Materials and routes

Follow each resin from resource to saleable grade.

Select a resin to see its feedstocks, intermediates, conversion route, grades and regional cost exposure. This is the engineering map a buyer needs before comparing supplier prices.

Choose a material

Polyolefin

PP

Propane / naphtha / refinery feed→Propylene→Addition polymerization→PP resin

What goes in

Propylene; comonomer for random/impact grades; catalyst; stabilizers

What moves cost

Propane or naphtha/FCC economics, propylene balance, utilization, grade and additives

Grades are not interchangeable

Homopolymer, random copolymer, impact copolymer, compounded PP

Process-to-price guide

How this resin connects to energy and feedstocks

Production routePropane/PDH, refinery FCC, or naphtha-cracker propylene

Relationship to crudeDirect for PDH propane; indirect for naphtha/FCC

Where price is absorbed or amplifiedPropylene balance, co-products, polymerization, grade and contract lag

Buyer interpretationAsk which propylene route and benchmark the supplier actually uses.

Raw-material cost contribution

How to turn process quantities into a cost basket

1.015 t means the base case allows 1.5% for saleable-yield loss. It is not a price range.

Calculation: Propylene cost contribution = 1.015 × current propylene reference price.

Intermediate	Base quantity per 1 t resin	Cost contribution
Propylene	1.015 t	1.015 × current comparable Propylene price

Verified intermediate reference

Complete mapped base-input basket

Intermediate	Base quantity	Census trade unit value	Weighted contribution	Period and classification
Propylene	1.0 t	$1039.4/t	$1055.0/t resin	2026-06 · HTS 2901220000
Reference raw-material basket			$1055.0/t resin	DERIVED

Reference only: broad Census general-import customs unit values, not domestic spot prices or supplier quotations. A small trade quantity can make a unit value unrepresentative; conversion, additives, loss, freight and margin are not included.

WTI → PP observed direction check

Compare direction and possible commercial timing.

WTI, July 2025 to June 202624.0%

PP import unit value, same window+1.5%

InterpretationTest same-month, +1 and +2 month views

WTI same month (index labels above)PP observed (index labels below)PP shifted +1 monthPP shifted +2 months

Exploratory timing view: shifted lines help inspect whether inventory, transport or contract timing could delay an observed relationship. They do not prove lag, causation or a pass-through rate.

Show monthly values

Month	WTI observed	WTI index	PP trade unit value	PP index
2025-07	$68.4/bbl	100.0	$1113.3/t	100.0
2025-08	$64.9/bbl	94.8	$1056.5/t	94.9
2025-09	$64.0/bbl	93.5	$1010.9/t	90.8
2025-10	$60.9/bbl	89.0	$978.5/t	87.9
2025-11	$60.1/bbl	87.8	$1083.7/t	97.3
2025-12	$58.0/bbl	84.8	$1146.8/t	103.0
2026-01	$60.0/bbl	87.8	$1007.1/t	90.5
2026-02	$64.5/bbl	94.3	$1005.5/t	90.3
2026-03	$91.4/bbl	133.6	$978.2/t	87.9
2026-04	$100.3/bbl	146.7	$1016.5/t	91.3
2026-05	$102.1/bbl	149.3	$1031.8/t	92.7
2026-06	$84.8/bbl	124.0	$1129.7/t	101.5

WTI / Brent→refinery + naphtha / propane economics→propylene route and margin→PP contract / spot / import mix

How to read this: both indices start at 100 in July 2025. The comparison describes observed paths and exploratory offsets; it does not establish causation or a price formula.

Buyer negotiation structure · illustrative

Separate the technical floor from supplier-specific leverage.

Low $1654.3/tBase $1973.4/tHigh $2292.6/t

Broad import cross-check: $1129.7/t · below the illustrative range — revise the cost basis or assumptions before treating the low case as a floor

Raw basket $1055.0/tPolymerization, conversion and finishing $200–300/tAdditives/packaging $100–300/tLogistics/service $200–500/t6% selling-price margin

Negotiation leverage: throughput, utilization, equipment depreciation, energy, labor, yield, overhead allocation, grade complexity, freight and service boundary can move a supplier within the range. Integration can lower transfer cost but higher allocated overhead can offset it; a specialist compounder may compete through utilization and leaner indirect cost.

Bottom-up calculation logic

Depreciation/kg = equipment CAPEX ÷ useful life ÷ annual saleable kg. Conversion/kg adds labor, energy, maintenance, indirect overhead, packaging and yield loss. Reference selling price = pre-margin cost ÷ (1 − 6%).

Worked reference: the cost blocks demonstrate negotiation arithmetic and are not an observed industry average or supplier quote.

Broad U.S. import unit-value cross-check$1130/t2026-06 · HTS 3902100000 · not a domestic market or supplier price

Engineering quantity range

Low, base and high values show how formulation, conversion and saleable-yield conditions can change material demand. They are quantities per tonne of output, not resin prices or predicted market ranges.

Intermediate input (t/t product)	Low	Base	High
Propylene	1.005	1.015	1.030

Calculation basis: 1.000 t saleable PP. Use the base case as the comparison midpoint and replace it when a supplier provides a route- and grade-specific material balance.

