Recycled high density polyethylene pellets prices have been on the rise entering in the first quarter of 2025, thanks in part to increased demand from the packaging sector.
According to sources in contact with Plastics News, natural post-consumer HDPE pellets increased by 6 cents, mixed color post-consumer pellets have increased by 3 cents and mixed color post-industrial has increased by 2 cents.
These changers are being shown on this week's PN resin pricing chart.
"There's a lot of factors right now, especially in the demand department," said a recycler from the Midwest. "More and more industries are trying to increase their recycled-content goals. Another is exports, those are affecting the market a lot right now."
Right now there is a higher demand within the packaging industry, sources told Plastics News.
The recycled HDPE market had a surplus of materials in 2023, causing prices to decrease in the second half of 2023. In 2024, pellet prices began to slowly increase throughout the year.
"Recycled HDPE prices really shouldn't be going up right now, they haven't even really come down in a while," said a manufacturer from the East.
"It's not that big of a surprise if prices continue to increase, but this time last year the prices were way lower, it's just an uncertain time," added the manufacturer.