2 July 2026 – A report in The Daily NNA Malaysia Edition, Kyodo News Group (1 July 2026, pages 1-2) highlights severe pressures on the plastic packaging industry driven by the 2026 Middle East conflict.
MPMA notes that PE and PP prices have surged from approximately USD930 to over USD1,500 per tonne, with specialty grades exceeding USD2,000 per tonne. Compounding this, domestic producers hold only about two weeks of feedstock inventory, raising major concerns for supply disruptions over the next 6 to 12 months.
While a few large firms are managing the crisis, MPMA emphasizes that the situation remains a heavy burden for the broader industry. SMEs are particularly vulnerable, struggling with tight cash flow, rising raw material costs, and intense competition from low-cost imports. These ongoing disruptions also threaten critical downstream sectors, including medical devices, E&E, automotive, and food packaging.