Regional route lens

U.S.: PDH and refinery propylene are important because ethane crackers make little propylene.
Europe: naphtha cracking creates a broad co-product slate; allocation and energy matter.
Asia: naphtha, refinery and PDH routes coexist; country and route must be identified.

ENGINEERING REFERENCE: use these values to understand calculation structure; actual recipes, yields and plant economics vary.

Polyolefin

PE

Ethane / LPG / naphtha→Ethylene→Grade-specific polymerization→PE resin

What goes in

Ethylene; alpha-olefin comonomer where applicable; catalyst; stabilizers

What moves cost

Ethane/naphtha spread, ethylene yield, pressure/process technology and grade density

Grades are not interchangeable

LDPE, LLDPE, HDPE

Process-to-price guide

How this resin connects to energy and feedstocks

Production routeEthane, LPG or naphtha → ethylene → PE

Relationship to crudeWeak-to-moderate for U.S. ethane; stronger but buffered for naphtha

Where price is absorbed or amplifiedEthylene yield, co-products, comonomer, density grade and operating rate

Buyer interpretationDo not apply crude equally to ethane-based and naphtha-based PE.

Raw-material cost contribution

How to turn process quantities into a cost basket

1.015 t means the base case allows 1.5% for saleable-yield loss. Comonomer must be added for the selected PE grade.

Calculation: Ethylene cost contribution = 1.015 × current ethylene reference price, plus grade-specific comonomer.

Intermediate	Base quantity per 1 t resin	Cost contribution
Ethylene	1.015 t	1.015 × current comparable Ethylene price

Buyer negotiation structure

Complete the intermediate basket before calculating a price floor.

Missing feedstock evidence is never treated as zero. The bottom-up equipment and commercial structure remains visible for later evidence.

Numeric market cross-checkIntermediate benchmark connection requiredNo resin price is inferred from mass balance alone.

Engineering quantity range

Intermediate input (t/t product)	Low	Base	High
Ethylene	1.005	1.015	1.030

Calculation basis: 1.000 t saleable PE. Use the base case as the comparison midpoint and replace it when a supplier provides a route- and grade-specific material balance.

Regional route lens

U.S.: shale-derived ethane gives high ethylene yield and gas-linked exposure.
Europe: naphtha-linked crackers share economics across ethylene, propylene, C4s and aromatics.
Asia: feed and integration vary by country; freight and operating rate can dominate imports.

ENGINEERING REFERENCE: use these values to understand calculation structure; actual recipes, yields and plant economics vary.

Styrenic engineering resin

ABS

Propylene + ammonia / C4 / benzene + ethylene→Acrylonitrile + butadiene + styrene→SAN + rubber grafting or mass process→ABS resin

What goes in

Acrylonitrile, butadiene, styrene; rubber phase; additives

What moves cost

Three-monomer basket, rubber content, styrene chain, energy and grade formulation

Grades are not interchangeable

General purpose, high impact, heat resistant, plated grades

Process-to-price guide

How this resin connects to energy and feedstocks

Production routeAcrylonitrile + butadiene + styrene → ABS

Relationship to crudeIndirect through three different chains

Where price is absorbed or amplifiedPropylene/ammonia affects ACN; C4 affects butadiene; benzene/ethylene affects styrene

Buyer interpretationRequest the monomer basket and grade composition; one crude coefficient is inadequate.

Raw-material cost contribution

How to turn process quantities into a cost basket

The base case is a 22% acrylonitrile, 18% butadiene and 60% styrene monomer basket before minor additives.

Calculation: Monomer basket = 0.22 × ACN price + 0.18 × butadiene price + 0.60 × styrene price.

Intermediate	Base quantity per 1 t resin	Cost contribution
Acrylonitrile	0.220 t	0.220 × current comparable Acrylonitrile price
Butadiene	0.180 t	0.180 × current comparable Butadiene price
Styrene	0.600 t	0.600 × current comparable Styrene price

Worked ABS reference example

So what does the A + B + S basket equal?

Intermediate	Base share	Census trade unit value	Weighted contribution	Period and classification
Acrylonitrile	22.00%	$1200.7/t	$264.2/t ABS	2026-05 · HTS 2926100000
Butadiene	18.00%	$1490.9/t	$268.4/t ABS	2026-06 · HTS 2901241000
Styrene	60.00%	$985.5/t	$591.3/t ABS	2026-06 · HTS 2902500000
Reference monomer basket			$1123.8/t ABS	DERIVED

Reference only: this mixed-month basket is not an observed ABS market price or a plant should-cost. The next section shows how a buyer can structure the supplier-specific conversion and commercial range.

Buyer negotiation structure · illustrative

Separate the technical floor from supplier-specific leverage.

Low $1727.5/tBase $2046.6/tHigh $2365.8/t

Broad import cross-check: $2497.0/t · above the illustrative range — test grade, conversion, service, margin and market-balance premiums

Raw basket $1123.8/tPolymerization, conversion and finishing $200–300/tAdditives/packaging $100–300/tLogistics/service $200–500/t6% selling-price margin

Bottom-up calculation logic

Worked reference: the cost blocks demonstrate negotiation arithmetic and are not an observed industry average or supplier quote.

