Market Updates

Staying Informed on Global Supply Trend

15th July 2026

Table of Contents

1. Executive Summary

2. Commodity Pricing Comparison

2. Nitrile Butadiene Rubber (NBR) Analysis

3. Polyethylene (PE) Analysis

4. Polypropylene (PP) Analysis

5. Aluminium Analysis

At Livingstone International, we prioritise providing you with reliable products at the best possible value. To maintain this commitment, we closely monitor global markets to navigate the current complexities in the supply chain.

The first half of 2026 has seen significant shifts in the cost of essential materials like Polypropylene (PP), Nitrile (NBR), Polyethylene (PE) and Aluminium. These changes are driven by the crisis in the Middle East that impacts how goods are made and delivered to Australia.

Current Market Drivers

• Raw Material Fluctuations: The cost to produce plastics and rubber has risen sharply since early February. Essential materials like Polypropylene and Nitrile are closely linked to global energy prices, which have climbed due to international tensions.

• Global Shipping Challenges: Changes in major international shipping routes have led to longer travel times. Most shipments are now being diverted, adding approximately 21 days to transit times. This has resulted in higher freight costs and additional security surcharges for all goods arriving in Australia.

• Rising Energy Costs: Operating and transport costs within Australia are also affected by a nearly 10% increase in energy import prices this year. This impact is felt across the entire process, from manufacturing to final delivery.

Commodity Pricing Comparison

The updated commodity tracking reveals that overall procurement baselines remain highly elevated, driven by severe, structural cost increases of 29.32% for PP and 18.94% for PE compared to their February baselines. While NBR has corrected marginally below its baseline to -0.77% and Aluminium has settled near its base price with an approximate 1% increase, these minor adjustments fail to offset the substantial, high-exposure cost floor sustained across primary polymer streams.

Commodity	Feb 1 Price (Base)	May 12 Ref. Price	June 1 Price	July 14 Price	Index Change (%)
NBR	USD 2,316.55/t	USD 3,039.78/t	USD 2,721.46/t	USD 2,298.71/t	-0.77%
LLDPE (PE)	USD 1,172.66/t	USD 1,429.24/t	USD 1,393.24/t	USD 1,394.76/t	18.94%
PP	USD 966.91/t	USD 1,433.93/t	USD 1,377.36/t	USD 1,250.41/t	29.32%
Aluminium	USD 3,110.00/t	USD 3,640.00/t	USD 3,770.00/t	USD 3,140.00/t	-0.96%

Nitrile Butadiene Rubber (NBR)

• The market index for nitrile rubber has contracted to 75.59, representing a 0.77% decrease compared to the February baseline of 76.18.
• Although this represents a notable reduction from the second-quarter peak of 112.13, recent daily tracking shows the index adjusted from a July low of 73.59 to end the period at 75.59.

Polyethylene (PE)

• The market index for polyethylene (LLDPE) has reached 79.36, representing an 18.94% increase compared to the February baseline of 66.72.
• While this indicates an overall elevated cost level, recent daily tracking shows a steep rise where the index adjusted from a July low of 69.91 to finish the period at 79.36.

Polypropylene (PP)

• The market index for polypropylene (PP Fiber) has reached 106.39, representing a 29.32% increase compared to the February baseline of 82.27.
• While this indicates a notably elevated cost baseline, recent daily tracking shows a steep rise where the index adjusted from a July low of 102.37 to finish the period at 106.39.

Aluminium

• LME official benchmarks settle at $3,140 per tonne as of July 14, representing an approximate 1% increase compared to the early February base level of $3,110.
• While this indicates the overall cost floor has normalized near baseline levels, the market has undergone severe volatility, with prices correcting sharply from a contract high of $3,855 at the end of May to a July low of $3,060 before tracing back upward.

Last Updated: 1st June 2026

Table of Contents

1. Commodity Pricing Comparison

2. Nitrile Butadiene Rubber (NBR) Analysis

3. Polyethylene (PE) Analysis

4. Polypropylene (PP) Analysis

5. Aluminium Analysis

Commodity Pricing Table 

The latest index data indicates that while polymer markets have experienced a marginal correction from their peak second-quarter exposure, raw material baselines remain significantly elevated against the initial February benchmarks. Conversely, the metal exchange continues to demonstrate upward momentum, setting a new contract high at the turn of June. Collectively, these movements confirm a structurally higher cost floor for procurement across all analysed material categories.

