The prices for Sodium Propionate showed a downward trend in May 2023 across Asia, supported by shifting market dynamics. China is a major producer of Sodium Propionate, and production has increased in recent years. This has led to an increase in supply, which has put downward pressure on prices. Also, the demand for Sodium Propionate has been declining in recent years due to several factors, including the rise of alternative preservatives and the increasing cost of Sodium Propionate, such as Potassium Sorbate and Calcium Propionate, which are becoming more popular because they are less expensive and have similar properties to Sodium Propionate. The increasing cost of Sodium Propionate is due to several factors, including the increasing cost of raw materials, the increasing cost of energy, and the increasing cost of labor. The decline in demand has led to a decline in prices.

Furthermore, the global economy has been weakening in recent years, which has led to lower demand for Sodium Propionate, which put downward pressure on prices. In recent months the US dollar has been strengthening against the Chinese yuan, which has made Sodium Propionate buyers more expensive in China.

On the other hand, Soda Ash and Propionic Acid, the product's two raw ingredients, control the price of Sodium Propionate. The price of domestic Soda Ash and Propionic Acid was seen to be poor towards the end of the month of May. Average demand existed for both Sodium Propionate and the raw resources it is made from, and a strong wait-and-see attitude prevailed. Overall, based on upstream market demand, it is anticipated that the price of Soda Ash would mostly be susceptible to weak consolidation in the later stage. The operating rate of Soda Ash remained mostly unchanged from a supply-side standpoint. There may be a little increase in supply, but it will not be significant. The Soda Ash facility is now under construction at a high level, and the market supply is essentially enough. Overall, the trading environment is ordinary, and downstream Soda Ash is still mostly bought in response to demand with a strong wait-and-see attitude.

According to ChemAnalyst, the prices of Sodium Propionate are likely to showcase the optimistic market situation on the back of improved demand from the downstream sector. Also, in order to replenish their inventories with fresh supplies, market players are likely to increase the production rate, which will influence the market situation positively.