For the Quarter Ending September 2024
North America
Calcium formate pricing in North America during Q3 2024 saw a notable uptrend, especially in the USA market. Several key factors converged to drive this price increase. A resurgence in demand from downstream industries, particularly cement and concrete, played a significant role in fueling the need for calcium formate. This demand was further supported by the industry's shift toward sustainable practices, increasing reliance on this chemical compound. Additionally, supply chain disruptions due to multiple disruptions from hurricanes and rising freight costs constrained availability, exerting further pressure on prices.
In the USA, substantial price fluctuations were evident, reflecting the impact of these intense market forces. The quarter witnessed an increase from the previous quarter, indicating a positive trajectory for pricing. Although there was a slight decline compared to the same quarter in 2023, the market demonstrated resilience and adaptability. The second half of the quarter experienced only a marginal price difference from the first half, signaling stability amidst broader market fluctuations.
By the end of Q3, calcium formate prices in the U.S. remained significantly elevated, underscoring the robust pricing environment and the strength of the North American market.
APAC
In Q3 2024, the calcium formate market in the APAC region experienced a mixed trend, ultimately seeing a significant price decline on a quarterly basis. Several factors contributed to this downward trajectory. Weak demand from key downstream sectors such as cement and concrete played a crucial role in driving prices down. Seasonal factors, including heavy rainfall, further dampened construction activities, negatively impacting demand from these industries. Additionally, limited cost support from feedstocks eroded market confidence, as global demand remained sluggish. New capacity additions during the quarter exacerbated the oversupply, further pressuring prices. In China, the most pronounced price fluctuations were observed, with the market seeing an 18% drop compared to the same quarter last year and a 4.6% decline from Q2 2024. The bearish sentiment prevailed as the market continued to grapple with oversupply and declining prices. By the end of the quarter, the spot price of calcium formate in China stood at USD 480/MT FOB Qingdao, highlighting the challenging market conditions.
Europe
In Q3 2024, the European calcium formate market faced a steady decline in prices due to several influencing factors. Subdued demand from key downstream sectors, particularly in cement and concrete due to slowdown in the construction activities, significantly impacted market dynamics. Challenges within the feedstock market, combined with excess calcium formate inventories, further pressured prices downward. Limited bidding activity and cautious trading behavior reflected the overall market uncertainties and a restrained purchasing approach among buyers. Germany saw the most notable price fluctuations during this period, facing significant changes compared to the same quarter in 2023. Despite a slight price increase from Q2 2024, the overall trend remained negative as weak demand and ample supplies created a bearish environment. Price analysis between the first and second halves of the quarter revealed a slight decline, indicating the market's ongoing struggle to recover. By the end of Q3, the calcium formate market in Europe remained on a downward trajectory, highlighting persistent challenges in supply-demand balance. This consistent price decline reflects the tough market conditions faced across the region during the quarter.
For the Quarter Ending June 2024
North America
In Q2 2024, the US Calcium Formate market followed the mixed trend using Calcium Carbonate as a feedstock, experienced various influences shaping its pricing dynamics. Initially, the market saw a price surge during the first two months due to limited supply and strong demand, creating a bullish environment. However, this trend reversed in the last month of the quarter, leading to a price decline.
The inflationary environment added to the complexities, affecting overall market sentiment and consumer purchasing power. Despite a generally stable economic backdrop with moderate growth in the manufacturing sector, the Calcium Formate market faced challenges due to a slower rate of expansion and declining orders in both manufacturing and services sectors.
In the USA, where the most significant price changes occurred, the overall trends reflected a bearish market sentiment. The arrival of the monsoon season, a key seasonal factor, contributed to the muted demand from the construction sector, further influencing the negative price trajectory. The connection between these seasonal trends and broader economic pressures was evident in the price movements throughout the quarter.
APAC
In Q2 2024, Calcium Formate pricing in the APAC region experienced considerable fluctuations, reflecting a complex interplay of market dynamics. The quarter was marked by several influential factors, including robust demand from downstream sectors such as cement and concrete, which were integral in propelling prices upward. Elevated production costs, driven by increasing coal prices and intensified geopolitical tensions, further contributed to the upward pressure on Calcium Formate prices. Additionally, logistical disruptions and higher freight rates exacerbated supply chain challenges, resulting in tighter market conditions. Despite these factors, the overall sentiment remained cautiously optimistic, as demand consistently outpaced supply.
Focusing on China, which observed the most significant price variations, the market saw pronounced trends influenced by seasonality and broader economic conditions. The quarter's performance was notably impacted by a 1% increase from the previous quarter, reflecting a sustained upward momentum. This period also recorded a 2% price rise between the first and second half of the quarter, indicating a gradual but steady increase in market confidence and demand. However, when compared to the same quarter last year, prices were down by 18%, highlighting the long-term volatility and recovery challenges within the market.
China's Calcium Formate market remained highly responsive to seasonal demand shifts and broader economic indicators. The latest quarter-ending price stood at USD 490/MT FOB-Qingdao, underscoring the market's resilience despite ongoing challenges. This pricing environment, though marked by volatility, ultimately reflected a stable to positive sentiment, driven primarily by strong demand fundamentals and a recovering global economy. The consistent increase in prices throughout the quarter indicates a robust market with underlying growth potential, despite facing external pressures and historical declines.
Europe
In Q2 2024, the European Calcium Formate market, relying on Calcium Carbonate as a feedstock, encountered various factors influencing its pricing dynamics. Overall, the market faced downward price pressure due to excess supply and diminished demand, creating a bearish environment. The economic slowdown significantly impacted prices, particularly in the construction sector, a major application for Calcium Carbonate, leading to surplus supply and potential price drops. However, stabilizing energy costs, especially in natural gas used for Calcium Carbonate production, helped reduce expenses and eased supply constraints. Trade disruptions due to political tensions or logistical issues also negatively affected Calcium Carbonate import/export dynamics.
