- Glass and its products prices moved unevenly in Q1’26, with Asia pressured by weak construction activity, Europe facing energy-led cost pressure, and North America showing mild firmness in producer price indicators.
- Feedstock and production costs were shaped by soda ash, fuel, furnace energy, freight, and insurance. The Strait of Hormuz disruption raised energy and shipping costs, affecting glass production economics.
- Downstream demand remained mixed. Construction weakness weighed on Asia and Europe, while U.S. construction activity gave moderate support to North American glass demand.
Asia
Asian glass and glass product prices remained weak-to-stable during Q1’26, mainly due to slow construction demand in China. Official data showed China’s January-March real estate development investment declined 11.2% year-on-year, floor space under construction fell 11.7%, newly started floor space dropped 20.3%, and completed floor space declined 25.0%. This directly reduced demand for architectural glass, windows, facades, and interior glass products. Export activity helped absorb some regional oversupply, but domestic demand weakness limited price recovery. Higher fuel and freight costs after the Hormuz disruption restricted deeper price declines.
Europe
European glass and glass product prices were supported by energy cost pressure during Q1’26. Euro area industrial producer prices rose 3.4% month-on-month in March, while energy prices increased 11.1%. In the EU, producer prices rose 3.2%, with energy up 10.2%. However, construction demand was weak. March construction output fell 1.2% year-on-year in the euro area and 0.6% in the EU. Building construction declined 7.1% year-on-year in the euro area and 4.8% in the EU, limiting demand from building glass applications.
North America
North American glass and glass product prices were mildly firmer across Q1’26. The U.S. commodity PPI for glass moved from 198.934 in January to 199.218 in March, while glass and glass product manufacturing PPI increased from 180.971 to 182.135. Demand was supported by construction spending, which reached USD 2,185.5 billion in March at a seasonally adjusted annual rate, up 1.6% year-on-year.