For the Quarter Ending December 2023
North America
In the North American region, the Detergent Alcohol market in the fourth quarter of 2023 witnessed several significant factors impacting the prices. Firstly, the inquiries from the downstream Personal Care industries gradually increased, leading to an upward trend in prices. Additionally, the drop in inflationary pressures across the market further supported the favorable market environment for Detergent Alcohol.
However, the limited production activities and low availability of finished Detergent Alcohol stocks posed challenges for manufacturers. The prices of energy materials, particularly crude oil, rose during this period, contributing to higher manufacturing costs for Detergent Alcohol. Furthermore, the rally in crude oil prices increased the demand for palm oil for biofuel production, resulting in reduced supply for the Personal Care sector.
Furthermore, in December, Amid the destocking season, manufacturers have opted for price cuts to stimulate new shipments. as per the US Commerce Department, In November, exports contracted as a result of subdued international demand. Both domestic and foreign markets are experiencing a slowdown, attributed to substantial interest rate hikes implemented by global central banks since 2022 to combat elevated inflation, However, The U.S. central bank held its policy rate steady at 5.25-5.50%. The price of Detergent Alcohol C12-15 DEL Louisiana in the USA for the fourth quarter of 2023 is USD 1706/MT.
APAC
The Q4 2023 for Detergent Alcohol in the APAC region was characterized by a stable to bullish market situation with high to moderate demand. The availability of Detergent Alcohol was sufficient to meet the demand from the downstream Surfactant and detergent industries, and there was active demand from the downstream Personal Care industries with the stabilization of economic conditions. In India, solid procurement from the downstream industries has been reported in the fourth quarter of 2023. However, in December, The destocking season has led to a greater inclination to release the inventories at lower prices. In addition, the freight rates remained lower with no major supply-chain disruptions. In addition, upstream Palm Oil prices dropped in the domestic market, as the major exporting nations, Indonesia and Malaysia have reported high inventories leading to a decrease in manufacturing costs of Detergent Alcohol. In China, the prices of Detergent Alcohol witnessed a bullish trend with an increment of 3.5% in November, followed by a drop of 1.5% in December. The year-end demand from the downstream personal Cre industries has remained lackluster and as a result, the production activities have contracted to maintain the market equilibrium. The current quarter's price of Detergent Alcohol C12-14 - CFR Shanghai in China is USD 1340/MT.
Europe
The European region's Detergent Alcohol market witnessed a bearish trend in Q4, with moderate to low demand from the downstream end-use industries. Plant shutdowns were not reported by market participants. The top three factors that affected the market were a decline in demand from the Personal Care industries, a decrease in European natural gas prices, and lower operating rates of manufacturing firms. Germany experienced the most significant changes in prices, with a percentage change of -7% from the previous quarter and a price percentage comparison of 9% between the first and second halves of the quarter. Furthermore, in December, as per the market participants, the downstream demand entered the off-season in peak winter, which has led to bearish Detergent Alcohol market sentiments. Some Detergent Alcohol companies have initiated scheduled maintenance during a slack season to alleviate the pressure stemming from a rapid uptick in inventory, thereby reducing the operating rates. On the upstream front, the cost support from Palm Oil has been limited as its prices have remained on the lower end. As per ChemAnalyst, the latest price of Detergent Alcohol C12-14 FOB Hamburg in Germany for the current quarter is USD 1822/MT.
For the Quarter Ending September 2023
North America
In the US market, the prices of Detergent Alcohol have demonstrated a volatile market trend. In early Q3, the decline in consumption from the downstream Personal Care sector prompted the manufacturers to keep the prices of Detergent Alcohol at low levels. In addition, an excess supply of Palm Oil, a key ingredient from Indonesia and Malaysia, combined with reduced orders from China and Europe, has led to lower prices. Consequently, this has driven down production costs for Detergent Alcohol. In line with the current market situation, in the United States, the largest market for P&G (Procter & Gamble), a leading Detergent Alcohol manufacturer, consumers have been favoring more affordable private-label products over P&G's offerings. P&G's fabric and home-care business, which includes brands like Tide and Febreze, has witnessed a 2% decline in its volume. In terms of production, the manufacturing firms have operated at slightly reduced rates to maintain the market balance. On the other hand, the unexpected weather events brought on by Hurricane Hilary impacted the on-loading and offloading activities of the goods across Long Beach and Los Angeles ports. As a ripple effect, Detergent Alcohol C12-15 DEL Louisiana prices were observed at USD 1624 per ton at the end of the third quarter of 2023.