The strong construction sector, driven by increasing home sales and government-backed infrastructure projects, has substantially boosted demand. Seasonal factors, like favorable summer conditions, have further intensified construction activities, strengthening the positive pricing trend.
For the Quarter Ending March 2024
North America
In Q1 2024, the US Calcium Formate market, with Calcium Carbonate as a feedstock, was influenced by various factors, shaping its pricing dynamics. Initially, the market witnessed a surge in prices during the first two months, driven by limited supply and robust demand, fostering a bullish market environment. However, the trend reversed in the last month of the quarter, with prices experiencing a decline.
January 2024 saw a price increase due to global supply chain disruptions, notably in materials like Calcium Carbonate, intensifying market dynamics and potentially posing inventory challenges for manufacturers. February sustained the upward trend as demand surged from food and pharmaceutical industries, resulting in tightened supplies and elevated prices. However, March witnessed a decline in prices for food-grade Calcium Carbonate in the USA due to seasonal shifts and increased production.
Despite this temporary dip, the overall quarterly trend remained upward, reflecting persistent supply chain challenges. Prices concluded the quarter at USD 782/MT, indicating a quarterly incline despite fluctuations. Throughout the quarter, challenges in procurement and logistics underscored the fragility of the supply chain, emphasizing the need for resilience and adaptability in the face of evolving market dynamics.
APAC
The first quarter of 2024 has been characterized by decreasing prices for calcium formate in the APAC region. Several factors have contributed to this trend. In general, the market has been influenced by sluggish demand and oversupply, leading to a downward pressure on prices. Additionally, the impact of the Lunar New Year holiday in China has resulted in reduced trading activities and limited procurement, further dampening market conditions.
China, in particular, has experienced significant price changes for calcium formate. The overall trend has been negative, with prices declining by 21% compared to the same quarter last year. The quarter-on-quarter price change for Q1 2024 recorded a decrease of 23%. Moreover, there has been a notable price difference between the first and second half of the quarter, with prices falling by 8%. The latest quarter-ending price for calcium formate in China stands at USD 460/MT FOB-Qingdao. This reflects the prevailing bearish sentiment and the overall decreasing pricing environment in the region.
Overall, the pricing environment for calcium formate in the APAC region during Q1 2024 has been negative, with prices declining consistently. The market has been impacted by factors such as sluggish demand, oversupply, and the influence of the Lunar New Year holiday.
Europe
In Q1 2024, the European Calcium Formate market, with Calcium Carbonate as a feedstock, faced diverse influences shaping its pricing dynamics. Overall, the market encountered downward price pressure due to surplus supply and reduced demand, fostering a bearish environment. The economic slowdown significantly impacted prices, particularly in construction, a primary application for Calcium Carbonate, resulting in surplus supply and potential price declines. However, stabilizing energy costs, notably in natural gas utilized in Calcium Carbonate production, alleviated expenses and mitigated supply constraints. Trade disruptions stemming from political tensions or logistical challenges also adversely affected Calcium Carbonate import/export dynamics.
Examining pricing trends in Belgium reveals notable fluctuations. Prices decreased by 4% compared to the previous quarter in 2024. While the first half witnessed a slight increase, the latter half experienced a decline. Quarter-ending prices in Belgium settled at USD 655/MT of Calcium Carbonate Industrial Grade FD Antwerp, reflecting an overall negative pricing environment characterized by a downward trend.
For the Quarter Ending December 2023
North America
In North America, Calcium Formate prices exhibited a comparable trend to Europe, witnessing a modest decline of 5-10% in Q4. The key drivers influencing this movement include seasonality, with reduced construction activity during winter months leading to lower demand for calcium formate. Increased competition among producers acted as a mitigating factor, preventing substantial price increases. Additionally, stable raw material costs, akin to the European market, contributed to controlling production costs.
Regional variations were observed, with prices slightly higher in the Northeast and Midwest compared to the South and West. The overall dynamics in Q4 reflect the impact of seasonal factors on demand, the competitive landscape among producers, and the stability of feedstock costs, all contributing to the moderate decline in prices across North America.
Europe
In Q4, Calcium Formate prices in the European market experienced a slight decline of 5-10% compared to Q3, following significant increases earlier in the year driven by rising raw material costs and supply chain disruptions. Weakening demand from the construction and leather industries exerted downward pressure on prices, while stable raw material costs, particularly for acetic acid, provided some relief to producers. Ample supply, with sufficient inventory levels across the region, also contributed to the price decline. Regional variations were observed, with prices generally remaining higher in Western and Central Europe compared to Eastern European markets. The overall market dynamics in Q4 were characterized by a delicate balance between weakening demand, stabilized raw material costs, and ample supply, influencing the downward trajectory of prices.
Asia Pacific
In Q4, Asia Pacific exhibited a distinct pricing trend, maintaining relative stability with minimal fluctuations, unlike Europe and North America. The key drivers influencing this stability include strong demand sustained by continued growth in the construction and chemical industries within the region. The limited regional production of calcium formate, relying on imports from other regions, acted as a factor preventing substantial price decreases. Volatile feedstock costs, while generally stable, saw some fluctuations in the region. The overall market dynamics in Asia Pacific during Q4 underscore the interplay of factors such as sustained demand, dependency on imports for calcium formate, and occasional fluctuations in raw material costs. These elements contributed to the stability observed in prices, setting Asia Pacific apart from the fluctuating trends seen in other global markets during the same period.
