Polyether Polyols in the Americas: A Shrinking Export Surplus

September 24, 2026 5 min read

North America consumed an estimated 2.52 million tonnes of polyether polyols in 2025, and consumption is tracking broadly stable through 2026. The region is still a net exporter, but its surplus has fallen by more than half since 2021 as Asian material gains ground inside the U.S. market and U.S. suppliers lose share in South America.

PUdaily is preparing its 2026 Americas Polyurethane Market Research Report, covering TDI, MDI, polyether polyols and propylene oxide across North and South America. This preview looks at the polyether polyol market.

Market size and structure

According to PUdaily’s calculation, North American polyether polyol demand was approximately 2.52 million tonnes in 2025, up from 2.41 million tonnes in 2024. Through 2026 consumption has been tracking broadly stable, with no material change in the regional total. This is a mature market that moves in line with construction and vehicle output rather than one expanding at emerging-market rates. The demand estimate for 2026 and the forecast to 2031 are set out in the full report.

Production is concentrated in the United States, where BASF, Carpenter, Covestro, Dow, Huntsman and Monument Chemical all operate polyether capacity, most of it on the Gulf Coast. Mexico has limited capacity and Canada is supplied almost entirely from U.S. plants. South American production is small relative to demand, so Brazil, Colombia, Argentina, Chile and Peru rely on imported material from the United States, Asia and Europe. That structure is why South American demand changes show up first in trade statistics rather than in production data.

Where polyether polyols are used

Polyether polyols reach the widest range of end uses of any polyurethane raw material. Flexible slabstock and molded grades go into mattresses, upholstered furniture and automotive seating; rigid grades into construction insulation, appliances and cold chain; and specialty grades into coatings, adhesives, sealants, elastomers and footwear. PUdaily’s allocation model, anchored on U.S. end-use data for polyurethane materials, places building and construction at about 44% of consumption, transportation at about 18% and furniture and bedding at about 16%, with appliances close to 5%.

Figure 1  Modeled allocation of U.S. polyurethane materials by end use

Source: PUdaily’s calculation.

Those end markets moved in different directions in 2026. U.S. housing starts fell 2.0% in January to July and completions fell 11.4%, with single-family starts, which carry more foam content per unit, down 6.9%. Canadian starts also eased. South American construction was firmer, with Brazilian construction GDP up 1.1% in the first half and Colombian cement shipments up 4.3%.

In vehicles, North American production held near 15.2 million units, while Brazilian output rose 8.3% and Argentine production fell 17.1%. Furniture and bedding demand stayed subdued alongside weak U.S. housing turnover, and Brazilian footwear production, an important outlet for polyurethane soling, fell 5.6%. The net effect was flat regional polyol consumption with a changing mix.

Trade: the surplus is disappearing

The clearest change in the polyether market is on the trade side. U.S. exports have fallen from 607.8 thousand tonnes in 2021 to 379.1 thousand tonnes in 2025, a decline of almost 38%, while imports have held in a range of roughly 147 to 232 thousand tonnes. The trade surplus has therefore narrowed from 376 thousand tonnes to 194 thousand tonnes, and on first-half 2026 volumes it is running at about 143 thousand tonnes annualised.

Figure 2  U.S. polyether polyol trade, 2021 to 2026

Source: USITC DataWeb; PUdaily analysis. *2026 estimates

In the first half of 2026, U.S. imports rose 9.1% year on year to 106.4 thousand tonnes while exports fell 10.4% to 178.0 thousand tonnes. Measured across North America as a whole, and excluding trade between the United States, Canada and Mexico, the region’s external net exports have fallen from 162 thousand tonnes in 2021 to about 42 thousand tonnes in 2025 and roughly 7 thousand tonnes annualised in 2026. North America is, in other words, close to external balance for the first time in this cycle.

Import origins: Asia supplies three-quarters

Asian origins accounted for about 73% of U.S. polyether imports in the first half of 2026, a share that has been broadly stable for two years even as the composition shifted. South Korea remains the single largest supplier at 40.4 thousand tonnes, or nearly 38% of imports. China follows at 23.5 thousand tonnes, up almost 29% year on year, and Vietnam continues to grow from a small base. Taiwanese volumes fell by about a third. European supply is modest and skewed toward specialty and CASE grades, while Canada, at 9.7 thousand tonnes, grew by more than half.

Figure 3  Leading origins of U.S. polyether polyol imports, first half 2026

Export destinations: regional demand holds, South America slips

U.S. exports remain anchored in North America. Mexico took 42.2 thousand tonnes and Canada 38.6 thousand tonnes in the first half of 2026, together more than 45% of shipments, though both declined by 6 to 7%. Belgium is the main European gateway at 16.4 thousand tonnes, and shipments to China rose 40% to 11.9 thousand tonnes.

South America is where U.S. exporters have lost the most ground. Brazil took 10.0 thousand tonnes in the first half, down 21%, after volumes had already halved in 2025 from 47.3 to 23.3 thousand tonnes. Colombia fell 35% and Chile 38%. Peru was the exception, rising from 0.7 to 4.0 thousand tonnes. Latin American destinations outside Mexico now account for about 13% of U.S. polyether exports, against more than 15% in 2025.

Figure 4  Leading destinations for U.S. polyether polyol exports, first half 2026

Source: USITC DataWeb; PUdaily analysis. North American destinations in navy, South American destinations in orange.

Outlook: stable into year-end, with a slightly firmer tone

Regional consumption is tracking close to the 2025 level, and nothing in the second-half data suggests a break from that pattern.

The tone has firmed slightly since mid-year. Brazilian imports recovered through the second quarter, with July the strongest month of 2026 so far. U.S. import volumes are running ahead of 2025 while export volumes remain softer, so the trade surplus should stay narrow through the fourth quarter.

For the remainder of 2026, the market is best described as stable with a mild upward bias, and the main variables are the competitiveness of Asian material, the pace of construction and vehicle activity into the fourth quarter, and any trade measures affecting imported polyols.

What the full 2026 Americas report examines

For detailed capacity data, trade flows, demand analysis and the full market outlook, please contact PUdaily for the 2026 Americas Polyurethane Market Research Report.

PUdaily is a professional information platform serving the global polyurethane industry, providing timely, comprehensive and objective analysis of polyurethane markets, technology and industry developments. Tel +86 21 6125 0980. Email info@pudaily.com.

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