For the Quarter Ending September 2024
North America
In Q3 2024, the Benzaldehyde price trend oscillated in the North American region, showcasing moderate sentiments in the market. At the beginning of the quarter, prices witnessed a notable increase, driven by a combination of factors influencing the market dynamics. Factors such as steady demand, limited supplies, and cost support from feedstock Toluene and affected supplies due to hurricanes in the region contributed to the overall bullish market sentiment, highlighting a stable and robust pricing landscape for Benzaldehyde in the region.
In the middle of the third quarter, Benzaldehyde production rates improved in the exporting Asian region because of the improved availability of feedstock supplies. The offtakes were moderate, and market players reduced their quotations. The correlation in price changes demonstrated a positive sentiment in mid-Q3.
Towards the end of Q3, the impact of Hurricane Helene resulted in reduced manufacturing activities and demand from end-user industries and an increase in domestic stockpiles. The market players reduced their quotations to improve market offtakes.
APAC
In Q3 2024, the Benzaldehyde price trend showcased bullish movement, and prices in the APAC region experienced a notable increase of 26%. The market was heavily influenced by supply disruptions, such as plant shutdowns by key manufacturers like Wuhan Dico Chemical Co., Ltd in China, which led to inadequate supplies and increased costs. Demand remained strong, particularly from the pharmaceutical sector, further driving prices up. India witnessed a significant surge in demand for Benzaldehyde from various industries, particularly the cosmetics and personal care sectors. This uptick in demand, coupled with moderate supply levels, led to a bullish market sentiment. At the same time, cost support from feedstock Toluene contributed to the rise in production costs, further influencing the pricing trend. Additionally, the market's dynamics were further complicated by supply chain disruptions impacted by seasonal factors like monsoons and typhoons and geopolitical tensions affecting crude oil imports, leading to variable feedstock availability and weak production rates. Overall, the pricing landscape for Benzaldehyde in Q3 2024 was characterized by positive momentum, with rising prices driven by supply constraints and robust demand, especially from key sectors like pharma.
Europe
In Q3, the Benzaldehyde market in the European region has been characterized by a fluctuating pricing environment. At the beginning of the quarter, prices showcased an upward movement, as the demand was firm from the key downstream pharma sector, while the manufacturing activities were low amid labor shortages during summer holidays in the region. Reduced production with a consistent decline in the Eurozone Manufacturing PMI Index resulted in low supplies to the market and stressed the inventory levels amid firm offtakes. Supply-side dynamics also played a role, as supply availability was moderately low during the summer holidays creating imbalanced demand-supply dynamics. Yet demand failed to match this increase, as The Eurozone's beauty sector demand continued to remain robust, significantly impacting Succinic Acid consumption. Seasonality played a role as summer holidays resulted in labor shortages and reduced manufacturing rates, impacting supply chains. Additionally, concerns about a potential recession in the US affecting the international crude oil market and refinery operations have led to a shortage of feedstock Toluene supplies, impacting Benzaldehyde production rates. Conclusively, the quarter concluded after an overall notable surge in the last quarter's prices, indicating a consistent upward trend.
For the Quarter Ending June 2024
North America
The North American Benzaldehyde market experienced price fluctuations and an overall bullish trend during the second quarter of 2024, driven by several factors. Supply chain disruptions, including major plant shutdowns and reduced feedstock toluene availability, led to constrained production and higher prices. At the same time, the rise in crude oil prices increased production costs, contributing to the bullish pricing environment.
In the mid-quarter, the supply side remained relatively stable, with manufacturers maintaining consistent operating rates. In the USA, where price changes were most pronounced, robust demand from the pharmaceutical sector and firm orders from polymer sectors boosted Benzaldehyde consumption. At the same time, the energy sector witnessed escalations in costs due to geopolitical tensions and positive economic data, as per EQT, which raised the variable production costs.
Overall, Benzaldehyde prices rose notably in the second half of the quarter compared to the first half, reflecting strong demand and limited supply. This price level indicates a resilient market, balancing demand surges with ongoing supply constraints.
