The EPS Price Trend witnessed a significant upward movement across major global markets during Q2 2026. Expandable Polystyrene (EPS), widely used in construction, building insulation, protective packaging, and consumer goods, experienced considerable price increases due to rising raw material costs, geopolitical tensions, and disruptions in international supply chains.
The escalating US-Iran conflict and the closure of the Strait of Hormuz created uncertainty in global energy and petrochemical markets. These developments affected the availability of styrene, one of the major raw materials used in EPS production, while rising crude oil prices pushed manufacturing and transportation expenses higher.
During April and May 2026, higher feedstock costs and increased freight charges placed additional pressure on EPS producers and suppliers. At the same time, demand from construction, insulation, and packaging industries remained firm in several regions.
This combination of higher production costs and restricted supply availability supported the upward movement in global prices. Germany and the Netherlands recorded particularly strong increases, while India experienced the largest quarterly increase among the markets covered in this analysis.
However, market conditions started changing toward the end of the quarter. Following the mid-June ceasefire between the United States and Iran, shipping conditions gradually improved, Chinese export offers became softer, and styrene prices started easing.
As a result, several markets recorded price corrections in June, indicating that the strong upward movement was beginning to lose momentum.
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Global EPS Market Overview During Q2 2026
The global EPS market experienced considerable cost pressure throughout the second quarter of 2026. The conflict involving the United States and Iran affected important shipping routes and created uncertainty around the movement of energy products and petrochemical feedstocks. The closure of the Strait of Hormuz increased concerns about the availability of raw materials and the reliability of international deliveries.
Styrene played an important role in determining EPS production costs during this period. As crude oil prices increased sharply in April and May, the cost of producing petrochemical feedstocks also moved higher. Manufacturers faced additional pressure from rising energy expenses, transportation charges, and limited raw material availability. These factors influenced selling prices across both domestic and export markets.
Demand conditions also contributed to the market movement. EPS is an important material for building insulation because of its lightweight structure and thermal insulation properties. Construction activity and infrastructure development continued to support consumption in several countries. Packaging applications also provided a steady source of demand, particularly for protective packaging used in transportation and consumer products.
The overall market situation remained firm during most of Q2. However, the improvement in shipping conditions after the June ceasefire changed the direction of market sentiment. Lower freight costs and softer styrene values helped reduce the pressure on buyers. This was reflected in the June price corrections across Germany, the Netherlands, China, India, and other major markets.
EPS Prices in Germany
Germany recorded one of the strongest price increases in the European EPS market during Q2 2026. Domestically traded general-grade EPS prices, assessed on an FD Hamburg basis with a bead size of 0.5–1.10, increased by approximately 43% during the quarter.
The main reason behind this increase was the rising cost of styrene and other petrochemical feedstocks. The US-Iran conflict and disruptions around the Strait of Hormuz affected the availability and movement of raw materials. Higher crude oil prices during April and May further increased production expenses for manufacturers.
Demand from the German construction and insulation industries remained strong. EPS continued to find applications in building insulation, wall systems, roofing, and other construction-related products. This steady consumption helped suppliers maintain higher selling prices despite increasing costs for manufacturers and distributors.
Supply conditions were also relatively tight. Limited raw material inflows, elevated energy expenses, and higher logistics costs created additional challenges for market participants. Buyers had to manage higher procurement costs while maintaining regular supplies for their production and construction requirements.
However, the market started showing signs of relief in June. Following the mid-June ceasefire, Chinese export offers and international freight costs began easing. Softer styrene values also reduced some of the pressure on production costs. Consequently, German EPS prices corrected by around 2% in June, indicating a gradual movement toward market stabilization.
EPS Prices in the Netherlands
The Netherlands experienced a similar market situation, with domestic general-grade EPS prices increasing by approximately 42% during Q2 2026. Prices were assessed on an FD Amsterdam basis for material with a bead size of 0.5–1.10.
The upward movement was mainly supported by higher feedstock costs, restricted raw material availability, and rising transportation expenses. The geopolitical situation surrounding the United States and Iran affected international trade flows, creating uncertainty in the supply of petrochemical materials.
