For the Quarter Ending September 2024
North America
In Q3 2024, the Polyamide market in North America witnessed a stable pricing trend, indicative of a balanced market situation. Several key factors contributed to this stability. Weak demand from downstream industries, particularly in textiles and automotive, significantly influenced market prices. Reduced procurement activities, cautious buying behaviour, and sluggish trading further suppressed the demand for Polyamide. Additionally, global economic uncertainties, including inflationary pressures and fluctuating raw material prices, created a negative sentiment within the market. The ongoing hurricane season also impacted logistics and trade activities, adding to the challenges faced by the industry.
In the United States, price changes were particularly notable, though overall prices remained relatively stable, with a marginal 0% change from the previous quarter in 2024. However, the latter half of the quarter saw a slight decline of 0.6% compared to the first half, suggesting a gradual decrease in pricing dynamics.
By the end of the quarter, the price for Polyamide 6,6 DEL US Gulf (USA), was recorded at USD 4960 per metric ton. This figure reflects the overall downward trend in pricing dynamics, highlighting the challenges stemming from subdued demand and external economic pressures affecting the Polyamide market.
Europe
In Q3 2024, the European Polyamide market experienced stable prices, with Germany showcasing the significant price changes. The market was influenced by various factors, including weak demand from downstream industries, such as textiles and automotive, and steady supply levels. Additionally, the euro area’s manufacturing sector has slid deeper into contraction as the third quarter came to a close. Eurozone goods producers have also downwardly adjusted their inventories in response to slumping business growth expectations and fewer new orders contributed to the stable pricing environment. Germany, with a 4% increase from the previous quarter, saw the maximum price fluctuations. The overall trend in the region indicated a consistent pricing stability, with an approximately 0% price change between the first and second half of the quarter. The quarter-ending price for Polyamide 6,6 FOB Hamburg in Germany stood at USD 6255/MT. Despite minor fluctuations, the market maintained a stable sentiment throughout the quarter, reflecting a balanced supply-demand scenario and cautious procurement practices among buyers.
APAC
In Q3 2024, the Polyamide pricing in the APAC region has exhibited decline trend, with the market experiencing marginal fluctuations. Key factors influencing prices include weak demand from downstream sectors, oversupply from high operating rates, and reduced cost support due to declining raw material prices, notably pure benzene. However, compared to the previous quarter in 2024, prices recorded a modest decline of 2%, showcasing downward price trends. New export orders fell at a significant rate, while limited trading activity and geopolitical factors further dampened international demand and purchasing activity.
The market witnessed significant price changes, with variations driven by subdued demand in the textile and automotive industries. The second half of the quarter saw a slight decline of 1.8% compared to the first half, indicating a gradual decrease in prices over the period. The quarter-ending price for Polyamide 6 FOB Dalian in China stood at USD 2025/MT, maintaining the overall stable sentiment observed throughout the quarter. Despite challenges, the market remained resilient, with prices showing a balance between supply and demand dynamics.
MEA
In Q3 2024, the Polyamide pricing in the MEA region witnessed a significant decline, with the market experiencing a negative trend throughout the quarter. The decrease in prices can be attributed to several key factors influencing the market dynamics. Firstly, oversupply from global markets, particularly in Asia, led to a surplus of Polyamide in the region, putting downward pressure on prices. Secondly, weakening demand from downstream industries, such as textiles and automotive, further contributed to the price reduction as manufacturers struggled to maintain sales amidst subdued market conditions. Additionally, the stability in freight rates and lacklustre trading activities impacted the pricing environment, discouraging price escalations. Specifically in Saudi Arabia, the market saw the most substantial price changes within the MEA region. The overall trend in the country mirrored that of the broader region, with prices declining steadily. Moreover, the quarter-on-quarter decline of -6% highlighted the continued bearish sentiment in the market. The price difference between the first and second half of the quarter, noted at -3%, demonstrated a consistent downward trajectory in pricing. In conclusion, the quarter-ending price of USD 3567/MT for Polyamide Nylon 6,6 (Med Viscosity) CFR Al Jubail in Saudi Arabia underscored the prevailing negative pricing environment, characterized by persistent decreases and a challenging market landscape.
South America
In Q3 2024, the Polyamide pricing landscape in South America experienced a decline, with Brazil seeing the significant price fluctuations. This downtrend was influenced by weakened demand in downstream industries such as textiles and automotive, resulting in oversupply and reduced consumption of Polyamide. Although production levels remained stable throughout the quarter, there was limited new business activity due to global economic uncertainties affecting consumer spending on durable goods. Additionally, seasonal slowdowns, compounded by geopolitical issues and logistical disruptions, further contributed to the price decrease. As the third quarter came to a close, the market also felt the effects of the hurricane season, which brought severe weather disruptions that impacted logistics and trade activities. The quarter-on-quarter change remained stagnant at a decline of 0.5%, reflecting only a slight decrease. In the latter half of the quarter, prices fell by 1% compared to the first half, indicating a gradual downward trend over the period. By the end of the quarter, the price for Polyamide 6 FOB Sao Paulo was recorded at USD 3675/MT, highlighting the persistent negative pricing trend in the region.