APAC
Through the third quarter of 2023, the prices of Detergent Alcohol have demonstrated mixed market sentiments in Indonesia. In the first half of Q3, the prices of Detergent Alcohol have remained bearish amidst a decline in procurement from the downstream personal care sector. As per the insights shared by regional manufacturers of Detergent Alcohol, the suppressed demand from the Western market has kept the Detergent Alcohol market sluggish in Q3. On the supply side, the availability of finished goods was sufficient despite of it that the plants have operated at reduced rates of 70-80% capacity in the wake of tepid demand fundamentals. . On the upstream front, the availability of Palm Oil was on the higher end to carry out the production of its downstream derivatives such as Detergent Alcohol. However, in September, the prices of Detergent Alcohol have gained momentum. With an improvement in market conditions, manufacturing activities have expanded in Indonesia. According to market sources, inquiries from the Chinese market have surged as downstream manufacturers have been willing to restock their supplies in advance of the Golden Week Holidays. Consequently, Detergent Alcohol C12-14 FOB Tanjung Priok prices were settled at USD 1202 per ton in September.
Europe
In Germany, the prices of Detergent Alcohol have remained on the lower end in the third quarter of 2023. The decline in demand from the downstream Personal Care sector was responsible for the downshift observed in the price realizations of Detergent Alcohol. Moreover, in July, one of the major Detergent Alcohol manufacturers, Wilmar, announced a force majeure situation at their Rozenburg plant in Rotterdam, the Netherlands, which has an annual capacity of 120,000 metric tons. Additionally, the German Chemical Industry Association has reported an 8% year-on-year decrease in chemical production during the second quarter of 2023. Furthermore, ocean freight rates have experienced a significant drop. Prices for shipping various commodities, including upstream Palm Oil from Asia to the U.S. and Europe, have fallen by as much as 90% since early 2022, primarily due to reduced consumer spending. In addition, the stockpiling of upstream Palm Oil in the key manufacturing nations, Indonesia and Malaysia has resulted in price cuts for the importing countries. Therefore, a plunge has been observed in the quotations for the downstream derivative, Detergent Alcohol. The ChemAnalyst database has shown that Detergent Alcohol C12-14 FOB Hamburg prices were concluded at USD 1620 per ton in the Q3-end.
For the Quarter Ending June 2023
North America
At the start of the second quarter of 2023, the decline in demand from the downstream surfactant and detergent sector has pushed the price realizations of Detergent Alcohol to the lower end in the domestic market of the USA. The economic crisis resulting from the collapse of two banks in late Q1 has aggravated market concerns. On the upstream side, the prices of Palm Oil have weakened, which has exerted downward pressure on the prices of Detergent Alcohol. The availability of Detergent Alcohol was sufficient to cater to the terminal demand. The supply-chain constraints have been eased, and the logistics were restored. The shipping costs from North Europe to North America East Coast have declined amidst a slowdown in the global trade of chemicals. Moreover, the Crude Oil inventories have soared, leading to better availability to carry out the production of Detergent Alcohol. In the major exporting countries of upstream Palm Oil, Indonesia and Malaysia, the overproduction and fragile overseas demand have led to a price decrement for importing nations like the USA. The shortage of sufficient market momentum has lingered and weighed upon the price trends of key input raw materials, including Detergent Alcohol.
