For the Quarter Ending September 2024
North America
In Q3 2024, the North American Zirconium Silicate market faced a notable decline in prices, driven by multiple interrelated factors. Demand remained weak, particularly within the construction sector, reflecting broader economic struggles and a decrease in construction activity.
High supply levels significantly impacted market dynamics, compounded by disruptions from Hurricane Beryl and congestion at crucial ports, which led to a depreciation in prices. Additionally, ongoing global supply chain challenges, including delays at the Panama Canal and various labor disputes, further fueled the bearish market sentiment.
The USA, experiencing the most significant price fluctuations, recorded a sharp price drop of 10% compared to the previous quarter. Despite seasonal variations and ongoing supply chain disruptions, the quarter-ending price for Zirconium Silicate Powder in the USA exhibited a decline of 3.7%. This decline underscored a persistently negative pricing environment, characterized by subdued demand and an oversupply of products in the market. As a result, market participants found themselves navigating challenging circumstances, marked by uncertainty and caution as they approached the end of Q3.
APAC
Throughout Q3 2024, the APAC region experienced a marked increase in Zirconium Silicate prices, influenced by a combination of supply challenges and subdued demand. Key factors contributing to this upward trend included port congestion, supply constraints, and disruptions caused by natural disasters such as Typhoon Yagi. As a result, the market witnessed a notable surge in prices, particularly in China, which became the center of significant price fluctuations. Despite a modest increase of 1% from the previous quarter, the overall pricing environment in the region remained positive, reflecting a bullish market sentiment. In China specifically, Zirconium Silicate prices experienced a considerable rise, culminating in a quarter-ending price increase of 5.5% FOB Shandong. Various elements, including elevated supply levels and weak demand in the construction sector, impacted these price dynamics. However, the market demonstrated resilience amid challenges, with no reported plant shutdowns throughout the quarter. Overall, the pricing landscape for Zirconium Silicate in Q3 2024 showcased stability and upward momentum, indicating a favorable trend for the product within the APAC region.
Europe
In the third quarter of 2024, the European market for Zirconium Silicate faced a pronounced decline in prices, with Germany standing out as the country experiencing the most significant fluctuations. This downward trend can be attributed to a variety of factors. Notably, there was a marked weakening in demand from key sectors such as construction and ceramics, which was further exacerbated by challenging economic conditions and a lack of overseas demand. As a result, many producers opted to reduce their production rates, responding to the subdued domestic demand that characterized the market during this period. Additionally, rising shipping costs, which were influenced by port congestion and a surge in freight demand, contributed to the overall decline in product pricing. The quarter saw a notable decrease of 6% compared to the previous quarter, underscoring the difficult pricing environment. Overall, the consistent downward trajectory in pricing reflected a bearish sentiment among market participants. By the quarter's end, Zirconium Silicate Powder FD Hamburg in Germany recorded a price decline of 3.7%, highlighting the continued challenges and negative outlook for pricing within the European Zirconium Silicate market.
For the Quarter Ending June 2024
North America
In Q2 2024, the North American Zirconium Silicate market experienced a significant downturn, influenced by multiple interrelated factors. Primarily, decreased construction spending and weak demand from the downstream construction industry exerted substantial downward pressure on prices. This negative trend was exacerbated by reduced costs of imported materials from Asia and Europe, leading to excess supply.
Additionally, the collapse of the Francis Scott Key Bridge and the disruption of Baltimore's inner harbor, coupled with potential rail strikes, further complicated logistics and heightened supply chain uncertainties. Seasonality played a role, with traditionally lower demand in early spring contributing to the price reduction. This trend correlates with a broadened economic slowdown, characterized by diminishing manufacturing activities and consumer spending.
Concluding the quarter, the Zirconium Silicate Powder price in Texas stood at USD 3298/MT, encapsulating the negative pricing environment throughout the period. The ongoing economic stagnation, coupled with infrastructural disruptions, paints a bearish outlook, with the market grappling with high supply levels and tepid demand for Zirconium Silicate.