Demand from the packaging and construction industries remained steady throughout the quarter. EPS continued to be used in protective packaging and insulation applications, helping maintain regular purchasing activity. Since these industries require consistent material availability, buyers remained active even as market prices increased.
Logistics challenges also contributed to the firm market situation. Higher freight costs and delays in raw material movement affected supply planning and increased the overall cost of obtaining material. Suppliers faced pressure to manage their procurement expenses while meeting customer requirements.
By June, however, market conditions started improving. The ceasefire between the United States and Iran supported a gradual recovery in shipping conditions. Lower Chinese offer prices and softer styrene values reduced some of the cost pressure. As a result, EPS prices in the Netherlands declined by approximately 2% during June.
EPS Prices in the United Arab Emirates
In the United Arab Emirates, imported EPS prices from China increased by approximately 22% during Q2 2026. Prices were assessed on a CIF Jebel Ali basis for general-grade material with a bead size of 0.5–1.25.
The regional geopolitical situation played an important role in determining import costs. Disruptions associated with the US-Iran conflict and the closure of the Strait of Hormuz affected regional trade flows and created uncertainty around shipping availability. Higher freight charges increased the cost of imported material.
The UAE market also remained influenced by its dependence on Chinese EPS supplies. Changes in Chinese export offers and international transportation expenses directly affected the landed cost of material in the country.
Demand from construction, packaging, and insulation applications remained relatively stable. These sectors continued to support regular purchasing activity, although buyers had to manage higher import costs during the quarter.
Supply conditions were moderately tight because of logistics challenges and uncertainty around delivery schedules. Importers had to consider transportation expenses and shipment availability while planning their purchases.
In June, the market began showing signs of improvement. Softer styrene prices and easing freight costs helped reduce import expenses. Chinese export offers also became more competitive following the mid-June ceasefire. Consequently, imported EPS prices in the UAE corrected by approximately 5% during June as supply conditions gradually improved.
EPS Prices in China
China recorded a comparatively moderate increase in EPS prices during Q2 2026. Export prices on an FOB Shanghai basis for general-grade material with a bead size of 0.5–1.25 increased by approximately 16%.
Unlike some European markets, China's domestic supply conditions remained relatively stable during the quarter. Operating rates continued to support product availability, while domestic demand remained moderate. This limited the possibility of a sharper increase in prices.
However, the international geopolitical situation still affected the Chinese EPS market. Higher crude oil prices and changes in styrene feedstock costs increased production expenses. Global shipping disruptions also influenced export activity and created uncertainty around international delivery costs.
The export market remained sensitive to changes in overseas purchasing interest. Buyers in different regions had to consider higher freight expenses and the possibility of delays when arranging shipments. These conditions affected export negotiations and overall market sentiment.
Despite the upward movement during the quarter, prices started correcting in June. The mid-June ceasefire helped improve shipping conditions, while lower freight costs supported better export economics. Softer styrene values also reduced production cost pressure. As a result, Chinese EPS export prices declined by approximately 9% during June.
EPS Prices in Saudi Arabia
Saudi Arabia recorded an increase of approximately 18% in imported EPS prices during Q2 2026. The assessment was based on CIF Jeddah prices for general-grade material imported from China, with a bead size of 0.5–1.25.
The market remained influenced by international supply chain disruptions and rising import costs. The US-Iran conflict created uncertainty around regional shipping activities and affected the movement of petrochemical products. Higher transportation expenses contributed to the increase in landed prices.
Saudi Arabia's dependence on Asian imports also played an important role in determining domestic price movements. Changes in Chinese export offers, freight rates, and shipment availability influenced the procurement costs faced by local buyers.
Demand from construction and insulation applications remained steady during the quarter. EPS continued to serve as an important material for thermal insulation and packaging requirements. This helped maintain a relatively firm market despite the higher cost of imported supplies.
Supply conditions remained moderately tight because of logistics challenges and uncertainty around delivery schedules. Importers had to consider both material costs and transportation expenses when arranging new shipments.