For the Quarter Ending June 2024
North America
In Q2 2024, the North American Polyamide market experienced an upward trajectory in pricing, driven primarily by several key factors. The quarter has been marked by a tightening supply chain, driven by increased global demand for ocean freight space, which surged by 9% year-over-year. This escalation in freight rates has significantly impacted the cost structure for Polyamide, resulting in higher market prices. Additionally, the manufacturing sector demonstrated a rebound, particularly within the automotive industry, which saw a notable 7% increase in light vehicle sales. This resurgence in automotive manufacturing has amplified the demand for Polyamide, further pushing prices upward.
Focusing specifically on the USA, the Polyamide market exhibited the highest price fluctuations. The quarter showcased an overall trend of rising prices, influenced heavily by seasonal demand waves and logistical constraints. The price of Polyamide saw a 4% increase compared to the same quarter last year and a 3% rise from the previous quarter in 2024. This consistent escalation underscores the robust demand and constrained supply environment. Notably, there was a 1% price increase between the first and second halves of the quarter, reflecting ongoing market tightness and sustained demand.
In conclusion, the quarter ended with Polyamide 4,6 priced at USD 10650/MT CFR Los Angeles, demonstrating a firm upward trend in the pricing environment. This surge in prices reflects the positive sentiment driven by heightened demand, logistical challenges, and a recovering automotive sector. The market dynamics suggest a continuing positive pricing trend for Polyamide in North America, with the potential for further increases as demand remains strong and supply chains face ongoing pressure. The stability of supply coupled with escalating costs has created a predominantly positive pricing environment throughout Q2 2024.
APAC
During Q2 2024, the Polyamide market in the APAC region experienced a significant bearish trend, influenced by numerous factors. The quarter was marked by pervasive weaknesses in demand across downstream industries, particularly in textiles and automotive sectors. This subdued demand was compounded by sufficient inventory levels, resulting in lower trading activities. The market further grappled with oversupply issues, as consistent production levels outpaced the limited buying interest from domestic and international markets. Additionally, rising freight rates and logistical challenges, including container shortages, exerted upward pressure on transportation costs, thereby exacerbating the market's downturn.
Focusing on South Korea, the region witnessed the most pronounced price adjustments. The overall trend was distinctly negative, characterized by stark seasonality impacts and a strong correlation with global market dynamics. Compared to the same quarter last year, there was a notable 10% decrease in Polyamide prices, indicating a persistent weak demand environment. From the previous quarter in 2024, prices showed a marginal increase of 4%, reflecting some temporary stability amid broader declines. However, a comparison between the first and second half of Q2 2024 revealed a 5% price drop, underscoring the continuous downtrend. The quarter concluded with the price of Polyamide 6,6 GF FOB Busan at USD 2203/MT, underscoring the overall negative sentiment in the market.
In summary, Q2 2024 presented a challenging landscape for Polyamide in the APAC region, driven by weak demand, ample supply, and logistical constraints. For South Korea, these factors collectively fostered a consistently declining pricing environment, reflecting a broader instability in the market.
Europe
In Q2 2024, the Polyamide market in Europe witnessed a significant uptick in prices, influenced by several critical factors. The primary drivers behind this price surge included heightened raw material costs, particularly for feedstocks like Benzene, which saw substantial price escalations. Supply chain challenges, such as increased freight rates and tight vessel space availability, also exerted upward pressure on prices. Demand dynamics played a crucial role, with downstream sectors like textiles and automotive demonstrating sporadic but notable demand spikes, despite an overarching trend of cautious procurement due to economic uncertainties. Additionally, geopolitical tensions and high inflation rates contributed to supply disruptions and increased production costs, further supporting the price hikes.
In Germany, the market experienced the most pronounced price increases within Europe. The overall trend in Germany reflected a consistent upward trajectory throughout the quarter, with seasonality factors and a strong correlation to global raw material cost fluctuations. The price of Polyamide in Germany rose by 1% compared to the same quarter last year, indicating a marginal but steady increase. More notably, the prices surged by 5% from the previous quarter in 2024, underscoring a robust positive sentiment within the market. A comparative analysis between the first and second half of the quarter revealed a 2% price increment, further highlighting the persistent upward momentum.