Broad U.S. import unit-value cross-check$2497/t2026-06 · HTS 3903300000 · not a domestic market or supplier price

Engineering quantity range

Intermediate input (t/t product)	Low	Base	High
Acrylonitrile	0.150	0.220	0.300
Butadiene	0.100	0.180	0.250
Styrene	0.750	0.600	0.450

Calculation basis: 1.000 t ABS before minor additives. Use the base case as the comparison midpoint and replace it when a supplier provides a route- and grade-specific material balance.

Regional route lens

U.S.: benzene/ethylene, refinery-C4 and propylene chains may move differently.
Europe: energy and imported feedstock exposure can widen conversion cost.
Asia: integrated styrenics capacity and trade flows can change regional premiums.

ENGINEERING REFERENCE: use these values to understand calculation structure; actual recipes, yields and plant economics vary.

Engineering resin

PC

Benzene + propylene→Phenol + acetone → bisphenol A→Phosgene or melt carbonate route→PC resin

What goes in

Bisphenol A; phosgene or diphenyl carbonate; utilities; additives

What moves cost

Phenol/acetone balance, BPA conversion, route, optical/viscosity grade and energy

Grades are not interchangeable

General purpose, optical, flame-retardant, PC/ABS blends

Process-to-price guide

How this resin connects to energy and feedstocks

Production routeBenzene + propylene → phenol/acetone → BPA → PC

Relationship to crudeIndirect through cumene/BPA

Where price is absorbed or amplifiedBenzene, propylene, BPA balance, carbonate route, energy and grade

Buyer interpretationCompare BPA and conversion conditions before attributing a PC change to oil.

Raw-material cost contribution

How to turn process quantities into a cost basket

The BPA factor comes from polymer chemistry; the carbonate-route input still depends on the selected production route.

Calculation: Raw-material contribution requires comparable BPA and route-specific carbonate input prices.

Intermediate	Base quantity per 1 t resin	Cost contribution
Bisphenol A	0.898 t	0.898 × current comparable Bisphenol A price
Carbonate-route reactant	Route-dependent; not quantified	No calculation until a route-specific factor is approved

Verified intermediate reference

Mapped portion of the base-input basket

Intermediate	Base quantity	Census trade unit value	Weighted contribution	Period and classification
Bisphenol A	0.9 t	$1718.9/t	$1543.6/t resin	2026-06 · HTS 2907230000
Verified subtotal only			$1543.6/t resin	PARTIAL — missing inputs excluded

Buyer negotiation structure

Complete the intermediate basket before calculating a price floor.

Missing feedstock evidence is never treated as zero. The bottom-up equipment and commercial structure remains visible for later evidence.

Broad U.S. import unit-value cross-check$3690/t2026-06 · HTS 3907400000 · not a domestic market or supplier price

Engineering quantity range

Intermediate input (t/t product)	Low	Base	High
Bisphenol A	0.898	0.898	0.898
Carbonate-route reactant	ROUTE	ROUTE	ROUTE

Calculation basis: 1.000 t PC repeat units. Use the base case as the comparison midpoint and replace it when a supplier provides a route- and grade-specific material balance.

Regional route lens

U.S.: benzene and propylene chains feed the cumene/BPA route.
Europe: energy and chemical regulation affect conversion and grade costs.
Asia: major integrated PC/BPA capacity and trade cycles influence premiums.

ENGINEERING REFERENCE: use these values to understand calculation structure; actual recipes, yields and plant economics vary.

Engineering polyester

PBT

p-Xylene chain + C4/acetylene chain→PTA or DMT + 1,4-butanediol→Polycondensation→PBT resin

What goes in

PTA or DMT, 1,4-butanediol, catalyst, heat and vacuum

What moves cost

Aromatics, BDO route, esterification/polycondensation energy and reinforcement

Grades are not interchangeable

Unfilled, glass-filled, flame-retardant, impact-modified

Process-to-price guide

How this resin connects to energy and feedstocks

Production routePTA or DMT + 1,4-BDO → PBT

Relationship to crudeAromatics leg is oil-linked; BDO has a separate route

Where price is absorbed or amplifiedPX/PTA, BDO, energy, glass fiber and flame retardant

Buyer interpretationSeparate neat PBT from reinforced compound and identify PTA versus DMT.

Raw-material cost contribution

How to turn process quantities into a cost basket

The PTA and BDO quantities are stoichiometric inputs; removed reaction products explain why input mass exceeds finished polymer mass.

Calculation: Monomer basket = 0.754 × PTA price + 0.409 × BDO price.

Intermediate	Base quantity per 1 t resin	Cost contribution
PTA	0.754 t	0.754 × current comparable PTA price
1,4-butanediol	0.409 t	0.409 × current comparable 1,4-butanediol price

Verified intermediate reference

Mapped portion of the base-input basket

Intermediate	Base quantity	Census trade unit value	Weighted contribution	Period and classification
PTA	0.8 t	$1311.5/t	$988.9/t resin	2026-06 · HTS 2917360000
Verified subtotal only			$988.9/t resin	PARTIAL — missing inputs excluded

Buyer negotiation structure

Complete the intermediate basket before calculating a price floor.