In June, the market experienced some relief as international freight costs started easing. Lower styrene values and more competitive Chinese export offers helped reduce import expenses. Following these developments, EPS prices in Saudi Arabia declined by approximately 4% during June.
EPS Prices in Thailand
Thailand recorded an increase of approximately 16% in imported EPS prices during Q2 2026. Prices were assessed on a CIF Bangkok basis for general-grade EPS imported from China, with a bead size of 0.5–1.25.
The main factors supporting this increase were higher raw material costs and rising international freight expenses. The US-Iran conflict and disruptions around the Strait of Hormuz affected global trade flows, increasing uncertainty in the movement of petrochemical products.
Thailand's dependence on imported EPS from China made the market particularly sensitive to changes in export prices and transportation costs. Higher shipping expenses increased the landed cost of imported material and influenced local purchasing decisions.
Demand from packaging and construction industries remained stable during the quarter. Buyers continued to procure material according to their regular requirements, while suppliers adjusted their offers to reflect higher import and replacement costs.
Market conditions remained balanced but firm. Although demand did not increase sharply, higher transportation expenses and feedstock costs supported the upward price movement.
The situation started improving in June as shipping conditions gradually recovered. Lower freight charges and softer styrene values helped reduce the cost of imported EPS. Chinese suppliers also began offering material at more competitive prices. Consequently, Thailand recorded an approximate 9% price correction during June.
EPS Prices in India
India experienced the largest quarterly price increase among the markets covered in this analysis. Domestically traded high-expansion EPS prices, assessed on an ex-Mumbai basis with a bead size of 0.5–1, increased by approximately 54% during Q2 2026.
The main reason behind this strong increase was the rise in raw material and production costs. The US-Iran conflict and the closure of the Strait of Hormuz affected the availability of imported petrochemical feedstocks. Since domestic EPS production depends on reliable raw material supplies, higher styrene costs created significant pressure on manufacturers.
Rising crude oil prices during April and May further increased the overall cost of production. Manufacturers also faced higher expenses related to energy consumption, transportation, and procurement. These cost increases were gradually reflected in domestic selling prices.
Demand from construction, insulation, and packaging industries remained strong. EPS continued to be used in building insulation, protective packaging, and various industrial applications. Regular purchasing requirements from these sectors helped maintain market activity despite the higher prices.
Supply conditions remained tight because of dependence on imported raw materials and uncertainty around international deliveries. Limited inventory availability also contributed to firm market sentiment. Buyers focused on maintaining sufficient stock to meet their operational requirements.
However, the market started showing some improvement in June. Following the mid-June ceasefire, Chinese export offers and freight costs began easing. Softer styrene prices helped reduce the pressure on domestic production costs. As a result, EPS prices in India declined by approximately 9% during June.
Although this correction provided some relief to buyers, the overall quarterly increase remained substantial. The Indian market continued to reflect the combined impact of higher feedstock expenses, strong end-user demand, and restricted raw material availability.
EPS Price Chart: Understanding the Q2 2026 Market Movement
The EPS Price Chart for Q2 2026 highlights a clear upward movement across all seven markets covered in this analysis. However, the strength of the increase varied depending on regional supply conditions, import dependence, demand patterns, and production costs.
India recorded the highest quarterly increase at 54%, followed by Germany at 43% and the Netherlands at 42%. These markets experienced considerable cost pressure because of rising styrene prices, higher energy expenses, and supply chain disruptions.
The UAE recorded a 22% increase, while Saudi Arabia registered an 18% rise. China and Thailand experienced comparatively moderate increases of 16% each.
The difference between domestic and imported markets is also important. Germany, the Netherlands, and India experienced strong increases as higher raw material and operating costs affected domestic pricing. In import-dependent markets, changes in Chinese export offers and freight expenses played a greater role in determining landed prices.
June brought a different direction to the market. Germany and the Netherlands recorded a 2% correction, while the UAE declined by 5%. Saudi Arabia registered a 4% decrease, whereas China and Thailand recorded 9% corrections. India also experienced a 9% decline.
