By the last week of August, Methyl Amine prices in the Asian market saw a significant decline. This drop in the Methyl Amine price was mainly driven by reduced production from manufacturers in response to weakened downstream demand, as inventories remained plentiful. The feedstock market showed stability, with no major price fluctuations, which helped moderate Methyl Amine pricing in the region. However, supply chain disruptions on European routes caused an increase in freight costs, leading suppliers to slightly raise their export prices to manage supply-demand imbalances. These factors collectively influenced Methyl Amine prices globally, highlighting the delicate interplay between stable feedstock costs, shifting demand, and logistical challenges.

In the German market, Methyl Amine prices have marked a rise this week. In the feedstock market the price of the feedstock majorly Ammonia marked 0.92% decrease, Methanol, a crucial feedstock, saw a 3.7% increase in last 2 weeks. BASF, a leading industry player, reported stronger earnings from its chemical businesses, despite significant declines in its Agricultural Solutions segment. The Chemicals segment saw a 6.0% year-over-year sales increase, reaching €2.8 billion. Meanwhile, Germany's industrial sector continues to struggle, with manufacturing production falling in July and no recovery on the horizon. The Ifo Business Climate indicator dropped for the third consecutive month to 87, and PMI figures also declined, indicating weak economic activity. The recent rise in Methyl Amine prices is mainly attributed to a slight shortfall in inventory management among market participants.

Methylamine prices in China witnessed a downward trend, with the current rate at 680 USD/MT FOB-Qingdao. The market situation reflects adequate supplies of key feedstocks, Ammonia and Methanol, which have contributed to easing production costs for manufacturers. In response, suppliers have adjusted their pricing strategies to remain competitive, leading to reduced Methyl Amine prices. Additionally, short buildup activities in the market indicate a cautious approach by buyers, further influencing the price decline. This combination of stable feedstock availability and moderated buying interest has driven the price down, reflecting the current market dynamics and supplier actions in the Chinese Methyl Amine sector.

In the Indian market, Methyl Amine prices declined by the last week of August, despite significant increases in Ammonia prices due to extended buildup activities, while Methanol prices remained steady. Balaji Amines, a key producer, reported Revenue from Operations of ?393 crore for Q1FY25, down from ?423 crore in Q4FY24, representing a 17.02% year-over-year decrease in sales. The total volumes for Q1FY25 stood at 28,071 MT, with Amine’s accounting for 7,401 MT and Amines Derivatives at 8,299 MT. The company’s Methylamine project is on track, with commissioning expected by December 2024. Although the overall demand outlook remains positive, modest supplier actions have contributed to the decline in Methyl Amine prices in the Indian market.

ChemAnalyst anticipates that Methyl Amine prices in the Asian market are likely to trend downward in the upcoming sessions. This expected decline in the Methyl Amine price is primarily attributed to projected lower production volumes from manufacturers and subdued price movements, as market participants show reluctance to place large bids for bulk inventory accumulation. These factors combined are anticipated to shape Methyl Amine pricing dynamics, potentially leading to further price drops as the market adjusts to reduced demand and cautious buying patterns.