APAC
In the second quarter of 2024, Benzaldehyde prices saw a shift and significant increase across the APAC region at the end of the quarter driven by a consistently positive market outlook. Several key factors contributed to this upward trend. The quarter saw production and supply chain disruptions, particularly from severe rainstorms that led to force majeure declarations at major plants, including Hubei Kelin Bolun New Materials Co., Ltd., Hubei Greenhome Fine Chemical Co., Ltd., and Wuhan Dico Chemical Co., Ltd. These shutdowns reduced Benzaldehyde availability, affecting regional supply and driving up prices. Additionally, the increased cost of feedstock Toluene, due to fluctuations in crude oil prices, further increased production expenses, leading suppliers to raise their prices. In Asia, the market dynamics were especially notable, with the country experiencing the most significant price changes in the region. The second quarter saw strong demand from end-user industries, particularly in the pharmaceutical and agricultural sectors. Increased activities in the agriculture sector heightened the demand for Benzaldehyde-derived agrochemicals. This surge in demand and reduced supply from regional disruptions created upward pressure on prices. Overall, there was a notable increase in the prices between the first and second halves of the quarter, compared to the previous quarter, indicating a sustained price hike in a bullish market environment. By the end of the quarter, prices reflected a complex interplay of supply constraints, higher production costs, and strong market demand. The pricing environment for the quarter was notably positive, influenced by a combination of external disruptions and rising input costs.
Europe
The European Benzaldehyde market experienced price fluctuations and a generally bullish trend during the second quarter of 2024, driven by several factors. Supply chain disruptions, including major plant shutdowns and reduced availability of feedstock toluene, led to constrained production and higher prices. Additionally, rising crude oil prices increased production costs, further contributing to the bullish pricing environment. By mid-quarter, the supply side remained relatively stable, with manufacturers maintaining consistent operating rates. In Germany, where price changes were most pronounced, robust demand from the pharmaceutical sector and firm orders from polymer sectors boosted Benzaldehyde consumption. Simultaneously, the spike in demand particularly from the personal care and food sectors, contributed to the incline. At the same time, the energy sector faced cost increases due to geopolitical tensions and positive economic data, which raised the variable production costs of Benzaldehyde. Overall, Benzaldehyde prices rose significantly in the second half of the quarter compared to the first half, reflecting strong demand and limited supply. This price level indicates a resilient market, balancing demand surges with supply constraints.
For the Quarter Ending March 2024
North America
The Benzaldehyde price trend remain strong in the North American market during the first quarter of 2024. At the beginning of the quarter, the demand for Benzaldehyde was moderately low during the New Year holidays and firm availability of stocks in the market. However, orders increased from buyers after the holidays, and import costs surged due to notable escalations in freight costs.
During the mid-quarter, feedstock supplies were affected because of the low availability of upstream Crude Oil stocks in the global market due to production cuts by OPEC+ and rising anticipations of further Oil production cuts by OPEC+ after the cease-fire in the Israel-Hamas War. Simultaneously, the energy sector witnessed escalations in energy costs due to geopolitical tensions and positive economic data. It impacted the production rates of Benzaldehyde and raised its production costs. The orders were stable from the aromatics industries and food sector.
Towards the end of the quarter, Benzaldehyde prices continued to showcase bullish movement in the USA as orders were firm from the buyers due to the steady demand for dyes and aromatics in the manufacturing sector. At the same time, the food sector exhibited a surge in demand for Benzaldehyde due to increased consumer orders for the Easter festival.
APAC
In the first quarter of 2024, Benzaldehyde pricing dynamics in the APAC region displayed a mixed trend. At the beginning of Q1, prices inclined as the availability of stocks was inadequate in the market due to affected production rates due to firm demand for feedstock Toluene and stressed supplies of upstream Crude Oil from the Middle East exporters amid aggravated supply concerns after a missile attacked an oil tanker at the coast of Yemen. At the same time, the orders remained firm for stocking purposes from domestic buyers amid consistent consumption of flavouring agents from the food sector amid the ongoing wedding season in the country. However, in the mid-quarter, prices fell as the feedstock Toluene market witnessed a decline due to increased purchases of upstream Ural Crude Oil by producers and subdued demand from downstream industries. It reduced the production costs of Benzaldehyde. Towards the quarter's end, prices oscillated again, and prices inclined due to improved inquiries from insecticide producers amid the rise in demand from the horticulture sector in the country. At the same time, the air cargo market witnessed increased demand for the third consecutive month in March, fuelled by the expansion of e-commerce and shipping disruptions in the Red Sea, impacting air freight rates and product supplies in the international market.
