For the Quarter Ending December 2022
North America
The price of Ammonium Carbonate in the US market continued to fall during the fourth quarter due to the sharp decline in raw material costs, which also had a significant impact on the price of Ammonium Carbonate in the US market.
According to the statistics, feedstock natural gas prices fell by around 15% in November 2022, and this trend continued into December. Manufacturers were able to offer discounts to entice offtakes from downstream niche consumers because of the fall in feedstock costs, which had an impact on pricing patterns in important importing countries like India and the USA. Although there was still a labor deficit in the US market, the operating rate remained positive. In addition, the price of Ammonium Carbonate was falling as a result of unfavorable trade fundamentals and weak demand.
APAC
The APAC region's outlook for Ammonium Carbonate pricing in Q4 2022 remained bleak, with a large volume of material coming to India in Q4, making supply abundant. The supplies remained sufficient, and inventories were full to meet the domestic demand. Fertilizer consumption was expected to increase significantly during India's rabi season in October, but it did not materialize. The zero covid regulation also placed limitations on the Chinese market. Lockdown restrictions maintained the market's sentiment gloomy, silent, and negative. Additionally, freight rates remained on the lower side, and container availability was sufficient, which kept logistics smooth.
Europe
In Q4 2022, there were conflicting opinions on the pricing trend of European Ammonium Carbonate prices since natural gas prices remained very high and production shifted to accommodate the volatility. Additionally, conflicting opinions on freight costs and the limited quantity of containers had left the supply chain in shambles. Given the abundance of spot cargoes accessible to dealers and end users, the gloomy emotion is the predominant attitude, albeit many players are still unwilling to disclose prices or price objectives. The fourth quarter's fluctuating demand was reflected in how the downstream fertilizer market reacted. Russia increased the import quotas for all nitrogen fertilizers in November, which helped to boost the domestic supply.
For the Quarter Ending September 2022
North America
The Ammonium Carbonate price in the American market at the end of the third quarter of 2022 was around USD 365/MT Ammonium Carbonate Del Illinois. The cost of liquid carbon increased due to the sharp increase in downstream baker's Ammonia demand in the regional market. Significant beverage firms improved their production rates, raising demand for and utilizing Ammonium Carbonate in the North American market. During Q3 2022, an increasing trend in the price of Ammonium Carbonate was aided by high upstream Ammonia costs.
APAC
The cost of Ammonium Carbonate has been rapidly rising in most Asian nations throughout the third quarter of 2022. The increased demand for downstream beverages, as several large cities in Asia had one of the warmest quarters in some years, was the main factor pushing the price of ammonium carbonate. Ammonium Carbonate's price trend in Asian markets increased due to the product's demand in the food business. Due to the lockdown limitations, China's petrochemical industries were suspended, which decreased ammonium carbonate production and helped drive up prices in Q3 2022.
Europe
In the third quarter of 2022, Ammonium Carbonate prices continued to rise steadily on the European market. Several fertilizer factories in Europe halted operations due to high operating costs. The cost of producing Ammonium Carbonate was increased by high energy prices and a number of shut fertilizer manufacturing facilities. Additionally, the demand for ammonium carbonate from downstream sectors, including textiles, ceramics, and adhesives, remained high throughout the quarter. Due to rising upstream values for commodities like coal and natural gas, prices have been climbing worldwide for a while now.
For the Quarter Ending June 2022
North America
Due to high demand and constrained supply across North America, the price trend for ammonium carbonate accelerated in the second quarter of 2022. Because it is a natural gas derivative, the price of its feedstock, ammonia, has been rising steadily, which has decreased the price of ammonium carbonate and its byproducts. At the beginning of the quarter, the conflict in Eastern Europe also affected the supply chain for the entire global market, which included manufacturing plants that generated ammonia and ammonium carbonate. The growth of the ceramics and textile sectors led to a considerable increase in the demand for ammonium carbonate from downstream industries, contributing to North America's higher price trend.
APAC
Because the feedstock price, ammonia, a derivative of natural gas, increased significantly in Q2, the price of Ammonium Carbonate rose significantly in the Asian market. High demand from downstream sectors and decreased feedstock supply as a result of things like multiple plants stopping production for maintenance after port congestion. Prices for Ammonium Carbonate increased due to a rise in downstream demand. The downstream agricultural manufacturers are worried about a shortage of fertilizer supplies since total inventory levels in all significant sectors were significantly lower than historical levels. The average price of Ammonium Carbonate climbed this quarter once more, continuing the upward trend with the increase in Ammonia prices worldwide.
