Asian Methyl Amine Prices Rise in Mid-February Amid Supply Tightness and Firm Demand
- 26-Feb-2025 7:45 PM
- Journalist: Benjamin Franklin
The Asian Methyl Amine market experienced an upward pricing trend in mid-February, driven by supply-side adjustments, controlled inventory distribution, and steady demand from core downstream industries. Market participants in India and China observed firm supplier pricing, with limited room for negotiation due to rising production costs and constrained availability. While sector-specific demand showed mixed trends, the overall market remained firm, supported by supply limitations and cost pressures on the Methyl Amine.
Methyl Amine prices in India maintained a firm trajectory as suppliers strategically managed inventory levels while adjusting prices in response to elevated production costs. The pharmaceutical sector continued to provide strong support to market sentiment, counterbalancing subdued demand from the agrochemical segment.
Production costs rose as Methanol, an essential raw material, recovered from a previous decline due to supply constraints. Similarly, Ammonia prices saw a stability from past 2 weeks, further influencing production economics. Manufacturers responded by tightening supply allocation, reinforcing stable pricing of the Methyl Amine despite fluctuations in demand from key end-users.
On the downstream side, the agrochemical industry faced weaker market conditions, leading to softer Methyl Amine consumption. Several major agrochemical manufacturers reported lower quarterly revenues, reflecting reduced activity in the sector. However, the pharmaceutical industry remained robust, with leading firms posting stable sales and sustained demand for essential chemicals. This steady consumption pattern from the pharmaceutical sector helped support Methyl Amine pricing, even amid challenges in other end-use segments.
In China, Methyl Amine prices continued their upward movement in mid-February, largely influenced by tight supply and increased export activity. While logistics operations improved, a significant volume of exports in December reduced available domestic stocks, keeping supply conditions restricted.
Although demand from local buyers softened towards the latter part of the month, strong procurement from the pharmaceutical and agrochemical industries earlier in February helped sustain the price rise. Suppliers exercised caution in restocking, choosing to rely on existing inventory rather than ramping up production, further constraining supply availability. This approach reinforced the prevailing uptrend in Methyl Amine prices across the domestic market.
Looking ahead, according to the ChemAnalyst anticipation, Methyl Amine prices in Asia are expected to remain firm, supported by controlled supply strategies, anticipated post-holiday demand recovery, and inventory tightening. As buyers seek to replenish stocks, the market may see continued price strength. While broader economic factors will influence future movements, supply limitations and sustained sector-specific demand are likely to uphold Methyl Amine pricing in the near term.