[Overseas headlines] China-Russia Leaders Meet, Samsung to Strike Starting Tomorrow, Kaipai Jiaobao Launches New TPE Material

International News Briefing:

Raw Materials News - Syensqo Launches 98% Recycled-Based HPPA Material to Support the Development of Lightweight Toddler Bicycles

Automotive News - Strategic Adjustments of Foreign Car Companies

Medical News - Artificial blood vessel leader Humacyt reports a 400% quarter-over-quarter revenue increase and cuts 25% of its workforce.

Electronics News - Negotiations Break Down Again; Samsung Electronics to Go on Strike as Scheduled Starting Tomorrow

Packaging News: Novvia Group Acquires APC Packaging, Continues to Strengthen Its Beauty Packaging Business

Macro News - Chinese and Russian Heads of State Sign Joint Statement

Price InformationThe RMB middle exchange rate against the U.S. dollar was reported at 6.8397, down 22 basis points.

The following is the detailed international news:

1. Shisouke launches 98% recycled-based HPPA material to support the development of lightweight balance bikes for children.

The key to replacing structural metal and engineering plastic components in children's bicycles with recycled polymers lies in proving that recycled materials can achieve the same strength, durability, and dimensional stability as traditional materials. Front forks, handlebars, and other load-bearing components are particularly critical tests. The recent commercial collaboration between Syensqo and the high-end children's bike brand woom has directly realized this technology.

Sosoco and Woom announced the establishment of a strategic partnership, with Sosoco...Omnix® 1030 ECHO RPRFCircular polymers are applied in the brand-new woom WOW series of balance bikes. This material is used for key exposed structural components such as the front fork, rear fork, and handlebar. The woom WOW is a self-balancing balance bike specially designed for infants and toddlers aged 9 to 36 months, combining a lightweight structure with a premium appearance and texture. The product is manufactured in Europe.

The deadline for review is approaching! PPI supports the continuation of the US-Mexico-Canada Agreement to stabilize the North American industrial landscape.

As the July 1, 2026, deadline for the trilateral joint review approaches, The Plastics Pipe Institute (PPI) has once again reaffirmed its support for the United States-Mexico-Canada Agreement (USMCA), stating that the trade pact plays an indispensable role in maintaining the competitiveness of North American manufacturing and advancing infrastructure development.

The United States-Mexico-Canada Agreement was formally signed in July 2020 to replace the North American Free Trade Agreement, establishing a balanced, stable, and predictable trade framework for North America. This agreement is now at a critical decision point: the three countries must determine its future direction, choosing either to extend the agreement for 16 years and conduct annual reviews, or to allow it to expire and cease implementation on July 1, 2036.

PPI President David M. Fink stated in public comments submitted to the Office of the United States Trade Representative (USTR): “We firmly support the USMCA as the core cornerstone for balanced, orderly, stable, and predictable trade relations among the United States, Mexico, and Canada.”

3. Negotiations broke down again, and Samsung Electronics will proceed with the strike as scheduled starting tomorrow.

Samsung Electronics’ wage mediation talks in South Korea broke down again today (May 20), and a strike will proceed as scheduled starting tomorrow (Thursday). According to Yonhap News Agency and a union statement, the Samsung Electronics National Union in South Korea confirmed that it will carry out the planned strike after mediation discussions between the union and management were formally terminated. The union said the talks collapsed due to delays in management’s decision-making, and stated that it had accepted the mediator’s proposal while management failed to respond in a timely manner. Both the union and management separately confirmed the end of the talks. The union said it will continue to seek a negotiated resolution even as strike action proceeds. Analyst Eamonn Sheridan noted that the market will closely watch which factories and product lines are affected and how long the strike is expected to last. The union’s statement that it will keep pursuing an agreement during the strike suggests the dispute could be resolved relatively quickly, but the fact that mediation broke down after the union accepted the mediator’s proposal has firmly shifted market attention to management.

4. Foreign automakers make major strategic adjustments; institutions say Chinese brands are seeing new opportunities amid high oil prices.

It has been reported that Ford recently announced it will launch a comprehensive product and technology strategy in Europe over the next three years. On the same day, Subaru also made a strategic adjustment. According to reports, the company is readjusting the pace of its battery electric vehicle development, and the previously underway plan for in-house developed BEV models has been postponed, with priority now shifting to the flexible production of hybrid and traditional gasoline-powered models.

5. The yen's depreciation backfires on the domestic market! Japan's used car exports are booming, and the supply of affordable quality cars continues to shrink.