Europe
In the first quarter of 2024, the European Benzaldehyde market remained stable on the higher end. Initially, supply chain delays and extended lead times hindered the availability of supplies within the regional market. However, demand was moderate from the Aromatics and dye industries. It caused a slight reduction in the Benzaldehyde market prices. During the mid-quarter, the production rates were affected by elevated energy costs and limited access to Toluene feedstock, exacerbated by supply chain disruptions stemming from heightened tensions in the Middle East. The situation was further complicated by a missile attack on an oil tanker off the coast of Yemen, leading to increased shipping traffic along alternative routes. Simultaneously, uncertainties regarding energy security in Europe arose, influenced by a pause in US LNG exports, impacting variable costs across industries. Meanwhile, the textile industry slowed down in February 2024 due to increased raw material costs and abundant previous stock availability, which negatively impacted consumption from dye manufacturers. Towards the quarter's conclusion, regional manufacturing units grappled with disruptions to production schedules due to a shortage of skilled labor. It resulted in diminished output rates and escalated operational costs. Additionally, global air cargo demand experienced its third consecutive monthly increase in March, driven by the expanding e-commerce sector and disruptions in shipping routes, particularly in the Red Sea region, leading to fluctuations in air freight rates. Consequently, Benzaldehyde prices trended upward again by the quarter's end.
For the Quarter Ending December 2023
North America
The North American Benzaldehyde prices showcases a feeble price trend as price declination in feedstock Toluene market declined the production cost. Benzaldehyde prices show decline in Q4 2023 as the bearish trading activities and high product inventories further pressurized the producers to provide discounts on the bulk purchases.
Exports of Benzaldehyde from US to other North American region weakens due to absence of product demand. The downstream personal care and fragrance market remained in a slump this quarter on the back of potential demand disruption. Suppliers and traders remain skeptical about increasing the prices due to feeble product requirement and retailers complain about limited buyer interest.
North American Benzaldehyde price fell slightly towards the end of the quarter alongside the underlying futures contract with stockpiling of inventories. Supported by feeble bids and the low operating rate of the ventures due to oversupplies, resulted in sluggish a price trend. Also, the sales of Benzaldehyde from the locale and Mexico and Canada remain extremely slow in the wake of gradual increase in product inventories.
Asia Pacific
In the APAC region, the Benzaldehyde market in the current quarter of 2023 (Q4) witnessed several significant factors that impacted prices. Firstly, oversupply and intense competition among suppliers led to a decline in prices. The market was flooded with an excessive amount of Benzaldehyde, causing an imbalance between demand and availability. This surplus of stock prompted producers and suppliers to lower prices in order to remain competitive. Secondly, the subdued performance of the food and beverage and dye industries resulted in low to moderate demand for Benzaldehyde. These industries experienced a sluggish market during the quarter, further contributing to the downward pressure on prices. In terms of plant shutdowns, no specific information was provided regarding any shutdowns during this quarter. Focusing on India, the country experienced the most significant changes in Benzaldehyde prices. The market in India was impacted by the oversupply and intense competition, leading to a decrease in prices. Additionally, the low demand from the food and beverage and dye industries further contributed to the downward pressure on prices in India. In Dec 2023, the price of Benzaldehyde CFR JNPT in India was USD 1399/MT.
Europe
When compared with the previous quarter, the price of Benzaldehyde in the European market remains plunged under the influence of limited market bids and low market offers from the downstream enterprises. Most suppliers have ample existing stocks and limited trading dynamics for fresh stock, resulting in a bearish cost support. Europe had seen its lowest Benzaldehyde offers from significant producers with no firmer offers and weak purchasing appetite. The increase in supply, weaker demand, and limited requirement from the downstream ventures has dampened any opportunity for producers to increase prices in Q4 2023. Most suppliers have ample existing stocks and limited trading dynamics for fresh stock, resulting in a bearish cost support. Europe had seen its lowest Benzaldehyde offers from significant producers with no firmer offers and weak purchasing appetite. The increase in supply, weaker demand, and limited requirement from the downstream ventures has dampened any opportunity for producers to increase prices in Q4 2023. In terms of downstream enterprises, the demand fundamentals of Benzaldehyde from the downstream personal care and fragrance industries remain weak with slow market offtakes, declining the product consumption from the end-users.
