Calcium Formate prices in the Asia-Pacific (APAC) region have been witnessing consistent downward pressure which remain persistent entering December 2024, primarily due to subdued demand from the cement and concrete industries. Seasonal factors, including cold weather in northern regions, have significantly slowed construction activities, while funding constraints have hindered project progress in southern areas. Ample supply from domestic Calcium Formate producers and stable feedstock formic acid prices have further reinforced the bearish market sentiment.

The concrete market across APAC has exhibited seasonal and regional disparities, with construction activities in the north nearly halting due to cold temperatures, while China southern regions face financial challenges and limited new orders despite year-end deadlines. The broader construction slowdown has persisted throughout 2024, driven by weakened real estate investment and slowing infrastructure development, intensifying supply-demand imbalances and exerting sustained pressure on Calcium Formate prices.

The prolonged downturn in the construction sector has been reflected in the financial performance of key players in China, with 18 listed companies across the industry reporting poor outcomes in the first three quarters of 2024. Declining revenues and net profits, coupled with an increasing number of enterprises slipping into losses, highlight the severity of the challenges. Against this backdrop, the steady decline in Calcium Formate prices underscores the broader economic pressures and the need for a rebound in construction activities to stabilize market conditions.

In India, the Calcium Formate market has also faced consistent downward pressure. The decline is driven by subdued demand from the construction sector, particularly in infrastructure and housing, where reduced investment activity and project delays have stalled growth. Seasonal factors, such as the post-monsoon recovery period, have further suppressed demand for Calcium Formate in the downstream, while an oversupply from domestic producers has intensified price competition. Cement prices, closely tied to the performance of Calcium Formate, have dropped 10% year-on-year to Rs. 330 per bag in the first half of FY25, reflecting oversupply and weak market sentiment.

Market participants across APAC including India have reported increased inventory levels of Calcium Formate, compelling manufacturers to implement targeted discount strategies to manage stockpiles and improve cash flow before the fiscal year ends. Additionally, the weak demand outlook for cement and concrete, exacerbated by limited new project launches and ongoing financial constraints, suggests that the downward price trend will persist in the short term.

As per ChemAnalyst, Calcium Formate prices are expected to face further downward pressure in the coming weeks in APAC. The ongoing urgency among manufacturers to clear inventories before year-end, coupled with the weak demand environment, will likely continue to weigh on prices.