North American selling prices for recycled grades of high density polyethylene resin have increased in recent months because of tight supplies of the material.
An average increase of 12 cents per pound is being shown for all grades of recycled HDPE on this week’s Plastics News resin pricing chart to reflect this change in the market.
One recycling market veteran said that this year’s pricing changes — including a 12 cent-per-pound first quarter surge — are the most volatility she’s ever seen for the material. “The market dynamic has changed and there’s a huge shortage of natural [recycled] HDPE,” the buyer said. “It’s been a big sticker shock.”
Market watchers added that demand for recycled HDPE also has increased as some processors have reduced the amount of recycled polypropylene used in their products.