APAC
In the domestic market of Indonesia, the prices of Detergent Alcohol have demonstrated mixed market sentiments in the second quarter of 2023. The prices have risen in early Q2 amid improved demand fundamentals from the downstream, surfactant, and detergent industries. Upstream Palm Oil supplies in the domestic region have been constrained by the surge in exports and decreased production levels. However, the limited procurement from the Chinese and Western markets has weakened the market sentiments for Detergent alcohol in the second half of Q2. This has led manufacturers to reduce prices to maintain market stability. Additionally, there has been an ample supply of Palm Oil, as exports have been restricted to ensure sufficient availability within the country. Moreover, the inflation in Southeast Asia's largest economy has settled within the central bank's desired range. The manufacturer's quotations narrowed downward amidst this pessimistic market outlook in late Q2. Overall, on the supply side, the decline in freight charges and improved container rates have ensured a constant flow of finished goods.
Europe
The prices of Detergent Alcohol have demonstrated mixed market sentiments in the domestic market of the United Kingdom. The tight upstream Palm Oil supplies and production cut opted by European manufacturers in the wake of subdued demand in late Q1 has led to limited availability of finished goods in the domestic region. As a result, the manufacturers have revised their offers for importing nations to maintain their profit margins. In an effort to tackle the inflation that has persisted at around 10% since July, the Bank of England authorized its 12th consecutive interest rate hike in May. Economic growth in the UK has been negatively affected by factors such as decreased purchasing power, limited orders from downstream industries, and the effects of a highly aggressive monetary policy tightening, which is the most significant in many decades. Furthermore, the United Kingdom's Consumer Price Index inflation was observed at 8.7% in May 2023, pressuring the market sentiments. The interest rates were also at 4.5%, the highest since September 2008. Overall, the stocks of Fatty Alcohol finished goods were adequate, as the downstream demand didn't demonstrate any significant growth at the end of the second quarter of 2023.
For the Quarter Ending March 2023
North America
Sluggish procurement from the downstream surfactant and detergent industry has led to a bearish market trend for Detergent Alcohol in the US market. The input cost pressures have started to ease, and the product was available in the domestic region. The market transactions were also average, and the Detergent Alcohol prices have continued to remain in negative territory. The market decline of the detergent sector this month has been exacerbated by the adverse economic conditions brought on by the collapse of two banks, Silicon Valley and Signature Bank. As a result, manufacturers have slashed their offers. In addition, as per the market sources, the data indicates that the transportation cost for shipments from the USA to Asian markets such as South Korea and India has been lowered by significant figures. Thus, Detergent Alcohol C12-15 DEL Louisiana prices were concluded at USD 1756 per ton at the end of the first quarter.
APAC
Throughout the first quarter, the prices of Detergent Alcohol sustained their downward trajectory. Despite the improvement in the manufacturing sector across the Chinese market, the prices of Detergent Alcohol have resisted upward development. The market players have reported that the accumulation of inventories and moderate demand from the downstream surfactant and detergent sector was responsible for this successive price reduction. Overall, the cost support from upstream Palm Oil was also insufficient amid its ample availability in the exporting nations. Furthermore, the improved container availability and declining freight rates have decreased transit times and contributed to maintaining the steady flow of finished goods. Consequently, Detergent Alcohol C12-14 - CFR SHANGHAI prices were settled at USD 1450 per ton in March.
Europe
In the German market, the pricing dynamics of Detergent Alcohol have demonstrated a volatile trend. In early Q1, a gradual increase in product supplies was observed in the domestic region. The manufacturer's quotations have decreased along with the slowed market conditions. The collective sentiments for the downstream detergent sector to procure Detergent Alcohol have remained weak. The input cost pressures were easing in European countries and softening the downturn that occurred in economic activities. Furthermore, toward the end of the first quarter, the upstream Palm Oil cost support escalated, and the market operated at high levels. As a result, the manufacturers have increased their quotations for the end-use industries. Therefore, considering the aforementioned reasons, Detergent Alcohol C12-14 FOB Hamburg prices averaged at USD 1908 per ton in Q1-end.