Missing feedstock evidence is never treated as zero. The bottom-up equipment and commercial structure remains visible for later evidence.

Numeric market cross-checkIntermediate benchmark connection requiredNo resin price is inferred from mass balance alone.

Engineering quantity range

Intermediate input (t/t product)	Low	Base	High
PTA	0.754	0.754	0.754
1,4-butanediol	0.409	0.409	0.409

Calculation basis: 1.000 t PBT repeat units. Use the base case as the comparison midpoint and replace it when a supplier provides a route- and grade-specific material balance.

Regional route lens

U.S.: aromatics and BDO supply are separate negotiation signals.
Europe: energy-intensive finishing and specialty grades can add conversion exposure.
Asia: large polyester chains can help PTA integration, while BDO remains distinct.

ENGINEERING REFERENCE: use these values to understand calculation structure; actual recipes, yields and plant economics vary.

Polyester

PET

p-Xylene + ethylene→PTA + monoethylene glycol→Melt and optional solid-state polymerization→PET resin

What goes in

PTA, MEG, catalyst; solid-state energy for bottle grade

What moves cost

PX/PTA, ethylene/MEG, intrinsic viscosity, solid-state finishing and freight

Grades are not interchangeable

Bottle, fiber, film, amorphous sheet

Process-to-price guide

How this resin connects to energy and feedstocks

Production routePX → PTA plus ethylene → MEG → PET

Relationship to crudeTwo buffered oil-linked chains

Where price is absorbed or amplifiedPTA/MEG basket, solid-state finishing, IV, recycled content and freight

Buyer interpretationUse the same grade and compare both PTA and MEG periods.

Raw-material cost contribution

How to turn process quantities into a cost basket

The PTA and MEG quantities are stoichiometric inputs; water removal means their combined input mass exceeds finished PET mass.

Calculation: Monomer basket = 0.865 × PTA price + 0.323 × MEG price.

Intermediate	Base quantity per 1 t resin	Cost contribution
PTA	0.865 t	0.865 × current comparable PTA price
Monoethylene glycol	0.323 t	0.323 × current comparable Monoethylene glycol price

Verified intermediate reference

Complete mapped base-input basket

Intermediate	Base quantity	Census trade unit value	Weighted contribution	Period and classification
PTA	0.9 t	$1311.5/t	$1134.5/t resin	2026-06 · HTS 2917360000
Monoethylene glycol	0.3 t	$406.4/t	$131.3/t resin	2026-06 · HTS 2905310000
Reference raw-material basket			$1265.8/t resin	DERIVED

Buyer negotiation structure · illustrative

Separate the technical floor from supplier-specific leverage.

Low $1878.5/tBase $2197.6/tHigh $2516.8/t

Raw basket $1265.8/tPolymerization, conversion and finishing $200–300/tAdditives/packaging $100–300/tLogistics/service $200–500/t6% selling-price margin

Bottom-up calculation logic

Worked reference: the cost blocks demonstrate negotiation arithmetic and are not an observed industry average or supplier quote.

Numeric market cross-checkIntermediate benchmark connection requiredNo resin price is inferred from mass balance alone.

Engineering quantity range

Intermediate input (t/t product)	Low	Base	High
PTA	0.865	0.865	0.865
Monoethylene glycol	0.323	0.323	0.323

Calculation basis: 1.000 t PET repeat units. Use the base case as the comparison midpoint and replace it when a supplier provides a route- and grade-specific material balance.

Regional route lens

U.S.: PTA and MEG are the primary monomer-chain signals.
Europe: energy and recycled-content requirements can alter the grade comparison.
Asia: integrated PX/PTA/polyester capacity strongly affects export parity.

ENGINEERING REFERENCE: use these values to understand calculation structure; actual recipes, yields and plant economics vary.

Polyamide

PA6

Benzene / cyclohexane→Cyclohexanone oxime → caprolactam→Ring-opening polymerization→PA6 resin

What goes in

Caprolactam, catalyst/regulator, heat, drying and compounding inputs

What moves cost

Benzene/cyclohexane, caprolactam balance, energy, moisture control and reinforcement

Grades are not interchangeable

Unfilled, glass-filled, impact-modified, flame-retardant

Process-to-price guide

How this resin connects to energy and feedstocks

Production routeBenzene/cyclohexane → caprolactam → PA6

Relationship to crudeIndirect through caprolactam

Where price is absorbed or amplifiedCaprolactam balance, energy, extraction/drying and reinforcement

Buyer interpretationCaprolactam is the closer signal; crude misses intermediate tightness.

Raw-material cost contribution

How to turn process quantities into a cost basket

Caprolactam opens and becomes the PA6 chain, so its price is the nearest raw-material signal before process loss and conversion.

Calculation: Raw-material contribution = 1.000 × caprolactam price, adjusted only when a route-specific saleable-yield factor is documented.

Intermediate	Base quantity per 1 t resin	Cost contribution
Caprolactam	1.000 t	1.000 × current comparable Caprolactam price

Verified intermediate reference

Complete mapped base-input basket

Intermediate	Base quantity	Census trade unit value	Weighted contribution	Period and classification
Caprolactam	1 t	$3957.9/t	$3957.9/t resin	2026-06 · HTS 2933710000
Reference raw-material basket			$3957.9/t resin	DERIVED

Buyer negotiation structure · illustrative

Separate the technical floor from supplier-specific leverage.

