Sodium Lignosulphonate prices entered January 2025 on a stable note in both the Asian and US markets. This steady trajectory was underpinned by balanced supply-demand fundamentals and subdued procurement activity, reflecting a soft start to the new year across both markets.

In the US, Sodium Lignosulphonate prices remained static during the first week of January 2025, supported by consistent production costs and adequate inventory levels. Despite macroeconomic challenges, such as rising freight charges and tariff ambiguities, supply chain disruptions were mitigated by robust inventory buffers. Logistics pressures intensified due to projected East Coast port strikes and elevated container rates, with spot freight rates climbing slightly.

Demand for the Sodium Lignosulphonate was moderate, driven primarily by limited downstream construction activity. However, pre-holiday stocking for Christmas and New Year subdued additional procurement during this period. Feedstock pricing trends, such as unchanged caustic soda rates and fluctuating wood pulp costs, further supported the price stability.

The US housing market’s performance also influenced Sodium Lignosulphonate consumption levels. The sluggish pace of home sales was primarily attributed to higher mortgage rates, which reached 6.85% for the week ending Dec. 26, according to Freddie Mac. These elevated rates deterred potential buyers, prompting many to remain inactive throughout the fall and early winter. This housing slowdown dampened the demand for construction materials, tempering Sodium Lignosulphonate purchases.

In China, Sodium Lignosulphonate prices mirrored a stable trend during the early week of January, due to ample supply and moderated demand from the downstream construction sector. The construction sales price index dropped by 1.1% to 47.5% in December 2024, signaling restrained investments. Despite weak stocking sentiment from international buyers, domestic suppliers-maintained equilibrium, aided by subdued regional freight rates.

China’s residential property market offered a mixed outlook. New-home sales by the top 100 real estate developers reached 451.4 billion yuan (USD 61.8 billion) in December, maintaining year-on-year stability. This contrasted with November’s 6.9% decline, reflecting partial recovery driven by government stimulus measures. However, subdued demand across neighboring markets limited export activity, keeping Sodium Lignosulphonate demand moderate.

The supply of Sodium Lignosulphonate, however, remained abundant during this period, as subdued stocking sentiments from overseas markets prompted downstream manufacturers to recalibrate their production levels. China's manufacturing sector showed a mild slowdown in December, as reflected in the manufacturing PMI, which edged down by 0.2 percentage points to 50.1%. While feedstock costs exhibited minor fluctuations—wood pulp prices increased while caustic soda prices remained stable—these changes marginally raised production costs but did not significantly impact Sodium Lignosulphonate pricing trends.