For the Quarter Ending December 2022
North America
In the US market, the prices of Detergent Alcohol have demonstrated mixed market sentiments. The prices first fell and then improved in the latter half of Q4. The fall in demand from the downstream detergent industries has hampered the positive development in the pricing dynamics of Detergent Alcohol in early Q4. Furthermore, the production rate of manufacturing units stabilized, as there were no major fluctuations in the domestic region. The supply-chain pressure has also been eased. However, towards the end of the fourth quarter, the adverse weather conditions and increasing upstream cost pressure impacted the market value of Detergent Alcohol. The procurement from the downstream surfactant and detergent industries has also stabilized, and the market operated at high levels. Detergent Alcohol C12-15 DEL Louisiana prices were assessed at USD 2905 per ton in the fourth quarter
APAC
In the fourth quarter of 2022, Detergent Alcohol prices have remained on the lower end in the domestic region of China. The COVID-19 outbreak in China's domestic market has led to severe lockdowns in major cities, which has restricted the consumption and production of downstream surfactant and detergent industries. Market participants have reported that upstream stockpiles of palm oil have put the price realizations of detergent alcohol in negative territory. In addition to a decline in exports, the domestic market's purchasing power has also declined. Furthermore, in December, the off-season effect was prominent, and the terminal demand from the surfactant and detergent sector was slower than expected. The spot purchases were mainly based on need-on-demand. Thus, Detergent Alcohol C12-14 - CFR Shanghai prices were concluded at USD 3507 per ton in December.
Europe
In Q4, the Detergent Alcohol prices were observed to be on a downward trend. The prices have been consistently dropping since the start of the fourth quarter of 2022. The cost support provided by upstream palm oil was insufficient and did not cause the manufacturing costs to rise. Additionally, pressures on the supply chain have been reduced, and there have been active movements of goods. In addition, the market players have reported that the downstream inquiries from the surfactant and detergent sector were relatively low. However, escalating energy prices and the deteriorating economic outlook prompted the downstream market players to either postpone or cancel orders, dampening the demand fundamentals of Detergent Alcohol. The ChemAnalyst database has shown that Detergent Alcohol C12-14 FOB Hamburg prices were settled at USD 3425 per ton in Q4-end.
For the Quarter Ending September 2022
North America
With the start of the third quarter, the price trend of Detergent Alcohol has demonstrated a downward trajectory. The market players have reported that new and export orders weakened by entering the mid-third quarter of 2022. However, price pressures faded as inventory accumulation climbed and supply chain pressure was relieved. The US consumer sentiment has improved as inflation rates weakened comparatively towards September 2022. In addition, the market sources have informed us that the accelerated oversupply of Detergent Alcohol has been enough to fulfill the inquiries from the downstream surfactant and detergent industries. Therefore, considering the factors, the Detergent Alcohol prices were assembled at USD 2930/MT DEL Louisiana in August.
APAC
The price trend of Detergent Alcohol has demonstrated mixed sentiments throughout the third quarter of 2022. The plummeting energy costs and the re-occurrence of new COVID cases have deteriorated the market sentiments toward Detergent Alcohol in China. The market players have reported that the oversupply of goods has hampered the supply-demand equilibrium. As a result, the manufacturers have had to reduce their quotations to avoid stockpiling the product. In addition, the Purchasing Manager Index (PMI) also fell to 49.0 in July. However, the prices slightly improved entering September 2022 owing to active inquiries from downstream. However, towards the Q3 end, the demand from downstream detergent and surfactant industries remained relatively low. Demand and logistics issues persisted as China continued to adopt a dynamic zero-clearance prevention policy. Consequently, Detergent Alcohol C12-14 - CFR SHANGHAI prices were settled at USD 3760 per ton on September 30.
Europe
the Detergent Alcohol prices fluctuated in a narrow range throughout the third quarter of 2022. The build-up of inventories and the contracted new orders have prompted the manufacturers to reduce their quotations to maintain the equilibrium between supply and demand. In the mid-third quarter, in Germany, the logistics problems worsened as port congestions and labor strikes halted the smooth functioning of supply chains. The severe weather crisis and energy supply crunch has deteriorated the market sentiments for Detergent Alcohol in the domestic region. The market players have reported that the low water levels in rivers and the overladen ports with cargoes have created an imbalance in the trade outlook. Furthermore, cross-regional freight costs have decreased, prompting negative pressure on the price realizations of Detergent Alcohol among the market players. Consequently, Detergent Alcohol C16-18 FOB Hamburg prices were settled at USD 2890 per ton on September 30.