These movements indicate that the market was beginning to move away from the sharp increases seen earlier in the quarter. Lower feedstock prices and improving shipping conditions helped reduce cost pressure across different regions.
EPS Price Index: Supply and Demand Conditions
The EPS Price Index during Q2 2026 reflected a market that was initially under strong upward pressure before showing early signs of stabilization toward the end of the quarter.
During April and May, higher crude oil prices, expensive styrene feedstock, and international shipping disruptions supported a firm price environment. Manufacturers and suppliers had to manage increasing procurement expenses, while buyers faced higher replacement costs.
The supply situation was particularly important because EPS production depends on the availability of suitable raw materials. Any disruption in styrene supply can affect manufacturing costs and influence the prices offered to downstream customers.
Demand also played an important role in supporting market prices. Construction and insulation requirements remained healthy in several regions, while packaging applications continued to provide regular consumption. This helped prevent the market from experiencing a significant reduction in buying activity despite higher prices.
Toward the end of June, the market began showing signs of balance. Softer styrene prices, lower freight expenses, and improving shipping conditions reduced some of the pressure on suppliers. The resulting price corrections indicated that the earlier supply-related cost increases were gradually easing.
The overall price index movement therefore reflected two different market phases: strong upward pressure during April and May, followed by partial stabilization and regional price corrections in June.
EPS Price Forecast: What Could Influence the Market Ahead?
Looking beyond Q2 2026, the direction of the EPS market will depend on several important factors. Raw material costs will remain one of the most important influences because styrene prices directly affect production economics. Any renewed increase in crude oil prices or petrochemical feedstock expenses could create fresh upward pressure.
International shipping conditions will also remain important. The improvement seen after the mid-June ceasefire helped reduce transportation expenses, but the global petrochemical supply chain remains sensitive to geopolitical developments. Any renewed disruption to major shipping routes could increase freight costs and affect material availability.
Demand from construction and insulation industries will continue to influence regional market conditions. Countries with steady infrastructure development and building activity may maintain relatively healthy EPS consumption. Packaging demand will also remain important because EPS is widely used to protect products during storage and transportation.
Import-dependent markets such as the UAE, Saudi Arabia, and Thailand will remain sensitive to Chinese export prices and freight movements. India will also need to monitor imported feedstock availability because changes in raw material costs can quickly influence domestic production expenses.
Overall, the market may experience more balanced price movements if feedstock availability improves and transportation costs remain under control. However, unexpected changes in energy prices, shipping conditions, or industrial demand could create fresh price fluctuations.
Conclusion
The global EPS market experienced a strong upward price movement during Q2 2026, mainly because of rising styrene costs, higher crude oil prices, geopolitical tensions, and disruptions to international shipping routes. India recorded the largest quarterly increase at 54%, followed by Germany at 43% and the Netherlands at 42%. The UAE, Saudi Arabia, China, and Thailand also experienced notable increases, although their movements were comparatively moderate.
Demand from construction, insulation, and packaging industries remained an important source of market support throughout the quarter. However, improving shipping conditions after the mid-June ceasefire, softer styrene prices, and lower freight expenses started changing the market direction. June price corrections across all seven markets indicated that the earlier cost pressure was gradually easing.
Going forward, the EPS market will remain closely connected to crude oil prices, styrene availability, international logistics, and downstream industrial demand. Monitoring these factors will be important for manufacturers, distributors, importers, and buyers looking to understand changing market conditions and plan their procurement activities effectively.
Please Submit Your Query For EPS Price Trend, Market Analysis and Forecast: https://www.price-watch.ai/book-a-demo/
About Price Watch™
Price Watch™ is an India-based, independent raw material price reporting agency that provides real-time price forecasts and data-driven insights into global raw material markets. Price Watch™ specializes in tracking raw material prices, analyzing market trends, and delivering timely updates on plant shutdowns, supply disruptions, capacity expansions, and demand-supply dynamics. The Price Watch™ platform empowers manufacturers, traders, and procurement professionals to make faster, smarter decisions. Leveraging AI-powered forecasting and over a decade of historical data, Price Watch™ transforms market volatility into actionable opportunity.
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