Amid Escalated Raw Materials Prices, Nonylphenol Ethoxylates Prices Edge Higher in Mid-March 2024

Hamburg, Germany: With the start of March 2024, the prices of Nonylphenol Ethoxylates have begun to gain momentum across regional markets. According to market sources, US and global oil prices surged after reports emerged that OPEC+ nations have been considering extending their production cuts into Q2 2024. The rise in upstream crude oil prices has been reflected in the pricing dynamics of several chemicals, including Nonylphenol Ethoxylates. Additionally, over the past few quarters, Germany’s chemical industry has endured an extremely challenging business environment, which has raised concerns about the market performance of key raw materials, including Nonylphenol Ethoxylates.

The ChemAnalyst database has shown that prices of Nonylphenol Ethoxylates have escalated in the domestic market of the USA. Market sources indicate that reduced market operations during the winter season have started to exert supply-side pressure for Nonylphenol Ethoxylates, resulting in relatively limited availability of finished goods. Furthermore, inquiries from downstream Personal Care industries have improved, boosting market sentiments. Anticipating a rise in procurement levels coupled with low supplies, Nonylphenol Ethoxylates manufacturers have chosen to keep their prices at higher levels. Additionally, the rise in upstream Ethylene Oxide prices has further supported the upward shift observed in the price realizations of Nonylphenol Ethoxylates.

Considering upstream materials, after witnessing force majeure in the past month, Royal Dutch Shell has lifted the force majeure on the supply of phenol and has resumed its full operational status. Additionally, one of the leading manufacturers of Ethylene Oxide, Indorama Ventures, has resumed Ethylene Oxide production at its Clear Lake facility in Texas following a planned outage due to extreme cold weather.

On the other hand, in China, the prices of Nonylphenol Ethoxylates increased by USD 20 per ton in the week ending March 8th after stagnating in previous weeks. Market sources indicate that reduced domestic market operations during the Spring Festival holidays have led to limited availability of finished Nonylphenol Ethoxylates goods. Although the internal circulation of domestic trade paused temporarily, foreign trade remained active. This has not alleviated domestic spot tension as much as expected, and the Nonylphenol Ethoxylates market remains relatively tight. Following the holiday, there has been a limited number of new domestic orders from the terminal markets, but the supply side is mostly fulfilling pre-existing orders, maintaining a low inventory level.

According to the pricing intelligence of ChemAnalyst, prices of Nonylphenol Ethoxylates might remain elevated across regional markets. The rise in raw materials prices is likely to drive the upward trend of Nonylphenol Ethoxylates. Additionally, market players also expect an improvement in demand from downstream Personal Care industries, which will support bullish market sentiments in the forthcoming weeks.