Cost Story vs. Margin Story: Reading the May Settlements | Resin Market Moves

Resin Market Moves — June 7, 2026 "The Show Went On. But Nationals Are Ahead."

It was dance recital week in the Workman household — and the chaos behind the scenes at the studio is a perfect metaphor for where the resin market sits right now. May settled cleanly on the surface. But TotalEnergies is still under force majeure in PP. A Phillips 66 turnaround is coming in June. Celanese is rationalizing PA66 capacity ahead of a Singapore unit closure in July. And the final April PE inventory data came in 150+ million pounds above the preliminary read. Michael Workman breaks down what buyers need to know before committing to June pricing — and why producers are counting on buyers who aren't looking too closely at what's happening backstage. In this episode:  * Polypropylene supply disruptions  * PA66 Celanese capacity rationalization   * Trinseo Chapter 11  * PE inventory revision  * How to separate cost-justified increases from margin recovery asks ResinSmart | Powered by RTi Global | Since 1998 | resinsmart.ai [https://resinsmart.ai/]

Cost Story vs. Margin Story: Reading the May Settlements | Resin Market Moves

May settlement week just drew the clearest line in months between markets where cost drives pricing and markets where producers are simply testing what buyers will accept. PP's PGP contract settled down 7 cents per pound. The resin market is expected to follow. That's a legitimate cost decline — buyers who document it and push back in writing capture it. PE settled flat for May, but a 10-cent-per-pound June increase initiative is already circulating — even as ethylene spot declines, crude falls more than $5 a barrel, and global supply continues building. That's not a cost story. That's a margin play. Michael Workman, Executive Director at ResinSmart, breaks down the full commodity board — PP, PE, ABS, PC, PA6, PA66, PVC, PS, and PET — and gives buyers a clear action framework for the week ahead. In this episode: why PP buyers should be pushing back in writing this week and not waiting for June. The feedstock reality behind the PE June increase initiative and why it doesn't hold up. What the absence of June nominations in PA6 and PA66 is telling you. PET — the one market where cost support is real and why you should treat it differently. And how crude's five-dollar drop this week changes the benzene equation heading into summer. ResinSmart publishes Resin Market Moves weekly. Subscribe wherever you listen to podcasts. Contact Michael: mworkman@resinsmart.ai | (214) 984-2977 | resinsmart.ai [https://resinsmart.ai/] Powered by RTi Global | Since 1998

Price Increase Letters and Negotiation Leverage | May 2026 Procurement Intelligence Session

A supplier price increase letter hits your inbox. The clock starts immediately. Most buyers have two weeks to respond. Their suppliers are already working with current market intelligence, while many procurement teams are validating claims with data that's 30 to 60 days old. In this episode, Michael Workman and Brian Balboa break down what happens when a resin supplier announces a price increase — and why the outcome is often decided before the first negotiation. They explore four common failure modes that weaken a buyer's position: * Timing: negotiating with delayed market information * Trust: relying on data that wasn't built for buyers * Precision: benchmarking the wrong grade * Access: having data but not being able to act on it quickly Michael and Brian also review a real-world HDPE example where two buyers received the same $0.30/lb increase letter but achieved very different results based on their preparation. The difference wasn't negotiation skill. It was validation, benchmarking, and independent market intelligence. TOPICS COVERED * Why published resin indices can leave buyers negotiating with outdated information * The four procurement failure modes: timing, trust, precision, and access * Why supplier justification requests often fail to create leverage * How grade-level benchmarking improves negotiation outcomes * The difference between cost recovery and margin expansion * What prepared buyers do after receiving a price increase letter Request your free RESIN8 Benchmark Assessment at resinsmart.ai. [https://resinsmart.ai/] Connect with Michael Workman on LinkedIn. [https://www.linkedin.com/in/michael-workman-04085923/]

Graduating Into a Harder Market — May 2026 Resin Update

My son graduated from 5th grade yesterday. Watching him walk through that arch of balloons, one thought kept in my head, that what got him here isn't going to be enough for what's next. The same is true for resin buyers right now. April was the inflection month. The $0.30/lb PE increase that landed. The PP run-up. The benzene spikes that pushed nylon 6, polystyrene, and the rest of the aromatics higher. The cycle shifted, and the procurement strategies most teams built — they were built for a different market. In this episode, I run through the four major resins: PE holding flat but not safe, PP pushing June increases before May even settles, PA66 facing a structural capacity story that starts in July, and PVC — the first major resin to peak and turn, taken down by Chinese carbide-based export competition that overwhelmed domestic producer discipline before the increase could gain traction. The through-line: the teams navigating this well know their benchmark before the nomination arrives. Not after. The nomination letter is a claim. The benchmark is the answer. If you don't have the answer ready, you're reacting — and reacting is always more expensive. Subscribe for weekly market updates. If you're heading into a contract conversation and want a second set of eyes, reach out directly. No pitch. Just the conversation. What's covered this week: * Why May "flat" in PE isn't the same as a soft market. * PP: June increases already announced, TotalEnergies force majeure still active, Phillips 66 turnaround ahead. * PA66: BASF's $0.16/lb May increase and why the Celanese Singapore closure changes the structural conversation now. * PVC: the first major resin to peak and turn — what Chinese carbide-based exports did to domestic producer discipline. * PS: benzene-driven cost push overriding soft fundamentals — and why you should still push back on polystyrene nominations pointing to demand. Contact Michael: mworkman@resinsmart.ai | 214-984-2977 ResinSmart | Powered by RTi Global | Since 1998

The Resin Market Just Split in Two — May 15, 2026 | Resin Market Moves

The resin market divided itself in May — and the right move in one half is the wrong move in the other.  In this week's episode, Michael Workman breaks down what's actually happening across all nine major resin markets and why buyers who treat them the same right now are leaving money in one category while overpaying in another.  PE is going flat despite a $0.20/lb nomination — buyer resistance is working, and the ACC data supports holding the line. PET is getting genuine feedstock relief as PX expectations reversed from a 4¢/lb increase to a slight decline.  But benzene is approaching $5.00/gal, INEOS has reportedly refused new ABS business until August, and PA66 is facing a structural supply reduction before July that most buyers haven't priced into their H2 plans.  Michael also shares what Bill Bowie — 30+ years in the industry — said about the mistake buyers make when markets split, and why the PA66 story this week is more about M&A and plant closures than feedstocks. TOPICS COVERED * Why May is a completely different market than April * The benzene-chain resins: ABS, PS, PC, PA6, PA66 — cost support is real, here's what to do * PE going flat: what the ACC data shows and why buyer resistance is winning * PET relief window: how long it lasts and how to use it * PA66 structural story: Celanese Singapore closure, Lone Star / DOMO / RadiciGroup — what it means for H2 contracts * Nine-resin recap: specific action for each market  KEY DATA POINTS * PE inventory draw: 23.3M lbs (more moderate than expected) * PE days of supply: 35 — demand rates -2%, operating rates -2% * Benzene: $4.95/gal — up $0.30 on the week * Caprolactam: $1,857/mt and still climbing * PA66 Celanese Singapore: 55,000 tpa closing after July 2026 * Lone Star acquisitions: DOMO (May 12) + RadiciGroup HPP (Apr 30) * PX: reversed from +4¢/lb expectation to a slight decline * WTI: $101.02 · Brent: $105.63  Subscribe to the Resin Market Moves newsletter at resinsmart.ai. [https://resinsmart.ai/subscribe] Request your free RESIN8 Benchmark Assessment at resinsmart.ai. Connect with Michael Workman on LinkedIn. [https://www.linkedin.com/in/michael-workman-04085923/]