In October 2024, Sodium Gluconate prices in the Asian market showed mixed trends. While prices remained subdued overall, some regions witnessed slight variations. The decline in major part was mainly due to weak demand from key downstream sectors, sluggish domestic market activity, a depreciating currency, and a downturn in the broader chemical market, all contributing to the overall price weakness.

In China, Sodium Gluconate prices saw a notable decrease of 1.39% in October. This decline was driven by weak offtake from the domestic market, a drop in the value of the Chinese yuan, and the seasonal destocking of inventories. The construction sector in China, a major consumer of Sodium Gluconate, faced a significant slowdown, further affecting the overall demand for the product. The real estate sector, which has been struggling for some time, continued to hamper construction activity. According to data from the National Bureau of Statistics (NBS) China, the construction Purchasing Managers’ Index (PMI) fell by 0.59% in October 2024, dropping to 50.4% from 50.7% in September. This slowdown contributed to the reduced demand for Sodium Gluconate, with prices reaching USD 565/MT FOB Qingdao during the month.

Additionally, the depreciation of the Chinese currency in October, with the yuan falling by 1.24% against the US dollar, further exacerbated the situation, impacting trade and leading to a drop in Sodium Gluconate prices. While the demand for Sodium Gluconate remained limited, the prices of some key feedstocks, such as caustic soda, saw a slight uptick. Caustic soda prices rose by 3.8% in October, driven by maintenance activities and reductions in production in East China. Despite the higher feedstock costs, Sodium Gluconate production remained stable, with caustic soda output rising by 3.7% month-on-month and 3.8% year-on-year in September, according to NBS data.

In contrast, the Sodium Gluconate market in India showed a positive trend in October 2024, with prices rising due to stronger demand, especially during the festive season. Although the construction sector, a major downstream consumer, saw limited demand, sectors like cosmetics, textiles, and food and beverages saw increased consumption of Sodium Gluconate. The rising prices of caustic soda, which increased by 0.92% due to limited availability and reduced production in the export sector, also supported Sodium Gluconate price increases in India. Domestic demand, spurred by the festive season, led to an imbalance between supply and demand, pushing Sodium Gluconate prices up by 2.8% in India.

Looking ahead, analysts anticipate that Sodium Gluconate prices in the Asia-Pacific region may continue to rise in the coming months. This is expected to be driven by improving market conditions, higher production costs, and increasing logistics freight charges as we move into November 2024.