Low $4742.4/tBase $5061.6/tHigh $5380.7/t

Raw basket $3957.9/tPolymerization, conversion and finishing $200–300/tAdditives/packaging $100–300/tLogistics/service $200–500/t6% selling-price margin

Bottom-up calculation logic

Worked reference: the cost blocks demonstrate negotiation arithmetic and are not an observed industry average or supplier quote.

Numeric market cross-checkIntermediate benchmark connection requiredNo resin price is inferred from mass balance alone.

Engineering quantity range

Intermediate input (t/t product)	Low	Base	High
Caprolactam	1.000	1.000	1.000

Calculation basis: 1.000 t PA6 repeat units. Use the base case as the comparison midpoint and replace it when a supplier provides a route- and grade-specific material balance.

Regional route lens

U.S.: benzene and regional caprolactam availability frame the chain.
Europe: energy, emissions controls and compounding intensity matter.
Asia: caprolactam capacity and fiber demand can change resin availability.

ENGINEERING REFERENCE: use these values to understand calculation structure; actual recipes, yields and plant economics vary.

Polyamide

PA66

Cyclohexane chain + butadiene chain→Adipic acid + hexamethylene diamine→Nylon salt + polycondensation→PA66 resin

What goes in

Adipic acid, HMDA, heat, water removal and compound ingredients

What moves cost

Two intermediate chains, nylon-salt balance, energy, yield and glass-fiber loading

Grades are not interchangeable

Unfilled, glass-filled, heat-stabilized, flame-retardant

Process-to-price guide

How this resin connects to energy and feedstocks

Production routeAdipic acid + HMDA → nylon salt → PA66

Relationship to crudeIndirect through two constrained intermediate chains

Where price is absorbed or amplifiedAdipic acid, HMDA, salt balance, energy and glass fiber

Buyer interpretationAsk which intermediate moved; PA66 can rise when crude is flat.

Raw-material cost contribution

How to turn process quantities into a cost basket

Adipic acid and HMDA form nylon salt; water removal explains why their combined input mass exceeds finished PA66 mass.

Calculation: Monomer basket = 0.646 × adipic-acid price + 0.513 × HMDA price.

Intermediate	Base quantity per 1 t resin	Cost contribution
Adipic acid	0.646 t	0.646 × current comparable Adipic acid price
Hexamethylene diamine	0.513 t	0.513 × current comparable Hexamethylene diamine price

Verified intermediate reference

Complete mapped base-input basket

Intermediate	Base quantity	Census trade unit value	Weighted contribution	Period and classification
Adipic acid	0.6 t	$1824.7/t	$1178.8/t resin	2026-06 · HTS 2917121000
Hexamethylene diamine	0.5 t	$11742.2/t	$6023.7/t resin	2026-06 · HTS 2921225000
Reference raw-material basket			$7202.5/t resin	DERIVED

Buyer negotiation structure · illustrative

Separate the technical floor from supplier-specific leverage.

Low $8194.1/tBase $8513.3/tHigh $8832.4/t

Raw basket $7202.5/tPolymerization, conversion and finishing $200–300/tAdditives/packaging $100–300/tLogistics/service $200–500/t6% selling-price margin

Bottom-up calculation logic

Worked reference: the cost blocks demonstrate negotiation arithmetic and are not an observed industry average or supplier quote.

Numeric market cross-checkIntermediate benchmark connection requiredNo resin price is inferred from mass balance alone.

Engineering quantity range

Intermediate input (t/t product)	Low	Base	High
Adipic acid	0.646	0.646	0.646
Hexamethylene diamine	0.513	0.513	0.513

Calculation basis: 1.000 t PA66 repeat units. Use the base case as the comparison midpoint and replace it when a supplier provides a route- and grade-specific material balance.

Regional route lens

U.S.: adipic acid and HMDA constraints must be checked separately.
Europe: conversion energy and environmental controls influence the chain.
Asia: intermediate integration and import dependence vary substantially by country.

ENGINEERING REFERENCE: use these values to understand calculation structure; actual recipes, yields and plant economics vary.

Styrenic

PS

Benzene + ethylene→Ethylbenzene → styrene→Mass/suspension polymerization→PS resin

What goes in

Styrene; rubber for HIPS; blowing agent for EPS; additives

What moves cost

Benzene, ethylene, styrene conversion, rubber or pentane content and grade

Grades are not interchangeable

GPPS, HIPS, EPS

Process-to-price guide

How this resin connects to energy and feedstocks

Production routeBenzene + ethylene → styrene → PS

Relationship to crudeIndirect but visible through styrene

Where price is absorbed or amplifiedStyrene margin, rubber for HIPS, pentane for EPS and operating rates

Buyer interpretationMatch GPPS/HIPS/EPS and use styrene as the nearer signal.

Raw-material cost contribution

How to turn process quantities into a cost basket

1.015 t is the base saleable-yield allowance for GPPS. HIPS and EPS require additional rubber or blowing-agent inputs.

