Some plastics for the home appliance industry are shifting from imports to domestic supply, with price increases driven by the interplay between upstream shortages and downstream weakness.

Golden Ten Data reported on April 14 that a representative from a domestic plastic supplier stated that, due to recent tensions in the Middle East leading to a tight supply and sharp price increases for plastics and other raw materials, upstream and downstream parties are renegotiating prices. According to industry sources, some plastic and other raw materials needed for home appliances have recently shifted from imports to seeking domestic supply. Domestic prices for plastics and other chemical materials have surged significantly. Some end-user brands are negotiating with upstream suppliers over price increases, resulting in a tug-of-war between upstream plastic shortages and weak downstream demand. It is expected that the future prices of plastics and the supply-demand relationship will be restructured.