For the Quarter Ending June 2022
North America
In Q2 2022, the price of Detergent alcohol surged with healthy purchasing and strong market sentiments. Detergent Alcohol prices in the United States increased because of higher upstream Pam oil costs. Demand fundamentals from the downstream detergent sector rebounded when the upstream Palm Oil soared on the back of the export ban from Indonesia's top exporter and producer. This halt caught the players under cost pressure and prompted them to a price rise across the country. The product's limited availability, combined with significant interest from the downstream detergent and cosmetics industries, has maintained strong demand fundamentals in the domestic market, supporting Detergent Alcohol's upward price curve.
Asia Pacific
In this quarter, prices of Detergent Alcohol have continued to exhibit a strong inclination, which is owed to the critical scarcity of feedstock Palm Oil in the global market. The recent export restriction on Palm Oil from Indonesia, a prime exporting country of the world, has worsened the situation for the end-use industry. Further, the extensive usage of personal care products, including shampoos, and detergents across the country, has held up the demand patterns from the downstream Surfactant sector. Even though the Indonesian removed the export ban on Palm Oil in June, the raw material supplies were constrained due to the ongoing container scarcity in Asia. In April, the price of Detergent alcohol in India was USD 3298/ton Ex-Mumbai.
Europe
Detergent Alcohol offers in Germany increased dramatically this quarter, owing to increased upstream value. By rising uncertainty related to the Indonesian export embargo, palm oil fluctuated and continued positively in Q2 2022. With increasing worldwide inflation, the domestic Detergent Alcohol players implemented positive base price revisions to maintain their margins. In May, the price of Detergent alcohol in Germany was USD 3660/ton FOB Hamburg. Limited product availability, combined with significant interest from the downstream detergent and cosmetics industries, has maintained strong demand fundamentals in the domestic market, supporting Detergent Alcohol's upward price curve. The Russia-Ukraine war had also impacted the Petrochemical market affecting the price dynamics.
For the Quarter Ending March 2022
North America
The Detergent Alcohol prices in the United States have stayed on an upward trajectory in the first quarter of 2022 due to the increased demand in the domestic market, with an upswing driven by the increased utilization of cleaning products on the uncertainty in Covid cases. The resultant domestic logistic breakdown in the region has influenced the increasing market trend. Export restriction on feedstock Palm Oil from Indonesia's prime exporting country has become the major price influencing factor. The low import volumes of feedstock palm oil from the international market have escalated prices in the United States. Hence, in March, the prices settled at USD 2716/MT and USD 2638/MT for Detergent Alcohol C16-C18 and C12-C15 DEL Louisiana, respectively.
Asia Pacific
The overall market of Detergent alcohol in Asia experienced an uphill pricing trend during Q1 2022. Extreme shortages in raw material supplies from Indonesia and Malaysia amid logistics challenges have severely affected the domestic market in the region. Feedstock Palm oil has played a prominent role in shifting the fundamentals of these Detergent Alcohols. However, extensive consumption and robust demand from the downstream soaps and detergent sector are the main factors. Further, increasing uncertainty over the COVID cases amongst consumers has fueled the increased urge for the product in Asia. Thus, the price discussions in March were assessed at USD 3080/MT for Detergent Alcohol C12-C14 CFR JNPT in India.
Europe
In Europe, Detergent Alcohol prices exhibited a significant rise in Q1 2022 with a jump approximately about 10% when compared to the last year. This spike owed to the sky-rocketing feedstock Palm Oil prices across the international market and the supply chain disruption caused by the Russia-Ukrainian conflict. Hence, transportation constraints in Europe led to reduced imports from Southeast Asia which resulted in scarcity of the product. The price hike was also supported by robust demand from the downstream surfactant industry with improved consumption of various personal care segments about hygiene maintenance. The prices reached USD 3425/MT and USD 2640/MT for Detergent Alcohol C12-C14 and C16-C18 FOB Hamburg, respectively.