Calculation: GPPS styrene contribution = 1.015 × styrene price; HIPS/EPS need grade-specific additions.

Intermediate	Base quantity per 1 t resin	Cost contribution
Styrene	1.015 t	1.015 × current comparable Styrene price

Verified intermediate reference

Complete mapped base-input basket

Intermediate	Base quantity	Census trade unit value	Weighted contribution	Period and classification
Styrene	1.0 t	$985.5/t	$1000.3/t resin	2026-06 · HTS 2902500000
Reference raw-material basket			$1000.3/t resin	DERIVED

Buyer negotiation structure · illustrative

Separate the technical floor from supplier-specific leverage.

Low $1596.0/tBase $1915.2/tHigh $2234.3/t

Raw basket $1000.3/tPolymerization, conversion and finishing $200–300/tAdditives/packaging $100–300/tLogistics/service $200–500/t6% selling-price margin

Bottom-up calculation logic

Worked reference: the cost blocks demonstrate negotiation arithmetic and are not an observed industry average or supplier quote.

Numeric market cross-checkIntermediate benchmark connection requiredNo resin price is inferred from mass balance alone.

Engineering quantity range

Intermediate input (t/t product)	Low	Base	High
Styrene	1.005	1.015	1.030

Calculation basis: 1.000 t GPPS. Use the base case as the comparison midpoint and replace it when a supplier provides a route- and grade-specific material balance.

Regional route lens

U.S.: benzene and ethylene jointly drive the styrene chain.
Europe: energy and regional styrene operating rates affect conversion margin.
Asia: styrene trade balance and integrated aromatics capacity matter.

ENGINEERING REFERENCE: use these values to understand calculation structure; actual recipes, yields and plant economics vary.

Acrylic

PMMA

Acetone + HCN or alternative C4 route→Methyl methacrylate→Bulk/suspension polymerization→PMMA resin

What goes in

MMA, initiator, heat; optical and impact modifiers by grade

What moves cost

MMA route and balance, acetone/C4 inputs, optical quality and conversion

Grades are not interchangeable

General purpose, optical, impact-modified, sheet/extrusion

Process-to-price guide

How this resin connects to energy and feedstocks

Production routeAcetone/HCN or C4 route → MMA → PMMA

Relationship to crudeRoute-dependent and indirect

Where price is absorbed or amplifiedMMA route/balance, optical quality, modifiers and conversion

Buyer interpretationIdentify MMA route and grade; acetone alone cannot represent every producer.

Raw-material cost contribution

How to turn process quantities into a cost basket

1.015 t is the base saleable-yield allowance from MMA to saleable PMMA, not an uncertainty band.

Calculation: MMA contribution = 1.015 × current MMA reference price.

Intermediate	Base quantity per 1 t resin	Cost contribution
Methyl methacrylate	1.015 t	1.015 × current comparable Methyl methacrylate price

Buyer negotiation structure

Complete the intermediate basket before calculating a price floor.

Missing feedstock evidence is never treated as zero. The bottom-up equipment and commercial structure remains visible for later evidence.

Broad U.S. import unit-value cross-check$4842/t2026-06 · HTS 3906100000 · not a domestic market or supplier price

Engineering quantity range

Intermediate input (t/t product)	Low	Base	High
Methyl methacrylate	1.005	1.015	1.030

Calculation basis: 1.000 t PMMA. Use the base case as the comparison midpoint and replace it when a supplier provides a route- and grade-specific material balance.

Regional route lens

U.S.: acetone and MMA availability are more direct signals than crude alone.
Europe: specialty quality and energy can dominate conversion premiums.
Asia: MMA integration and electronics demand can change regional spreads.

ENGINEERING REFERENCE: use these values to understand calculation structure; actual recipes, yields and plant economics vary.

Vinyl

PVC

Ethylene + salt/electricity→EDC → VCM→Suspension/emulsion/bulk polymerization→PVC resin

What goes in

VCM, initiator; chlorine chain; stabilizer/plasticizer for finished compounds

What moves cost

Ethylene, chlorine/electricity, VCM balance, process and formulation

Grades are not interchangeable

Suspension, emulsion/paste, rigid compound, flexible compound

Process-to-price guide

How this resin connects to energy and feedstocks

Production routeEthylene + chlorine → EDC/VCM → PVC; some capacity uses acetylene

Relationship to crudePartial oil linkage plus electricity/salt, or coal/acetylene

Where price is absorbed or amplifiedEthylene, chlor-alkali electricity, VCM, plasticizer and formulation

Buyer interpretationSeparate resin from compound and name ethylene versus acetylene route.

Raw-material cost contribution

How to turn process quantities into a cost basket

1.015 t is the base saleable-yield allowance from VCM to suspension PVC; compound ingredients are separate.

Calculation: PVC-resin contribution = 1.015 × VCM price; flexible compound also requires plasticizer and additives.

Intermediate	Base quantity per 1 t resin	Cost contribution
Vinyl chloride monomer	1.015 t	1.015 × current comparable Vinyl chloride monomer price

Buyer negotiation structure

Complete the intermediate basket before calculating a price floor.

Missing feedstock evidence is never treated as zero. The bottom-up equipment and commercial structure remains visible for later evidence.

