The Middle East polyurethane market remains in an extremely tight and uncertain state, with supply conditions showing little real improvement despite short-lived developments around the Strait of Hormuz.
On April 17, the strait was briefly declared open, triggering initial expectations of supply recovery. However, the situation reversed within 24 hours, with renewed tensions and vessel incidents effectively halting normal shipping activity again. As a result, confidence in logistics has not been restored, and material flows into the region remain severely restricted.
Market feedback indicates that local producers such as Sadara remain offline, with no clear timeline for restart. While expectations are building that Sabic may resume offers in the near term, supply visibility remains low, and imports continue to face logistical constraints.
Indicative Middle East PU Market Prices (Trader Levels, USD/tonne)
As illustrated above, indicative trader prices have risen sharply due to extreme supply shortages, with MDI around USD 3,500/tonne, TDI near USD 4,500/tonne, and polyols at approximately USD 3,000/tonne. However, these levels should be interpreted with caution, as they are based on very limited volumes and do not fully reflect actual market fundamentals or demand conditions.
Overall, the market remains largely frozen, with activity constrained by severe supply shortages and ongoing uncertainty. Any meaningful recovery will depend not only on the physical reopening of trade routes, but also on the restoration of confidence in logistics and the return of stable supply flows.