Under the continuous depreciation of the yen, Japan's second-hand car market presents a striking contrast. On one hand, thanks to the exchange rate advantage and excellent vehicle condition, the export volume of Japanese second-hand cars has been rising year after year, and is expected to set a new historical record in 2025. On the other hand, overseas buyers are aggressively purchasing, squeezing domestic car supply, leading to a continuous surge in second-hand car transaction prices in Japan. Models priced between "1 million to 2 million yen (approximately 6,300 to 12,600 USD)" have become scarce in the mainstream affordable segment, putting pressure on small and medium-sized dealerships and raising the purchasing threshold for ordinary consumers.

6. Humacyt's artificial blood vessel revenue increased by 400% quarter-over-quarter, with a 25% reduction in workforce.

Artificial blood vessel leader Humacyte (NASDAQ: HUMA) recently announced its financial results for the first quarter of 2026. The earnings report showed that sales of Symvess, the world’s first tissue-engineered blood vessel and the company’s core product, increased significantly quarter over quarter, but its net loss continued to widen. To address funding pressure, Humacyte announced a workforce reduction of approximately 25%, which is expected to save about $14.3 million in operating costs for the full year.

7. KRAIBURG TPE launches a soft-touch overmolding TPE suitable for wrist and hand orthosis designs.

Wrist-hand orthotic braces are customized protective devices and splints that provide support for bones, tendons, joints, and soft tissues, regulate wrist and hand movement posture, restore limb function, and help prevent the risk of secondary injury. As the biomedical industry gradually moves away from rigid manufacturing materials, thermoplastic elastomers (TPEs), with their skin-friendly, soft feel and adjustable hardness, are increasingly being used in the research, development, and manufacturing of wrist-hand orthotic devices.

KRAIBURG TPE’s THERMOLAST® H series is specially developed for orthotic braces and rehabilitation assistive devices. This series meets the industry standards for medical orthotic applications, while offering durability, flexibility, and excellent processability to meet the production needs of personalized, form-fitting brace wear.

Novvia Group acquires APC Packaging, continuing to strengthen its presence in beauty packaging.

Novvia Group has acquired APC Packaging, expanding its portfolio of beauty packaging solutions and, following several recent strategic acquisitions, further strengthening its presence in the skincare and cosmetics market.

This company, located in Fort Lauderdale, Florida, USA, brings mature experience in the sustainable premium packaging sector and will empower Novvia’s rapidly growing consumer goods business segment.

Overseas Macro Markets:

Xi Jinping holds talks with Russian President Vladimir Putin

On the morning of May 20, President Xi Jinping met with Russian President Vladimir Putin, who was in Beijing on a state visit, at the Great Hall of the People. The two heads of state unanimously agreed to extend the Treaty of Good-Neighborliness and Friendly Cooperation between China and Russia.

[German forests continue to suffer severe damage in 2025 amid prolonged heat and drought]

A survey released by the German government on the 19th showed that, affected by persistent high temperatures and drought, four out of five trees among the country’s most common forest species were in an “unhealthy” condition in 2025.

[Israeli military says personnel shortage issue may worsen in the coming months]

Shay Tayeb, head of the Planning and Personnel Management Division of the Israel Defense Forces’ Manpower Directorate, said on May 20 that as the first group of soldiers whose service has been shortened to 30 months are set to be discharged in January 2027, the IDF’s manpower shortage is expected to worsen significantly in the coming months. He also said that about 32,000 people have currently been classified as “draft dodgers,” while more than 50,000 others have received so-called “Order 12” notices, which are issued to those who fail to report on time when required to enlist. He warned that “the number of draft dodgers will soon reach 80,000 to 90,000.”

U.S. Air Force tanker spotted at an airport in Israel

On May 19 local time, a U.S. military tanker aircraft was spotted parked on the runway at Ben Gurion International Airport near Tel Aviv, Israel. It is currently unclear how long these military aircraft have been at the airport.

[Japanese Prime Minister Sanae Takaichi seeks to ensure that the supplementary budget does not involve large-scale bond issuance]

Japanese Prime Minister Sanae Takaichi said she hopes the supplementary budget to be compiled will not rely too heavily on bond issuance to fund it. “At this stage it is still difficult to say, but we expect the accounts to be in surplus next month or the month after, so we do not necessarily need to issue a large amount of government bonds,” Takaichi said during a party debate on Wednesday. “We do intend to draw up a budget immediately, which will naturally include bond issuance for the current fiscal year, but whether bonds will ultimately be issued is still undecided.” Takaichi said, “We aim to secure people’s livelihoods and business operations while reducing bond issuance as much as possible.”

