China’s July PP, PE Exports Cool Further After Record Spring Surge

China’s PP and PE trade flows continued to normalize in July, with exports declining further from the exceptional highs recorded earlier in the year, while imports showed tentative recovery from historically low levels. Despite the declines, Chinese exports remained well above year-ago levels, highlighting the growing role of domestic production in overseas markets.

PP exports decline for third consecutive month

China’s total PP exports fell 20% month on month to nearly 340,000 tons in July, marking the third consecutive monthly decline. However, exports remained 28% higher year on year. Shipments had reached a record around 640,000 tons in April before gradually declining. PP export value fell to $424.5 million, but remained 60% above July 2025. India was the largest destination with an 18% share, followed by Vietnam at 12% and Indonesia at 6%.

PP imports show tentative recovery

PP imports increased 16% from June in July but remained 29% below a year earlier. The recovery followed the historic low recorded in May and remained limited. Import value reached $282.1 million, up 12% month on month but down 13% year on year. South Korea supplied 22% of imports, followed by Singapore at 13% and Japan at 12%.

PE imports rebound from multi-year low

China’s PE imports rose 14% month on month in July following three consecutive monthly declines. Despite the recovery, volumes remained 52% below July 2025 after June imports fell to their lowest level since February 2015. Import value increased 11% to $714.1 million but was 39% lower year on year. Saudi Arabia accounted for 18% of imports, followed by the US at 14% and South Korea at 13%.

PE exports fall sharply from spring record

PE exports dropped 45% month on month to around 220,000 tons in July, although they remained 112% above July 2025. Export value fell 47% to $292.7 million but was still 150% higher year on year. The decline extended the retreat from April’s record above 550,000 tons, when Middle Eastern supply disruptions created an exceptional opportunity for Chinese cargoes.

China’s export role continues to expand

While April’s record volumes are unlikely to become the norm, China’s exports have remained significantly above historical levels. As new domestic capacity continues to expand, PE exports could either return toward last year’s typical 80,000–100,000 tons per month or establish a higher baseline near 200,000 tons. July’s data confirm that China has become a more significant force in global PE trade, with the sustainability of these higher export volumes remaining the key question for the rest of 2026.

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