Conclusively, the quarter-ending price for Polyamide 4,6 FOB Hamburg in Germany was USD 6920/MT. This pricing environment reflects a decidedly positive trend, driven by strong fundamentals and market dynamics, which have collectively fostered an environment of increasing prices and robust market sentiment.
MEA
In Q2 2024, the Middle East and Africa (MEA) region experienced a notable decline in Polyamide prices, primarily driven by several critical factors. Throughout this quarter, the market was characterized by subdued demand from key downstream sectors, including textiles and automotive, which significantly influenced pricing trends. Overcapacity within the market, coupled with ample inventories, further exacerbated the downward pressure on prices. Additionally, logistical challenges and elevated freight rates from overseas markets contributed to the overall decline. Geopolitical tensions in major sea routes also played a role in disrupting supply chains, further impacting the pricing landscape unfavorably.
Focusing on Saudi Arabia, where the most substantial price changes were observed, the general market sentiment remained negative throughout the quarter. Seasonality effects revealed a consistent decline in demand, particularly during periods of traditionally lower industrial activity. The overall trend in Saudi Arabia saw a -2% decline in Polyamide prices compared to the same quarter last year. From the previous quarter in 2024, prices recorded a marginal increase of 2%, indicating short-lived stability before resuming a downward trajectory. Comparing the first and second halves of the quarter, there was a -3% decrease in prices, underscoring the persistent weakening demand and market oversupply.
By the end of Q2 2024, the price of Polyamide Nylon 66 (Med Viscosity) CFR Al Jubail settled at USD 3840/MT. This consistent decline in prices reflects a challenging market environment marked by negative influences and limited positive catalysts. Overall, the pricing environment for Polyamide in the MEA region, and particularly in Saudi Arabia, has been negative, driven by weak demand, market oversupply, and logistical disruptions.
For the Quarter Ending March 2024
North America
During the first quarter of 2024, the North American Polyamide market encountered a moderate demand. The market situation remained stable, with a moderate supply, but several factors influenced the prices. The decline in demand from industries such as textiles, automotive, and electronics manufacturing sectors had a negative impact on the market. One significant shutdown occurred at the BASF SE plant in Freeport, USA, due to freezing weather conditions. The plant was closed from January 16, 2024, to January 25, 2024.
Additionally, ongoing conflicts in the Red Sea and shipping delays posed challenges to the global supply chain. The market also experienced price fluctuations due to volatile crude oil prices, which affected the prices of raw materials.
Overall, the North American Polyamide market encountered challenges that led to price fluctuations and moderate demand during the first quarter of 2024. The occurrence of plant shutdowns, including the one caused by freezing weather, added to the disruptions in the market. However, despite these challenges, the market remained stable, with Mexico experiencing the highest price change throughout the quarter.
APAC
In the first quarter of 2024, the Polyamide market in the APAC region exhibited a varied performance, maintaining stability despite a moderate equilibrium between supply and demand. Key market dynamics were influenced by factors such as the global economic slowdown, volatile crude oil prices, and limited downstream demand. Within China, market fluctuations arose from decreased operations in the textile and automotive industries. Nevertheless, pricing trends, seasonal patterns, and price correlations in China remained consistent throughout the quarter. Trading activities faced constraints due to conflicts in the Red Sea, resulting in heightened freight rates and diminished order volumes. According to data from the NBS, new export orders experienced a 0.2 percentage point decline in February compared to the previous month, persistently staying below the threshold and signaling a decrease in Polyamide exports from overseas markets. Consequently, Polyamide prices in China maintained relative stability throughout the quarter, with the quarter-ending price of Polyamide 6 (medium viscosity) FOB Dalian in China recorded at USD 2106/MT.
Europe
Quarter 1 of 2024 presented numerous challenges for the Polyamide market in Europe. The industry experienced a decline in demand and an increase in supply, primarily due to reduced demand from sectors like automotive and textile. This decrease in demand negatively impacted the market sentiment. Additionally, the volatility in raw material prices further contributed to the fluctuations in the cost of Polyamide. Longer delivery times, resulting from reduced demand, exacerbated the decline in prices. In Germany, a key player in the European market, Polyamide prices witnessed a decline of 1.8% in Q1 2024, with a trend ranging from stability to bearishness. The pricing trends in Germany were influenced by factors such as weak demand, reduced sales volumes, and disruptions in production schedules. The correlation between price and demand factors was moderate, with a seasonal trend of stability to bearishness. Comparing the price percentages between the first and second half of the quarter, the prices remained stable. In March, the global textile industry saw a slight decrease in the average order backlog, while capacity utilization rates experienced a minor increase to 70%. These changes suggest a gradual adaptation to the prevailing economic conditions.