[Iran’s Revolutionary Guard: If the U.S. and Israel take military action again, the war will spread beyond the Middle East]

On the 20th local time, the Islamic Revolutionary Guard Corps of Iran issued a statement, sternly warning the United States and Israel that if they launch another attack on Iran, the scale of regional war will be completely broken. The flames of war will spread beyond the Middle East region.

[Pimco Bullish on Japan 30-Year Government Bonds, Calls Yield Curve "Too Steep"] Pimco believes that driven by inflation and concerns over government spending, Japan's 30-year government bond yields have hit record highs, presenting an investment opportunity. Marc Seidner, Chief Investment Officer of Non-Traditional Strategies, stated that compared to other developed markets, Japan's yield curve has become "too steep," making long-dated bonds more attractive. The firm is currently bullish on Japan's 30-year government bonds while taking a bearish stance on 10-year bonds, expecting the yield spread between the two to further narrow.

[Chinese representative: Reopen the Strait of Hormuz as soon as possible on the basis of maintaining the ceasefire]

China’s Permanent Representative to the United Nations, Fu Cong, said at an emergency open meeting of the Security Council on the Middle East issue on the 19th, urging all parties to exercise restraint and avoid further escalation of tensions in the Gulf. Fu Cong pointed out that the issue of the Strait of Hormuz is an external spillover of this war. Disruptions to this shipping route have severely affected the smooth flow of global industrial and supply chains, the international trade order, and the stability of energy supplies, and countries of the Global South have borne enormous costs in terms of people’s livelihoods as a result. China advocates reopening the Strait of Hormuz as soon as possible on the basis of maintaining a ceasefire, and believes that the fundamental solution to the Strait issue lies in achieving a permanent and comprehensive ceasefire. China calls on all parties concerned to respond as soon as possible to the appeals of the international community, take active action, and promote the restoration of normal navigation in this international strait. China supports the United Nations in playing a greater role.

Xi Jinping on the situation in the Middle East

On the morning of May 20, President Xi Jinping held talks with Russian President Vladimir Putin, who was in China for a state visit, at the Great Hall of the People in Beijing. Xi pointed out that the situation in the Middle East Gulf region is at a critical juncture between war and peace. A comprehensive ceasefire brooks no delay, the resumption of hostilities is even more undesirable, and adhering to negotiations is particularly important. An early end to the fighting will help reduce disruptions to the stability of energy supplies, the smooth functioning of industrial and supply chains, and the order of international trade. The four-point proposal I put forward on maintaining and promoting peace and stability in the Middle East is intended to further build consensus in the international community and contribute to easing tensions, cooling the situation, ending the war, and promoting peace.

[U.S. Central Command: The U.S. military continues to fully implement maritime blockade operations against Iran.]

On May 19 local time, the U.S. Central Command said that the U.S. military is continuing to fully enforce a maritime blockade against Iran, preventing commercial trade from entering or leaving Iranian ports. U.S. Central Command stated that 89 commercial vessels have so far been redirected to ensure that they comply with the U.S. blockade measures.

Price information:

The central parity rate of the RMB against the USD is 6.8397, down 22 pips; the previous trading day's central rate was 6.8375, the official closing price of the previous trading day was 6.8039, and the night session of the previous day closed at 6.8122.

[USD Market Price of Upstream Raw Materials]

On May 19, ethylene was priced at USD 1,100/ton CFR Northeast Asia and USD 1,170/ton CFR Southeast Asia, down USD 20/ton.

Northeast Asia propylene FOB Korea average price rose to USD 1,230/ton, and CFR China average price remained stable at USD 1,250/ton.

North Asia refrigerated cargo CIF price: propane USD 970–978/ton; butane USD 1,070–1,078/ton.

South China frozen cargo June landed prices: Propane $985-995/ton; Butane $1035-1045/ton.

Taiwan region CIF price for refrigerated cargo: propane at USD 970-978/ton; butane at USD 1070-1078/ton.

LLDPE USD Market Price

Film: $1330/ton (CFR Huangpu);

[HDPE USD Market Price]

Thin film: USD 1,330/ton (CFR Huangpu);

Hollow: USD 1,400/ton (CFR Yantian);

Injection molding: $1380/ton (CFR Yantian);

[LDPE USD Market Price]

Film: USD 1,660/ton (CFR Huangpu);

[PP USD market price]

Average: $1,400/ton (CFR Huangpu);

Copolymerization: USD 1,560/ton (CFR Nansha);

Membrane material: USD 1,630/ton (CFR Huangpu);

Transparent: $1580/ton (CFR Huangpu).