrics. The region has an edge thanks to cheaper raw materials and labor, making it a hub for large-scale production. Between 2025 and 2030, Asia will add about 6.4 million tons per year of new PET capacity from six projects. China will lead the pack with 2.9 metric tons per annum (mtpa) across three plants, while the biggest single boost comes from Brunei’s massive Hengyi Industries project, slated to start in 2029 with 2.2 mtpa. Other major contributions include Zhejiang Petrochemical’s 2.0mtpa plant in China and Reliance’s 1.0mtpa project in India.

Beyond Asia, the Middle East and the Former Soviet Union are also making moves. The Middle East is expected to bring on 1.44mtpa from four projects split between Saudi Arabia and Turkey. Meanwhile, Kazakhstan and Uzbekistan will drive the fomer Soviet Union’s 1.04 mtpa expansion. All in all, Asia remains the clear growth engine for PET capacity, with other regions adding smaller but still meaningful volumes. Examine the numbers.

SPE and PLASTICS have merged!
Big news in the plastics world: the Society of Plastics Engineers (SPE) and the Plastics Industry Association (PLASTICS) are merging. By the end of the year, SPE will officially become a division of the Washington, D.C.-based association. Patrick Farrey, SPE’s CEO, will join as executive VP of SPE and chief integration officer, guiding the transition so members don’t lose momentum. The merger combines two very different but complementary groups, one focused on lobbying, advocacy, and big events like the NPE trade show, and the other dedicated to professional education, technical expertise, and global chapters. Both boards of directors gave overwhelming approval, likening the partnership to “peanut butter and jelly.”

Leaders from both sides are pitching the move as a win-win. Matt Seaholm, president and CEO of the plastics association, called it “a historic day” that will strengthen the industry’s voice in sustainability, workforce development, and global engagement. SPE’s Farrey emphasized that members will still keep their identity and benefits while gaining access to a bigger platform and more resources. The groups say SPE’s journals will remain independent, its chapters will continue as usual, and a new foundation will boost education and training. With the merger set to take effect January 1, the message is clear: the two organizations are betting that “better together” really does mean stronger for everyone involved. Explore the press release details here.

New Tariffs on lumber, wood product imports add headwinds to housing market
The U.S. Commerce Department just announced new tariffs that are expected to push housing costs higher. Starting Oct. 14, there were 10% tariffs on all timber and lumber imports and a 25% tariff on kitchen cabinets and furniture—with those furniture tariffs jumping to 30% in 2026, and cabinet tariffs doubling to 50%. Officials say the move is tied to national security concerns, but builders aren’t thrilled. The National Association of Home Builders (NAHB) warned the tariffs will make an already tough housing market even pricier. The U.S. relies heavily on imported lumber—especially from Canada, which supplies about 85% of what we buy. With today’s changes, duties on Canadian lumber will rise from 35% to 45%. Meanwhile, U.S. sawmills are only running at about 64% capacity, so it’ll take years before domestic production can fill the gap. The NAHB is urging the government to boost U.S. timber supply responsibly and strike trade deals that ease, not add to housing costs. Get the full update here.

From Automotive News – A fire that broke out at Novelis’ New York plant in Oswego will disrupt business at Ford Motor Co. and other automakers for months.
As if the automakers didn’t have enough to work through in the recent economic environment… A fire at Novelis’ Oswego, New York plant, is causing a major supply hiccup for Ford and other automakers. The blaze, which broke out on Sept. 16, didn’t cause any injuries, but it shut down a key source of aluminum — and Ford, the plant’s biggest customer, could feel the effects for months. The company is expected to update investors about the situation when it reports earnings later this month. The plant supplies 40% of the aluminum sheet that goes into the automotive sector. Novelis, the world’s largest aluminum recycler and part of India’s Hindalco, says it doesn’t expect the plant’s hot mill to be back up and running until early 2026. Ford has a team working with Novelis to find workarounds and keep production moving as smoothly as possible. Meanwhile, Hyundai says its North American operations aren’t affected by the incident.