APAC
In Q2 2024, the APAC region's Zirconium Silicate market experienced a notable price decline, driven by a confluence of adverse factors. Subdued demand from key downstream sectors, such as ceramics and construction, coupled with oversupply issues, were the primary catalysts behind this pricing downturn. Elevated inventory levels and sluggish recovery in both domestic and international markets exacerbated the situation, resulting in a persistent bearish sentiment throughout the quarter. The manufacturing sector, while showing some initial uptick, faced headwinds with a decline in factory activity and high freight costs, further straining market dynamics. China, being the most impacted within the region, witnessed the most pronounced price fluctuations. The market struggled with a prolonged property sector crisis and a marked decrease in real estate investment, which significantly dampened demand. The seasonal monsoon also curtailed construction activities, adding to the demand woes. Additionally, the quarter saw disruptions due to port closures and logistical delays, which further amplified inventory pressures and market instability. The quarter concluded with Zirconium Silicate prices standing at USD 1785/MT FOB Shandong in China. Overall, the pricing environment was decidedly negative, characterized by persistent downward pressure and a challenging economic backdrop.
Europe
Zirconium Silicate pricing in Europe experienced a robust upward trajectory in Q2 2024, driven predominantly by significant supply disruptions and sustained low inventory levels. Severe weather events, including torrential rains and flooding, critically impacted key industrial transport routes, notably the River Rhine, exacerbating supply chain bottlenecks. Coupled with geopolitical tensions and logistical challenges in the Red Sea, these factors led to increased shipping costs and elongated transit times, collectively elevating product prices. The persistent economic challenges in the Eurozone, characterized by subdued domestic demand and high financing costs, further constrained production rates as producers sought to maintain profitability margins amidst escalating operational expenses. Germany, experiencing the most substantial price fluctuations, epitomized this trend with marked price increases due to compounded disruptions. Industrial activities were significantly hindered by flooding, necessitating evacuations and a halt in transportation along the River Rhine, a critical artery for industrial shipments. The correlation between disrupted supply lines reduced production outputs, and sustained low inventory levels fueled a notable price surge. Additionally, the seasonal increase in construction activities, albeit limited by economic adversity, contributed to heightened demand dynamics. Concluding the quarter, Zirconium Silicate Powder FD Genoa in Italy was priced at USD 2397/MT, underscoring a positive pricing environment. The overall sentiment was decidedly bullish, driven by a confluence of adverse supply conditions, logistical challenges, and incremental demand recovery, despite the overarching economic headwinds.
For the Quarter Ending March 2024
North America
In Q1 2024, the pricing dynamics of Zirconium Silicate in North America displayed a fluctuating pattern, influenced by various factors. While the overall trend showed stability, the USA market witnessed notable fluctuations, experiencing both price increases and stability during this period.
By mid-quarter, the Zirconium Silicate market in the USA maintained price stability after a 3% surge in January. Further, the moderate import cost of the product contributed to a slight rise in domestic market prices. The business environment in the US depicted a significant increase in overall economic activity, with companies reporting strong growth in new orders for goods and services, fostering an optimistic outlook and boosting confidence in future business prospects.
The rise in construction activities and positive business sentiment drove the upward trajectory of the product in the US market. Furthermore, freight charges associated with importing Zirconium Silicate from Asia to the US impacted product pricing in the domestic market. However, the supply remained sufficient in the domestic market, prompting traders to adjust prices with only a marginal increase this month. Moreover, the year-over-year price change from the same quarter last year showed a significant decrease of 15%, reflecting the volatility and changing dynamics in the market. Additionally, there was a notable price decrease from the last quarter of 2023. Plant shutdowns did not emerge as significant contributors to the pricing dynamics during this quarter.
APAC
During Q1 2024, the Zirconium Silicate market in the APAC region experienced stability, particularly in China, where prices only saw a 1% surge in February and remained unchanged for the rest of the quarter. China, being a major market in the region, played a significant role in these price fluctuations. This stability was attributed to a balance between supply and demand dynamics within the market. However, during the Spring holidays, demand from downstream ceramics and construction sectors remained subdued, only to rebound post-holidays, prompting traders to implement modest price adjustments. According to data from the National Bureau of Statistics (NBS), the business activity index for the construction industry stood at 53.5, marking a slight decrease of 0.4 points from the previous month. This indicates a decrease in consumer demand sentiments, which consequently impacted the demand for Zirconium Silicate. Despite these challenges, the market demonstrated resilience, showcasing its ability to adapt to changing demand dynamics and maintain stability amidst fluctuating conditions. Furthermore, market participants anticipate a resurgence in demand starting from early March post-holidays as procurement activities are expected to improve.
