Methyl Methacrylate (MMA) prices in Belgium have experienced a notable decline during the first half of December, driven by a combination of weak demand, easing supply constraints, and market players’ cautious approach to future purchases.

The primary factor contributing to this MMA price decline in Belgium and across Europe is the sustained weak demand, especially in the downstream sectors where MMA is used in various applications such as automotive, construction, and consumer goods. In contrast to the tight supply conditions experienced during the summer, the overall demand for MMA has remained lackluster, with many buyers having pre-purchased material earlier in the year. The subdued interest from market participants has caused them to focus more on destocking, as they wait for prices to stabilize further before committing to new purchases. This has led to an accumulation of inventory among producers and traders, resulting in downward price pressure throughout December.

While the summer months saw significant supply disruptions due to plant shutdowns and feedstock supply constraints in Europe, the situation has improved markedly in the final quarter of 2024. One of the key contributing factors to the easing of supply issues has been the return of domestic production to normal levels. Major European producers such as Trinseo and Roehm have restarted their plants, following maintenance shutdowns in mid-2024. This has allowed the MMA market to recover from the production bottlenecks that had driven prices upwards earlier in the year. Additionally, lower freight rates and reduced prices in Asia have contributed to a better supply outlook, with increased imports from China and South Korea reaching Europe. These developments have helped meet some of the demand shortfalls in the market, which further eased the tightness in MMA availability.

However, while the easing of MMA supply constraints has been welcomed by buyers, it has also contributed to the price decline. As production resumed and import levels increased, the market began to shift from a supply-driven dynamic to one of weak demand, which further pushed prices downward. Despite the improvement in supply conditions, European MMA prices have been unable to recover due to the persistent softness in demand.

Looking ahead, the outlook for MMA prices in Belgium remains uncertain, with multiple factors at play. While some market participants expressed optimism about better preparation for 2025, the outlook remains cautious. Expectations for flat demand in the first quarter of 2025, particularly in January and February, reflect a market still grappling with weak industrial activity and economic uncertainty. However, some sources have indicated that demand could pick up later in the first quarter, particularly if economic conditions improve or if there are signs of increased industrial output. Market participants are also keeping an eye on potential disruptions in supply, such as labor strikes, natural disasters, or import delays, which could still impact the market and lead to price volatility. Furthermore, geopolitical factors, such as President-elect Donald Trump’s tariff decisions, and the planned launch of Roehm’s new MMA plant in Texas, could further shift global supply dynamics, affecting MMA prices in Europe.