Ford cuts production of five trucks, SUVs after fire
The Wall Street Journal reported mid-October that Ford was hitting pause on production for several of its vehicles after the fire shut down operations at Novelis,’ plant. It won’t be back online until early next year. Starting this week, Ford has temporarily stopped building its big money-makers—the Expedition and Lincoln Navigator SUVs—at its Kentucky Truck Plant, for at least a week. It’s also slowing operations at other sites, including its Louisville plant (where it builds the Escape and Lincoln Corsair) and the Dearborn, Michigan plant that makes the F-150 Lightning. Despite the disruption, Ford is prioritizing production of its most profitable models—the F-150 and Super Duty pickups. Analysts estimate Ford could lose up to $1 billion in profit if F-series output is hit hard, so the company is channeling all available aluminum toward those trucks. To make up for the supply crunch, Ford and Novelis are exploring ways to source aluminum from overseas, though qualifying new suppliers can take time. Toyota, another Novelis customer, says it’s also securing backup sources but hasn’t had to stop production yet. Between this aluminum shortage, $2 billion in tariff-related costs, and $5 billion in losses from its EV business, Ford’s got a lot on its plate. Still, its stock is up about 20% this year, helped by relaxed fuel economy rules that let it increase production on more profitable gas-powered trucks.

Jobs open as De Pere distributor expands to manufacturing
De Pere, Wisconsin-based AmeriLux is teaming up with Ireland’s Brett Martin to launch the American Polycarbonate Company, a new joint venture that will produce polycarbonate sheets in Wisconsin instead of overseas. The production will take place inside one of two new AmeriLux facilities totaling 500,000 square feet, with about 50,000 square feet dedicated to manufacturing. AmeriLux CEO Kurt Voss says this move brings manufacturing back to the U.S. and helps the company vertically integrate instead of relying on outside suppliers. The rest of the new space will be rented out to help ease the local warehouse shortage. Construction started in September 2024, and the move-in should wrap up by mid-November. All told, the expansion and new venture are expected to create around 125 new jobs in the area — something warehouse manager Frank Scandin says makes him feel “blessed,” especially knowing it’ll open more career opportunities for others in the community. View the full summary.

Remodeling market sentiment improves in third quarter
The latest NAHB figures have been published in the Westlake Royal Remodeling Market Index (RMI) for Q3 which came in at 60, up slightly from last quarter. That keeps it in positive territory (anything above 50 means more remodelers see the market as good than poor), but still below the strong levels seen from 2021–2024. Remodelers are generally optimistic but cautious. High material and labor costs, plus broader economic and political uncertainty, are making some homeowners hold off on big projects. Overall, NAHB says the remodeling market looks steady, not booming — with growth expected to continue thanks to an aging housing stock and rising homeowner wealth, even as demand stays in “wait-and-see” mode. See full insights here.

Stellantis says it will invest $13B to expand its US operations, adding more than 5,000 jobs
In mid-October, Stellantis announced a massive $13 billion investment over the next four years to boost its U.S. manufacturing by 50% and add more than 5,000 jobs. The plan includes five new vehicles, like a new Dodge Durango coming to Detroit and a midsize truck set for Toledo, Ohio. Plants in Illinois, Michigan, Ohio, and Indiana will all benefit. This is Stellantis’ largest U.S. investment ever and part of a push to offset about $1.7 billion in tariff costs on vehicles built in Canada and Mexico. The company’s strategy includes reviving discontinued models like the Jeep Cherokee and the gas-powered Dodge Charger, along with updates to 19 other vehicles and powertrains through 2029. CEO Antonio Filosa said the move will “drive growth and strengthen our manufacturing footprint.” Examine the numbers.

K 2025 closes with stable attendance, optimism amid industry headwinds
Plastics News reported K 2025 closed in Düsseldorf on Oct. 15 with solid attendance (3/4 were from outside of Germany) and a bit more optimism than expected, even though the plastics industry is still wrestling with slow resin demand, weak machinery orders, and ongoing trade tensions. More than 175,000 visitors from 160+ countries attended which is about the same as K 2022 and about two-thirds were decision-makers. Exhibitors, especially machinery makers, said they saw “real business” and fresh project discussions after a sluggish stretch. Ulrich Reifenhäuser, who chairs the show’s exhibitor advisory board, said the vibe was surprisingly positive despite a “wait-and-see” market. “We have hot projects. We had handshakes,” he noted. Trade tensions remain a headache, though — particularly U.S. tariffs on imported plastics and rubber machinery, which continue to stall investment decisions. “If you don’t know whether tariffs will be 10, 15, or 50 percent, people hold off,” Reifenhäuser said. In total, 3,475 exhibitors from 66 countries filled all 18 halls, with strong turnouts from China, India, the U.S., and Brazil. Dive into the details here.

Compounding World Starts Next Week
If you’re in Cleveland for the Compounding World Expo next week, be sure to stop by the Star/Trivalence booth, R2308, near the main entrance. We hope to see you Wednesday and Thursday, November 12-13. To learn more and register free, visit Star’s website.