Europe
The improved market attitude toward basic raw materials has increased the demand for Ammonium Carbonate globally during Q2 2022. The dynamics of Ammonium Carbonate are supported by increasing demand from downstream industries like agriculture and building. International supply chains have been hampered by geopolitical tensions between Eastern European nations and European countries' reliance on Russian raw material exports. Ammonium Carbonate and its feedstock saw an acute shortage of supplies in the area as demand soared. Additionally, the demand for Ammonium Carbonate from downstream sectors, including textiles, ceramics, and adhesives, remained high throughout the quarter, and prices spiraled.
For the Quarter Ending March 2022
North America
Prices for ammonium carbonate grew steadily in the first quarter of 2022due to rising gas costs, increased demand from the United States, and several other factors including supply concerns, and market disruptions in the United States. Because total inventory levels in all key sectors are below record levels, but demand has remained strong, the downstream agriculture sector is concerned about a lack of fertilizer supplies. Ahead of the forthcoming spring season, farmers and other downstream end users were concerned about the country's fertilizer expenses. Prices in the worldwide market have been rising for a long time due to increasing upstream values such as Natural Gas and Coal. Ammonium carbonate del Illinois prices were reported at USD685/MT averaged during Q1 2022.
Asia Pacific
During Q1 2022, Ammonium Carbonate prices increased owing to stronger demand from downstream segments. Because total inventory levels in all key sectors were far below historic levels, the downstream agricultural manufacturers are concerned about a lack of fertilizer supplies. The price of Ammonium Carbonate increased again this quarter and settled at USD500/MT on an average, continuing the upward trend set by the global rise in Ammonia costs. Upstream nitrogen and coal prices and high natural gas prices pushed Ammonium Carbonate prices higher. Ahead of the next Kharif season in India, downstream end-users, notable farmers, were worried about the country's fertilizer prices. Prices in the global market have been rising for a long time due to increasing upstream values such as Natural Gas and Coal.
Europe
During Q1 2022, global demand for Ammonium Carbonate has been growing since the beginning of the year because of improved market sentiments for primary raw materials. Ammonium Carbonate's dynamics are aided by rising demand from downstream sectors such as agriculture and construction. Geopolitical tensions between Eastern European countries and European nations' reliance on Russia for raw material exports have impeded the supply chain, internationally. COVID-19's reappearance, as well as the harsh measures taken by Chinese and Korean authorities to fight its spread, wreaked havoc on European logistics. In the first quarter of 2022, the price of ammonium carbonate was projected to be USD 350/MT CFR Hamburg in Germany.
For the Quarter Ending December 2021
North America
The pricing trend of Ammonium Carbonate accelerated in the fourth quarter of 2021 due to high demand and low supply across North America. Because it is a Natural Gas derivative, the price of its feedstock Ammonia has been steadily rising, putting downward pressure on the price of Ammonium Carbonate and its downstream products. Furthermore, Hurricane Ida in the United States affected not only the operation of various production units, including those producing Ammonia and Ammonium Carbonate, but also the supply chain across the international market at the beginning of October. Furthermore, due to the growth of the ceramics and textile industries, there was a significant increase in demand for Ammonium Carbonate from downstream industries, which aided the rising price trend in North America.
Asia
In Q4, the Asian market saw a large increase in Ammonium Carbonate prices, owing to a significant increase in the price of the feedstock Ammonia, which is a Natural Gas derivative. High demand from downstream industries and reduced feedstock availability due to factors such as a halt in numerous factories for maintenance following port congestion in October, as well as a Chinese ban on exports, sent tremors through the Ammonium Carbonate market. Disruptions in the supply chain from China and the Middle East because of covid restrictions and port congestion led to the upward trend in Ammonium Carbonate pricing in Q4.
Europe
The exponential spike in Ammonium Carbonate pricing in the European market was caused by strong demand and limited availability of Ammonium Carbonate and its feedstock across the region. In addition, following the maintenance period, Gazprom cut down its natural gas supplies to Europe for about two months. Furthermore, throughout the quarter, demand for Ammonium Carbonate from downstream industries such as textiles, Ceramics and Adhesives remained strong.