MEA
Throughout the first quarter of 2024, the price of Polyamide rose from the previous quarter due to the high-cost pressure from the overseas markets. The Lunar holidays in Asia and the increase in ocean freight rates are all set for a challenging market. However, disruptions to input freight arrivals stemming from the Red Sea shipping crisis were noted to have impacted business capacity. This crisis also led to delays in delivery times, with companies reporting the poorest supplier performance in a year. Additionally, the tight supply of the product in the exporting country has contributed to the price increase. Midway through the quarter, the importing country experienced a surge in the price of feedstock Benzene, prompting manufacturers in the region to raise Polyamide prices in response to the heightened cost pressure. In March, the global textile average order backlog experienced a slight decrease, while capacity utilization rates saw a minor uptick to 70%. These shifts indicate a gradual adjustment to the current economic conditions.
For the Quarter Ending December 2023
North America
The North American Polyamide market in Q4 2023 witnessed a relatively increased trend, with moderate supply and demand conditions prevailing. In October, the Polyamide maintained its stable due to the sufficient availability to meet the domestic requirements. This change was primarily driven by a stable in raw material prices. In particular, the upstream crude oil saw a decrease of 1.2%, which subsequently lowered the production cost of Polyamide. Furthermore, the availability of the product among US merchants was sufficient to meet domestic demands. Furthermore, the global textile industry maintained a relatively stable and unchanging position in the market during this period.
In November, Manufacturers highlighted that the elevated prices of oil and oil-derived materials had contributed to higher operating expenses. Despite an observed improvement in demand conditions, the overall rate of growth remained marginal. Some companies continued to report a subdued sales environment, indicating that while there was a positive shift, it was not substantial. Despite the UAW strikes, there was an increase in auto sales in October, signalling a gradual upswing in demand for Polyamide within this industry.
In December, the growth in total new orders was primarily driven by domestic demand, while new international sales experienced a further decline. The Christmas and New Year holidays contributed to the marginal decline in the prices of Polyamide.
APAC
Polyamide pricing in the APAC region during Q4 of 2023 experienced a mixed market. The bearish market was due to the lackluster demand for the product, primarily attributed to the abundant supply prevalent in the market. The stability in the market during this period can be attributed to several factors, including year-end offer sales that led to destocking of materials. Additionally, Li Peng Enterprise in Changhua initiated a scheduled maintenance shutdown throughout December, and the plant was operational at only 20% to 30% capacity during this period. The market witnessed a moderate supply and low demand for Polyamide, leading to a bearish market. There was a 1% increase in price from the previous quarter, while the price percentage change of the first and second half of the quarter remained constant. The trend, seasonality, and correlation price percentage in China during the quarter were stable. Finally, the quarter ending price of Polyamide 4,6 (Chips) FOB Dalian in China was USD 7538/MT.
Europe
The Polyamide market in Europe experienced a mixed trend during the fourth quarter of 2023 for various reasons. In October, the rise in the cost of Polyamide 66 was influenced by tight supply and limited product availability in the market. Additionally, the constrained supply prompted merchants to restock the material to meet strong demand in the domestic market. However, in the mid and final months, the Polyamide market stabilized due to weak downstream orders from potential customers. Specifically, in December, the automotive industry witnessed a significant decline in new car registrations, with 241,883 fewer cars hitting the roads compared to the previous year—an alarming 23% decrease. Authorities in the industry attributed this disruption to the premature discontinuation of incentives for purchasing electric vehicles, resulting in the steepest drop in registrations for the year. This downturn in December marked a challenging conclusion to an otherwise mostly positive year for Germany. Due to a shortage of new orders, manufacturers persisted in reducing their backlog of work, experiencing another significant decrease throughout the month.
MEA
Polyamide Nylon 66 (Med Viscosity) CFR Al Jubail in the Middle East and Africa region witnessed a mixed quarter in Q4 2023. The market was primarily impacted by several factors, including moderate demand, stable supply, and currency fluctuations. In some countries, plant shutdowns also added to the cost pressure, impacting the price of raw material benzene across the globe. However, in Saudi Arabia, which witnessed the maximum changes in the price, the market remained stable due to the availability of inexpensive imported cargo from Asian regions. The interplay of moderate demand and inexpensive imports contributed to the ongoing bearish price movement. The price of Polyamide 66 remained weak throughout the quarter, with an 8% decrease from the same quarter last year and a 3% decrease from the previous quarter. However, there was a 1% price increase in the second half of the quarter compared to the first half. The quarter ending price for Polyamide Nylon 66 (Med Viscosity) CFR Al Jubail in Saudi Arabia was USD 3772/MT.
