Monoisopropylamine (MIPA) prices have witnessed an upward trend in various markets due to factors such as supply chain disruptions, changes in government regulations, and shifts in global demand patterns. Despite these challenges, the demand for MIPA remains resilient, driven by key industries such as textiles and pharmaceuticals, underscoring the importance of MIPA in various industrial applications.

In the US market, MIPA prices have surged by 0.6% this month, reaching USD 1590/MT. Various sectors are exhibiting diverse levels of growth and demand, with the Personal Care sector witnessing robust demand, while the rubber and polymer markets show promising signs. Particularly, the agrochemical sector is thriving, especially in the Surfactant and Detergent market, witnessing tepid demand. Notably, beauty sales in the US have witnessed remarkable growth, with prestige beauty sales increasing by 9% and mass market beauty products by 2% year-over-year in Q1 2024. Makeup, although the largest category within the prestige beauty sector, reported comparatively weaker sales performance, except for lip makeup, which saw a substantial 26% increase in dollar sales. Furthermore, prestige hair products continued to experience double-digit growth in sales, indicating strong consumer interest in this category.

In Indonesia, the price of MIPA has notably risen due to favorable pricing trends of ammonia in exporting countries, leading to an increase in the cost of MIPA. Indonesia's reliance on MIPA imports from China has been significantly impacted by rising prices in the Chinese market. The demand for MIPA in downstream industries like textiles and pharmaceuticals remains robust, supported by strong consumer purchasing. This sustained demand has intensified price pressures in the Southeast Asian market, exacerbated by challenges specific to the polyester industry. Several polyester factories are at risk of halting production due to difficulties in securing necessary raw materials, a consequence of recent changes in government import regulations.

In April, MIPA prices in the Turkish market continued to rise due to strong demand from the textile industry. Trade between China and Turkey increased as storage unit supplies dwindled. Traders responded by slightly raising prices to boost profits, given growing demand from downstream sectors. Turkish textile and raw materials exports dropped by 11.9% from January to March 2023, contributing to the higher demand for MIPA and subsequent price increases. Amid these changes, the Turkish textile industry is turning to innovative solutions, such as those offered by KARL MAYER, known for its advanced textile machinery and technologies, to enhance production efficiency and quality in response to market challenges and opportunities.

The demand for MIPA remains strong globally, driven primarily by the textile industry, with increased export activities from China contributing to heightened global demand. Notable statistics from the Chinese government indicate a significant rise in the export of textiles, influencing global markets. Additionally, the Indian market has experienced an uptick in imports, further contributing to the upward pressure on MIPA prices. This rise in imports, coupled with strong global demand, continues to push MIPA prices higher, highlighting the interconnected nature of global trade and industry-specific demands.

According to ChemAnalyst, global prices of MIPA are projected to rise due to increasing demand in the textile sector, particularly as the demand for apparel continues to grow steadily. This rise in demand is expected to drive up prices. Additionally, the Indonesian textile industry is experiencing rapid expansion, making it an attractive prospect for international investors and operators. One of the key reasons behind this attractiveness is the relatively young and fast-growing labor force in Indonesia compared to other Asian countries and the rest of the world. This growth trend observed in April is anticipated to extend over a longer period, further contributing to increased demand for MIPA. Moreover, EuRIC Textiles has raised concerns over strict controls on textile waste shipments, which could potentially lead to an increase in prices. These stricter controls may impact the availability of certain materials or disrupt supply chains, thereby influencing price dynamics in the textile industry and indirectly affecting prices of chemicals like MIPA.