Broad U.S. import unit-value cross-check$1289/t2026-06 · HTS 3904100000 · not a domestic market or supplier price

Engineering quantity range

Intermediate input (t/t product)	Low	Base	High
Vinyl chloride monomer	1.005	1.015	1.030

Calculation basis: 1.000 t suspension PVC. Use the base case as the comparison midpoint and replace it when a supplier provides a route- and grade-specific material balance.

Regional route lens

U.S.: ethane-derived ethylene and chlor-alkali economics interact.
Europe: electricity and chlorine-chain conditions are especially important.
Asia: coal/acetylene and ethylene routes may coexist; route identification is essential.

ENGINEERING REFERENCE: use these values to understand calculation structure; actual recipes, yields and plant economics vary.

Formulated materials

Compounds

Base resin→Elastomer + filler/fiber + additives→Drying, mixing and twin-screw extrusion→Pelletized compound

What goes in

Base resin, rubber, talc/CaCO3/glass fiber, stabilizers, pigments

What moves cost

Formula mass fractions, raw-material prices, loss, throughput, energy and testing

Grades are not interchangeable

TPO, glass-filled PP/PA/PBT, PC/ABS, flame-retardant and color compounds

Process-to-price guide

How this resin connects to energy and feedstocks

Production routeBase resin + rubber/filler/fiber/additives → compound

Relationship to crudeInherited from the weighted formulation

Where price is absorbed or amplifiedRecipe fractions, glass/talc/rubber, additives, loss, throughput and testing

Buyer interpretationObtain a comparable formulation and specification before comparing.

Raw-material cost contribution

How to turn process quantities into a cost basket

The base case is a formulation example, not a universal recipe. The actual specification determines every purchased-material share and the separate saleable-yield loss.

Calculation: Purchased-material basket = sum of each verified recipe fraction × its comparable current input price; process loss is applied separately to saleable yield.

Intermediate	Base quantity per 1 t resin	Cost contribution
Base resin	0.750 t	0.750 × current comparable Base resin price
Filler / fiber / elastomer	0.230 t	0.230 × current comparable Filler / fiber / elastomer price
Minor additives + loss allowance	2.0% combined formulation/loss allowance	No direct price multiplication; separate purchased additives from process loss

Buyer negotiation structure

Complete the intermediate basket before calculating a price floor.

Missing feedstock evidence is never treated as zero. The bottom-up equipment and commercial structure remains visible for later evidence.

Compounding conversion economics

Convert an installed line into a transparent cost per kilogram.

Raw resin, filler, fiber and additives remain a separate material basket. The conversion charge below explains what happens after those materials reach the compounder.

Single-screw line

Best suited to stable melting, conveying and less demanding mixing. A manufacturer currently advertises new machines from $15,000 to $120,000 across 50–500+ kg/h categories.

Lower equipment complexity; verify whether the recipe can meet dispersion and venting requirements.

Co-rotating twin-screw line

Common for reinforced, filled and multi-additive compounds because screw elements, side feeding and venting provide stronger distributive and dispersive mixing. A manufacturer advertises standard compounding models from $15,000 to $120,000 and a broader mainstream range of $20,000 to $110,000.

Quote must include screw diameter, L/D, torque, feeders, venting, pelletizer, controls and wear package.

Worked $100,000 equipment example

Cost step	Illustrative input	Calculation	Output
Equipment purchase	$100,000	Worked example input	$100,000
Installation and commissioning allowance	25%	$100,000 × 25%	$25,000
Installed cost basis	Equipment + allowance	$100,000 + $25,000	$125,000
Annual saleable output	500 kg/h · 4,000 h/year · 70% utilization · 98% yield	500 × 4,000 × 70% × 98%	1,372,000 kg/year
Straight-line equipment recovery	7-year managerial example	$125,000 ÷ 7 ÷ 1,372,000	1.3¢/kg

Equipment recovery 1.3¢/kgEnergy 3.0¢/kgDirect labor 8.0¢/kgMaintenance and wear 2.0¢/kgQA and indirect overhead 7.0¢/kgChangeover, yield and packaging 3.0¢/kgIllustrative conversion cost: 24.3¢/kg

Buyer equation: compound reference cost ($/kg) = verified material basket ($/kg) + conversion cost ($/kg) + freight/service boundary + margin. Compare a supplier quote against each visible block; do not add a generic conversion charge to an invoice that already embeds it.

Illustrative scope—not an industry average. The $100,000 equipment value is a worked example. The 25% installation allowance, production schedule, utilization, yield and operating-cost blocks demonstrate the arithmetic and should be replaced with a comparable supplier quote or plant basis. Installation can also require freight, duty, foundations, electrical service, cooling, feeders, pelletizing, commissioning, spares and building work.

Evidence, price anchors and accounting boundary

Manufacturer-advertised single-screw ranges (opens in a new tab) and manufacturer-advertised twin-screw ranges (opens in a new tab) are vendor references, not neutral market averages or installed quotations.
USEON engineering-plastics compounding specifications (opens in a new tab) show how output changes by machine size and configuration.
IRS Publication 946 (opens in a new tab) provides tax-recovery classifications. A tax recovery period is not automatically the managerial useful life or economic-cost basis used in a negotiation model.
U.S. DOE plastics and rubber bandwidth study (opens in a new tab) supports treating extrusion and related processing energy as a separate conversion input; it does not establish this example's equipment or operating cost.

