Methyl Ethyl Ketone Prices to Plunge in the South Korean Market

Methyl Ethyl Ketone (MEK), also known as Butanone, is dropping in the South Korean market due to the fall in upstream crude prices. The low import charges and the factory price reduction were the other significant reasons that pulled down the Methyl Ethyl Ketone market.

South Korea is one of the major importers of Methyl Ethyl Ketone in the Asian region. The fall in the upstream Crude prices caused by the recession has been affecting the prices of Methyl Ethyl Ketone. Moreover, the reduced buying activities from the consumer end are dragging down the Methyl Ethyl Ketone market. Hence, the demand for Methyl Ethyl Ketone declined in the South Korean market. In addition, the downstream rubber, chemical, and agricultural sectors are also backing off from purchasing new products as they utilize the existing products.

However, China exports the major quantity of Methyl Ethyl Ketone to South Korea, and the drop in factory side costs has forced the traders to follow the same price trend. Due to overflowing inventories in the Chinese domestic market, the traders negotiated with the stockpiled goods. Hence, the imported prices are low, and the supply flow is high; thus, the Methyl Ethyl Ketone price trend continued to fall.

In addition, the Norway strike has also been impacting the raw material market globally. Amidst the drop in the tight supply of oil and gas, the raw material prices are dropping. When inquired, one of the Korean traders quoted that the global recession has affected the traders due to the drop in commodity prices.

According to ChemAnalyst, Methyl Ethyl Ketone prices might remain down in the coming weeks due to the poor demand from the domestic market. Raw material prices are likely to remain low in the domestic market. Moreover, the market buying sentiments might stay low due to the reduced demand from the consumer end. Also, the recession in the global market may further pull down the Methyl Ethyl Ketone market.