Fluoroelastomer Prices Showcase Marginal Surge Amid Balanced Demand and Effective Inventory Management

In the global market, the price of Fluoroelastomer witnessed a marginal surge in mid-July. These fluctuations in the Fluoroelastomer price are mainly attributed to balanced demand from the major economies in the global market. Suppliers are effectively managing inventory levels in response to the observed demand from the downstream automobile and aerospace sectors. These key factors have played a significant role in influencing Fluoroelastomer prices this week.

In mid-July, Fluoroelastomer prices in the USA have marginally surged amid diverse market conditions. The automotive sector saw a decline in total sales in June, with decreases of 7.15% compared to the previous month and 3.22% compared to the previous year. Conversely, the aerospace industry exhibited strong performance, with Boeing delivering 157 commercial airplanes by May 2024 and recording 611 net orders. June saw the anticipated delivery of 43 aircraft, including 34 737 MAX models. Monetary policy remained steady, with the Federal Reserve maintaining the fed funds target range at 5.25%-5.50% for the seventh consecutive meeting in June 2024. The pricing trend has shown a pattern of higher highs and higher lows, suggesting that suppliers are gradually increasing inventory levels and marginally adjusting their quoted prices over recent months. This gradual upward trend has contributed to the observed Fluoroelastomer price increase during this period.

In mid-July, Fluoroelastomer prices in Germany saw a marginal increase, primarily driven by higher pricing from a major manufacturer based in the Netherlands. The automotive sector experienced robust growth, with 297,329 new passenger car registrations in June, marking a 6.1% year-on-year increase. From January to June, total sales reached 1,471,641 units, marking a 5.4% increase compared to the same period last year and a notable 25.36% rise from the previous month, as reported by the Germany Federal Motor Vehicle Office (KBA).In the aerospace market, while no major orders were placed, Airbus delivered approximately 67 airplanes in June, amounting to around 323 deliveries for the first half of the year, a 2% increase compared to the previous year. PMI figures indicated that manufacturing activity remained below the threshold limit, reflecting subdued performance in the sector. Suppliers have been gradually increasing inventory levels and marginally adjusting their quoted prices over recent months, resulting in a pattern of slightly rising peaks and troughs in Fluoroelastomer pricing trends.

According to ChemAnalyst, the price of Fluoroelastomer is expected to show a marginally bullish trend in the upcoming sessions. This fluctuation in the Fluoroelastomer price is primarily linked to overall positivity in downstream market demand from the automobile and aerospace sectors. Suppliers are slightly increasing their inventory accumulation, resulting in a marginal uptrend in the pricing pattern. These factors will play a pivotal role in the price fluctuation of Fluoroelastomer in the upcoming sessions.