Europe
In Q1 2024, the Zirconium Silicate market in Europe witnessed a mixed trend, starting with a 3% decrease in prices in January, followed by surges of 4% and 5% in February and March, respectively. The prices were impacted by a range of factors, including the market situation in European nations, supply chain disruptions, and demand dynamics. The market situation in Germany played a pivotal role, with price fluctuations being most noticeable in this region. The construction sector encountered challenges such as a slowdown in demand, rising prices, increasing interest rates, and economic uncertainties. These factors led to a sustained decline in demand for construction projects, particularly in the housing segment. Additionally, disruptions in the supply chain caused by geopolitical tensions in the Middle East, reduced water levels in the Panama Canal, and an attack by Houthi rebels affecting transportation in the Red Sea further impacted market conditions. However, the mid-quarter price surge was primarily attributed to supply shortages in the region amid supply disruptions. Furthermore, there were no reports of plant shutdowns by market participants during this period.
For the Quarter Ending December 2023
North America
The North American market for Zirconium Silicate in the fourth quarter of 2023 witnessed several key factors that influenced prices and market conditions.
Firstly, the market experienced a slight decline in demand, with limited growth in the construction sector. This resulted in lower purchasing activity and reduced orders for the product. Secondly, the availability of Zirconium Silicate in the market remained moderate, with a steady supply from traders. However, the limited demand and ample supply contributed to a downward pressure on prices. Among the countries in the region, the United States had the most significant changes in prices.
The price of Zirconium Silicate in the US market decreased by 6% compared to the previous quarter. This decline can be attributed to the subdued demand and ample supply in the market. Additionally, the US market experienced a slight increase in demand towards the end of the quarter, leading to a small price uptick. Overall, the North American market for Zirconium Silicate in the fourth quarter of 2023 was characterized by subdued demand, moderate supply, and a slight decline in prices. The latest price of Zirconium Silicate Powder DDP Texas in the US market for this quarter is USD 3610/MT.
APAC
The fourth quarter of 2023 was challenging for the Zirconium Silicate market in the APAC region. The market witnessed a downward trend in prices, with the latest price being USD 1975/MT for Zirconium Silicate Powder FOB Shandong in China. The market was affected by several factors throughout the quarter. Firstly, there was an abundant supply of the product in the market, leading to competitive pricing from domestic manufacturers. This, coupled with weak demand from both domestic and overseas markets, resulted in price declines. The construction sector, in particular, experienced a slowdown, leading to reduced activity and new orders. However, there were no reported plant shutdowns during this period. China, being the largest market in the region, experienced the most significant changes in prices. The country faced challenges in achieving a robust post-COVID recovery, with concerns in the housing market and a slowdown in global demand impacting momentum. Despite these challenges, there is optimism for improvement in the domestic economy at the beginning of 2024. Overall, the Zirconium Silicate market in the APAC region faced price declines and weak demand throughout the fourth quarter of 2023.
Europe
The Zirconium Silicate market in Europe encountered substantial challenges in the fourth quarter of 2023, primarily stemming from weakened demand within the construction industry. This downturn had a pronounced effect on market dynamics, leading to a decline in prices. Germany's construction sector, in particular, underwent a notable contraction, characterized by sharp reductions in both activity levels and new orders. The underlying causes for this contraction included tighter financial conditions, elevated cost pressures, and customer uncertainty. While the market maintained a moderate supply of Zirconium Silicate, manufacturers adopted a more pessimistic outlook on the future, prompting adjustments in workforce numbers. Further, no plant shutdowns were reported during this period. The European region witnessed an overall reduction in demand for Zirconium Silicate, contributing to the observed price decrease. Furthermore, there was a significant 29% price drop compared to the corresponding quarter of the previous year. Despite these challenges, there is a sense of optimism for economic improvement in the domestic market as 2024 commences. The quarter-ending price for Zirconium Silicate Powder FOB Genoa in Italy was recorded at USD 2128/MT.
