In October 2024, the Aluminosilicate market in Asia and Europe encountered notable price declines, driven largely by decreased demand from key downstream sectors such as construction and cement. The demand for Aluminosilicate, widely applied as a cement additive and in building materials, was impacted as these industries continued to experience reduced activity. In Europe, the market faced additional strain from a surge of low-cost imports and sluggish construction demand, adding to the downward pressure. Lower shipping rates from Asia to Europe further decreased import expenses for commodities, including Aluminosilicate. Consequently, Aluminosilicate prices dropped by 15% FOB Shandong in China, while prices in Germany declined by 3% FD Hamburg, underscoring the broader pessimistic outlook in both markets.

In Asia, the Aluminosilicate market is heavily influenced by demand from the construction and cement sectors, with China as the dominant market currently facing a slump due to high supply levels and waning demand. This trend has reverberated across the broader Asian market. Recent figures show a significant decline in cement sales, directly impacting the need for Aluminosilicate. In Indonesia, for example, cement sales decreased by 2.9% year-on-year in September 2024, with the trend continuing in October as high costs and economic uncertainties slowed construction and limited new project investments. Similarly, Vietnam’s Ministry of Construction reported significant declines in cement production and sales during the first eight months of 2024, highlighting issues like excess capacity, declining exports, and weak domestic demand. Asia’s broader construction slowdown points to cautious investment and reduced infrastructure spending, further diminishing the demand for critical materials like Aluminosilicate.

The Aluminosilicate market in Europe has mirrored Asia’s decline amid a protracted construction slowdown, most notably in Germany, a major EU consumer of Aluminosilicate. Germany’s construction sector entered Q4 with further reductions in activity and new orders, led by a sharp contraction in housing, alongside declines in the commercial and civil engineering sectors. October 2024 saw significant drops across residential, commercial, and civil engineering construction, which triggered cutbacks throughout the supply chain as orders for building materials, including Aluminosilicate, were scaled back. The persistent demand slump in housing and commercial construction poses ongoing challenges, with weak investment in new projects continuing to push Aluminosilicate prices downward.

As per ChemAnalyst, Aluminosilicate prices are anticipated to continue their downward trend through year-end, driven by the bearish October market conditions. In Europe, persistent weak demand combined with abundant supply is expected to sustain this price decline. In China, the outlook remains uncertain as challenges in the construction and cement sectors weigh on market dynamics. Furthermore, year-end destocking could exacerbate the downward pressure on prices as ample supply meets softer seasonal demand, particularly with the construction slowdown anticipated during the winter months.