Commodity	Feb 1 Price (Base)	May 12 Ref. Price	June 1 Price	Index Change (%)
NBR	USD 2316.55/t	USD 3,039.78/t	USD 2,721.46/t	17.46%
LLDPE (PE)	USD 1172.66/t	USD 1,429.24/t	USD 1,393.24/t	18.81%
PP	USD 966.91/t	USD 1,433.93/t	USD 1,377.36/t	42.45%
Aluminium	USD 3110.00/t	USD 3,640.00/t	USD 3,770.00/t	21.22%

Nitrile Butadiene Rubber (NBR)

• The market for nitrile rubber reflects a clear baseline change, with the latest June market number establishing itself at 89.48. This represents a plain 17.46% increase in raw material costs when compared directly back to the initial February baseline of 76.18.
• While this current June positioning is lower than the severe April peak of 109.71, it confirms that the overall cost level for this material has settled at a significantly higher floor.

Polyethylene (PE)

• Polyethylene prices have established a new baseline, with the market index tracking at 79.27 at the start of June. This marks an 18.81% shift in raw material expenses relative to the 66.72 baseline recorded back in February.
• Even though current figures have eased from the intense 87.64 high seen in early April, the data demonstrates that long-term procurement costs for this polymer remain set at a much higher level.

Polypropylene (PP)

• Polypropylene costs show a massive structural shift, with the market index heavily altered at 77.15 for the start of June. This reflects a major 42.45% surge in raw material metrics compared directly back to the early February baseline of 54.16.
• Although current numbers sit slightly below the absolute peak of 78.90 recorded in late May, the trend confirms that overall market pricing for this polymer remains locked at a heavily elevated level.

Aluminium

• Aluminium procurement costs show an aggressive upward trajectory, climbing from an early baseline of around 3,100 US$ per tonne to finish the period at an extreme high of 3,770 US$ per tonne, resulting in a direct cost increase of over 21.6% for the raw metal.
• While the market experienced temporary price drops along the way, these brief windows were immediately overtaken by much larger increases. The trend confirms that overall market pricing for this metal remains locked into a compounding upward pattern.

13th May 2026

Table of Contents

1. Nitrile Butadiene Rubber (NBR) Analysis

2. Polyethylene (PE) Analysis

3. Polypropylene (PP) Analysis

4. Aluminium Analysis

Nitrile Butadiene Rubber (NBR) 

• Significant upward pressure across nitrile supply, driven by a peak increase of 43.37% during the height of the market surge.
• Adjustments reflect a sharp upward trend in the commodity index 76.53 to a period high of 109.71.

Polyethylene (PE)

• Significant upward pressure across polyethylene supply, driven by a peak market surge that reached a 34.85% rise in raw material costs.
• Adjustments reflect a sharp upward trend in the commodity index from 66.72 to a period high of 87.48.

Polypropylene (PP)

• Significant upward pressure across polypropylene supply, driven by a peak market surge that reached a 49.25% rise in raw material costs.
• Adjustments reflect a sharp upward trend in the commodity index from 82.27 to a period high of 124.86.

Aluminium

• Significant upward pressure across aluminum supply, driven by a 22.83% surge in global LME benchmarks from the February low.
• Adjustments reflect high market volatility with prices peaking near $3,700 per tonne during the late April and early May sessions.

Updates on Shipping and Logistics Costs

Australia Post and Star Track

In addition to the rising costs of raw materials, we are seeing significant increases in the domestic and international transport sector. These adjustments are necessary to account for the rising cost of fuel required to deliver your orders across Australia.

Upcoming Fuel Surcharge Adjustments From 1 June 2026, our primary logistics partners, Australia Post and StarTrack, will be implementing a significant increase to their Fuel Surcharges:

Service Type	Current Surcharge	New Surcharge (from 1 June)
Standard Delivery	12%	19.5%
Express Delivery	22.7%	30.2%

Domestic and International Shipping Surcharge Adjustments

Logistics Category	Minimum Increase	Maximum Increase
Local Courier 1	17%	59%
Local Courier 2	24%	53%
Local Courier 3	20%	43%
International Freight 1	39%	49%
International Freight 2	30%	45%

 

These surcharges are applied by carriers to reflect the actual cost of fuel at the time of transit. Recent historical data shows a sustained rise in fuel prices, which directly impacts the operational costs of local delivery networks.

Our Continued Commitment

While these global trends are outside of our direct control, we are working hard to:

1. Secure Inventory: We are managing our stock levels proactively to minimise the impact of shipping delays on your business.

2. Provide Data-Backed Pricing: Our price adjustments are strictly based on the actual rise in material transport costs.

3. Ensure Transparency: We will update this page regularly to keep you informed as the global market stabilises. 

Thank you for your ongoing partnership and trust in Livingstone International.

Livingstone International Management Team