Numeric market cross-checkIntermediate benchmark connection requiredNo resin price is inferred from mass balance alone.

Engineering quantity range

Intermediate input (t/t product)	Low	Base	High
Base resin	0.500	0.750	0.950
Filler / fiber / elastomer	0.480	0.230	0.030
Minor additives + loss allowance	0.020	0.020	0.020

Calculation basis: 1.000 t saleable compound. Use the base case as the comparison midpoint and replace it when a supplier provides a route- and grade-specific material balance.

Regional route lens

All regions: formula and local sourcing usually matter more than a single feedstock index.
Landed cost adds freight, duty and inventory timing to the conversion basis.
Supplier comparison requires the same specification and test basis.

ENGINEERING REFERENCE: use these values to understand calculation structure; actual recipes, yields and plant economics vary.

PP deep dive · Step 1

Crude oil is not a fixed basket of petrochemical products.

Crude assay→Distillation cut points→Refinery conversion→LPG / naphtha / gas oil

Crude quality, refinery configuration, severity, hydrogen balance and fuel-product demand change the recoverable feedstock slate. A universal crude-to-naphtha or crude-to-PP yield is therefore not used.

PP deep dive · Step 2

The feedstock changes the co-product slate.

Typical steam-cracker olefin yields reported by the U.S. Department of Energy (weight percent of feed)
Cracker feed	Ethylene	Propylene	C4 compounds	Commercial meaning
Ethane	76%	3%	2%	Ethylene-oriented; little propylene co-product
Propane	42%	16%	5%	More propylene and C4 exposure
Naphtha	31%	16%	9%	Broad slate; allocation and co-product values matter
Gas oil	23%	14%	9%	Heavier feed and different separation/fuel burden

Source-reported educational reference: U.S. DOE, Energy and Environmental Profile of the U.S. Chemical Industry, Table 3-1 (opens in a new tab). The table is historical and not a current plant guarantee or a closed refinery-to-polymer balance.

PP deep dive · Step 3

The same monomer can carry different cost exposure.

Steam cracker co-productNaphtha / LPG / gas oilCracking + separationPropylene among several productsNeeds an allocation or non-overlapping co-product credit.

Refinery FCC by-productGas oil / residueCatalytic conversionRecovery + purificationYield follows refinery feed, catalyst and fuels-versus-olefins operation.

On-purpose PDHPropaneDehydrogenationPropylene + hydrogenTheoretical minimum: 1.048 kg propane/kg propylene; actual feed is higher.

PP deep dive · Step 4

Polymer chemistry is simple; saleable resin economics are not.

Polymer-grade propylene→Catalyst + reactor→Powder recovery→Stabilization + pelletizing→Saleable PP

Addition polymerization has a theoretical 1:1 monomer/repeat-unit mass identity. Actual fresh monomer per tonne of saleable PP is affected by recycle, purge, off-spec loss, grade change, comonomer, additives and finishing.

United States

Gas and propane exposure can dominate.

Ethane-heavy cracking produces little propylene, so PP supply can depend more on refinery propylene, PDH and contract monomer economics.

Europe

Naphtha and energy matter together.

A broader naphtha-cracker slate makes co-product values and allocation important.

Asia

Country and route must be named.

Naphtha, refinery and PDH routes coexist; one Asia-wide coefficient is not used.

PP deep dive · price transmission

The cracker margin is the short-term shock absorber.

Crude moves→Naphtha usually follows→Olefin and co-product basket adjusts with demand and lag→Resin contracts and spot prices adjust

Gross cracker-margin proxy = weighted value of ethylene + propylene + C4/aromatics co-products − naphtha feed cost − variable conversion cost.

Feed rises faster than productsIllustration: feed +$100/t, product basket +$60/tMargin absorbs −$40/t feed

Feed falls faster than productsIllustration: feed −$100/t, product basket −$60/tMargin recovers +$40/t

This is a price-transmission example, not a claimed industry average. The measurable buffer is the contemporaneous difference between the feed-cost change and weighted product-basket change.

Evidence & further reading

Co-product credits belong in cracker economics

EIA identifies propylene, butadiene, benzene and xylene as the main co-product credits included in ethylene feedstock margins.

U.S. EIA, November 4, 2024

Lower feedstock can widen the processing spread

EIA reports that lower naphtha increased ethylene–naphtha cracking spreads and lower propane increased propylene–propane spreads.

U.S. EIA, January 29, 2015

Product prices and margins do not move identically

BASF reported product prices largely following higher naphtha and butane while European steam-cracker margins also reflected demand and product availability.

BASF Petrochemicals report, 2017

Application limit: these sources establish the mechanism, not a universal percentage, current PP quotation, or plant-specific margin.

Technical basis

PlasticsEurope Eco-profiles (opens in a new tab) documents the named polymer and intermediate process chains. U.S. DOE sources support steam-cracker feed/yield and regional ethane context. These sources support route education, not a current supplier-price claim.