For the Quarter Ending December 2021
North America
Rising palm oil feedstock costs in the international market against the backdrop of its global supply shortage caused the Detergent Alcohol market to project buoyed sentiments in Q4-2021. The continued disturbances in supply chains and skyrocketing freight charges led to a scarcity in Detergent Alcohol supplies in the USA market. The supply levels deteriorated further as Shell ran into October under force majeure because of raw material constraints following the Hurricane Ida in late August. Meanwhile, a sharp uptick in demand from the end-user customers amid Omicron scare encouraged the downstream surfactant industry to consume hefty volumes of Detergent Alcohols throughout the quarter. December brought leniency in the market with improvement in shipping and decreasing turnaround time. The prices of C12-C15 Detergent Alcohols during December registered a decrease of 3.4% from the year’s highest trend assessed during November and settled at USD 2552/MT DEL Louisiana.
Asia
The global shortfall in palm oil raw materials and delivery delays from logistic disruptions gripped the Asian Detergent Alcohol market under tight spot in Q4-2021. The low plantations and labour shortages that reduced the palm oil output to critically low levels in the major palm oil-producing countries Indonesia and Malaysia in 2021, continued to spiral the spot prices throughout the quarter. China’s extreme zero-covid policies further aggravated the existing shipping constraints causing the downstream detergent sectors to struggle getting their hands on Detergent Alcohol supplies. On the demand front, the detergent sector projected robustness, especially over the rising concern on new Omicron coronavirus that rushed consumers into buying more cleaning agents. A slight relaxation in trade movement obstacles and retreating freight costs from record numbers during December loosened the Detergent Alcohol supply tightness across Asia bringing a short-lived stability to the prices. The C12-C14 Detergent Alcohols CFR Shanghai discussions settled at USD 4050/MT in China and the Ex-Mumbai offers in India were traded around USD 3021/MT during December.
Europe
Detergent Alcohol market in Europe witnessed soaring prices with the ripple effect from bullish international palm oil feedstock market sentiments, feedstock unavailability due to shipping container crisis, and unsettling energy scarcity in the region. The increasing demand for spot volumes exerted a further pressure on the manufacturers who made frequent positive revisions in the offered contracts to compensate for the surging input costs, while the buyers were heard transferring the high costs to the consumers. Despite a relative relief in the freight movements during December, strong demand from the end-user detergent sector outpaced supply and led the contracts for Detergent Alcohols to settle at firm levels. The last assessed prices for Detergent Alcohols during December stood at USD 3241/MT on FOB basis in Germany.
For the Quarter Ending September 2021
North America
The prices of Detergent alcohol witnessed a significant rise in the North American region during Q3 2021. Spot market demonstrated a spike in prices for all fatty alcohols in the region due to disrupted supply chain caused by shipping and freight issues that have been a key cause of concern globally. Spot prices were assessed in greater ranges than the contract negotiations during the quarter. A decline in the demand was observed in Q3 in comparison to the previous months when downstream sectors were consuming hefty volumes. The price of detergent alcohol was assessed at USD 2495 per MT DEL Louisiana during September.
Asia Pacific
The overall market of Detergent alcohol experienced an upward trajectory in the Asia Pacific region during Q3 2021. Critical scarcity of raw materials amid logistics challenges led to a steep rise in the prices of detergents in India. One of the leading manufacturers of detergents revealed that they had a great demand for the product from the domestic market while facing some tepidness from some downstream sectors throughout August. Rising freight costs due to the shortage of shipping containers were a major concern for the manufacturers. Fatty alcohol supplies from Southeast Asia to China were curtailed due to limited operational load amidst restricted availability of palm oil. In addition, some Malaysian fatty alcohol producers were heard curtailing production thereby capping available of fatty alcohol supplies for Asian buyers. Hence, the pricing trend followed an upward trajectory and CFR Shanghai deliveries were assessed at USD 2305 per tonne, during the week ending 24th September.
Europe
In the European region, ease in PKO prices between early to mid- Q3 had a limited impact on the overall pricing of fatty alcohols as the logistics issues remained unresolved. Covid restrictions in Southeast Asia reduced imports to European nations which resulted in tightened supply fundamentals in Q3 2021. Demand for fatty alcohols from major end-use segments including detergents and cosmetics remained robust which kept the consumption numbers high. The price of fatty alcohols C12-C14 in Europe hovered around USD 1650-1750 per MT FOB Hamburg.
