Bromine Prices in the USA Show Bullish Trend Due to Surge in Demand in May 2023

In the USA, the Bromine market was bearish in the first month of Q2 2023 amid low operating rates in the intermediate and downstream flame-retardant sectors. The industry was pessimistic, and Bromine production was low. Domestic manufacturers of downstream flame retardants and Bromine seek to stabilize domestic market prices.

The offered quotations for FOB Houston Bromine Bulk were on the downhill in April 2023, and throughout the month, bearish sentiments for the product were registered in the domestic market. From March 2023 to April 2023, the prices declined to USD 3416/MT from 3903/MT the previous month, a drop of nearly 12%.

Whereas, in the first half of May, the market fundamentals rebounded, and bullish sentiments prevailed as the downstream demand rose and increased procurement from the consumer markets was registered.

In the first week of May 2023, the FOB Houston prices of Bromine Bulk inclined slightly by 1.7% to USD 3440/MT. The next week exhibited a considerable surge of 7.8%, and the market prices stood at USD 3707/MT in the week ending on 12th May 2023. Moreover, in the third week of May, the quotations rose significantly by 11.1% to USD 4117/MT. The supply of Bromine was sufficient in the domestic market, and the demand prospect was buoyant to support positive market sentiments for the commodity in the North American region.

As per ChemAnalyst, "In the context of the brisk demand and active buying activity, Bromine price realizations in the USA are anticipated to stay on the upward trajectory in the upcoming weeks. According to market trends, prices increased during the second quarter of 2023 as demand for the product was robust. Furthermore, amid accelerated market activities in the USA, a large increase in inquiries from various importing nations in the local market is anticipated. Bromine prices fell substantially in the first three months of 2023. However, given the industry's continued confusion, the possibility of increased demand from the flame-retardant market is expected to bring much-needed confidence."