The global Fluoroelastomer market exhibited price stability by mid-January, driven by a balance between regional supply and demand. Moderate downstream demand, with a flat Automotive sector performance, contributed to this equilibrium. Robust consumption from the Aerospace sector counterbalanced weaker segments, supporting market stability. In addition, strong performance in the U.S. Automobile sector and steady overseas market demand bolstered Fluoroelastomer consumption. Consistent supply chain operations and resilient sectoral performance collectively ensured stable Fluoroelastomer pricing during this period, reflecting a well-balanced market sentiment.

In the European market, Fluoroelastomer prices remained stable as of mid-January, primarily due to balanced demand from the downstream sectors. According to the Germany Federal Motor Vehicle Office (KBA), new passenger car registrations in December 2024 totalled 224,721 units, reflecting an 8.1% month-on-month decline and a 7.1% decrease compared to the same period last year, signaling muted demand from the Automotive sector. Meanwhile, the Aerospace sector offered strong support, with Airbus recording 123 deliveries to 44 customers in December and achieving a total of 766 deliveries to 86 customers in 2024. This robust performance counterbalanced reduced demand from the Automotive sector.

The market's stability was further supported by sufficient inventory levels and consistent supply chains, ensuring balanced market conditions despite decreased purchasing activity. Severe port congestion at major European ports like Antwerp, Hamburg, and Genoa, along with labor shortages and adverse weather, continued into the New Year, creating logistical challenges. Suppliers countered these disruptions by improving operational efficiencies, reducing lead times, and achieving enhanced vendor performance, thereby maintaining Fluoroelastomer demand. The ongoing development of Fluoroelastomer applications in the Aerospace sector further bolstered consumption. Despite logistical hurdles, stable inventory levels and Fluoroelastomer manufacturing efficiencies ensured price stability during this period.

In the US market, Fluoroelastomer prices remained stable, supported by positive performance in the Automotive sector. However, reduced consumption from the Aerospace sector continued to weigh on overall demand. Boeing's aircraft deliveries saw a significant decline in 2024, dropping to 340 jets from 528 in 2023. First-flight production also fell to 256 aircraft in 2024, compared to 425 in 2023, due to a major strike, intensified quality checks following a 737 MAX incident, and certification delays for the 777X. Although production has resumed post-strike, strict FAA oversight persists.

Despite these hurdles, Boeing received an order for up to 200 737 MAX 10 jets from Pegasus Airlines, sparking cautious optimism for recovery in the Aerospace sector. This development, coupled with the potential for renewed sectoral growth, could enhance Fluoroelastomer consumption in aerospace applications. The market outlook remains optimistic, with consistent supply and robust demand drivers ensuring Fluoroelastomer stability in critical applications.

According to ChemAnalyst, the Fluoroelastomer market is projected to follow a consolidated trend in the coming sessions, with demand from downstream markets remaining flat for now. While concerns persist over the European manufacturing sector, there is cautious optimism for improvement. The outlook for the US and Asian markets, particularly China, is expected to remain positive, which could help drive Fluoroelastomer demand in the near future.