European PBAT prices are stable: the market remained stable in March
In the first half of March 2025, European PBAT prices remained stable, indicating a balanced market supply and demand. The continued demand for sustainable packaging applications and stable raw material costs supported this stable price pattern. The economic outlook for the PBAT industry also remained stable as market participants did not perceive significant changes.
The main driver of the PBAT market remains the sustainable packaging sector, covering agricultural films, food packaging films, degradable plastic bags, etc. The demand for environmentally friendly alternatives has driven consumption, and consumers have a strong preference for biodegradable products, which has not caused any problems on the demand side. Other application areas of PBAT have also shown similar stability, ensuring the resilience of overall demand.
European PBAT manufacturers have ensured the continuous supply of the market by matching production with the scale of demand. In addition, stable import and export activities have avoided supply fluctuations. Both producers and consumers have maintained sufficient inventory levels, avoiding unexpected price changes and maintaining market stability.
In early March, the prices of PBAT's key raw materials - 1,4-butanediol (BDO), adipic acid and purified terephthalic acid (PTA) - have remained stable. Based on this stability, producers have been able to maintain the stability of PBAT prices and avoid large fluctuations. There have been no significant changes in raw material prices, which is crucial to stabilizing PBAT market prices.
However, despite price stability, the plastics market may still be threatened by potential trade disruptions between the EU and the United States. On April 9, 2025, the EU announced a 25% tariff on the United States in response to the recent tariffs imposed by the United States on EU steel and aluminum exports. As plastic products are included in the EU's targeted countermeasures, industry participants are closely watching their potential impact on the supply chain and price dynamics. Since bioplastics are also within the scope of the EU's countermeasures, industry players have been closely watching the possible impact of these measures on the supply chain and price dynamics.
