Current situation:

  • Producer prices for HDPE pipe were up 1.0% M/M (up .2% last month) and were up .4% Y/Y (down 1.2% Y/Y last month).  Plastic pipe fittings and unions were up 2.4% M/M (down .1% last month) and up 8.0% Y/Y (up 5.7% last month).
  • The HDPE industry is still expected to grow at a 3.8% CAGR from 2019-2024 according to Lucintel.


Key factors that could affect supply or price:

  • Although the $.02/lb resin increase went through in June, pipe producers in both the plumbing and underground segments have not been able to sustain any price increases.  There is speculation that resin pricing could retreat by September but many producers are expecting big months in September and October so pricing probably won’t move until November, bottom-line producers are expecting prices to remain stagnant over the next 30 - 60 days.  However, there are parts of the country (South) where pricing has been very aggressive and could move lower.