Glycol Ether Prices Stabilize in Europe; Q2 Price Increases Expected
- 28-Apr-2025 9:00 PM
- Journalist: Timothy Greene
In the European region, the Glycol Ether prices remained stagnant during April 2025. Production rates were moderate, while cost support declined due to easing feedstock Ethylene Oxide prices, amid reduced consumption linked to warmer temperatures. Supply disruptions caused by trade tensions and port congestion impacted trading activities and required adjustments to vessel schedules. On the demand side, the European cosmetics sector faced challenges, while the inks and coatings industry saw growth driven by sustainability efforts. The Glycol Ether prices are expected to rise in the coming weeks, driven by increased demand before the summer holidays and potential price adjustments in response to rising prices in North America.
During the first half of the month, Glycol Ether supply rates were impacted as trading activities in Europe faced challenges due to external trade tensions and operational issues at key ports. U.S. tariffs on European goods introduced uncertainty, while congestion and delays affected major ports such as Rotterdam, Bremerhaven, and Antwerp. Ports in Southern Europe, including Port Said and Tangier, also faced higher yard density. These challenges prompted adjustments to vessel schedules and operational reviews to sustain supply chain efficiency.
Concurrently, the cost support declined from feedstock Ethylene Oxide amid easing input costs linked to reduced consumption with increasing temperatures across the Northern Hemisphere despite improvement in demand from Mono Ethylene Glycol manufacturers. It negatively impacted the Glycol Ether production costs. It balanced the overall production and supply dynamics of Glycol Ether.
On the demand side, orders for Glycol Ether were moderate from downstream cosmetics, personal care, and inks & coatings industries. The European cosmetics sector, particularly the premium segment, faced challenges due to weakened consumer sentiment and geopolitical tensions, impacting the demand for Glycol Ether in formulations. Meanwhile, the inks and coatings industry, especially in flexible packaging, shifted towards sustainability with a focus on Nitrocellulose-free (NC-free) inks to meet the EU’s Packaging and Packaging Waste Regulation (PPWR). Glycol Ethers, essential for their solvency properties in both industries, are expected to see continued demand as companies prioritize eco-friendly formulations and regulatory compliance.
Glycol Ether prices in Europe are expected to rise in the coming weeks as we approach the second quarter of 2024. Demand is likely to increase as buyers stock up before the summer holidays. However, supply may decrease due to shipping disruptions around South Africa. Additionally, with prices rising in North America, European producers may take advantage of the price difference and adjust their prices accordingly. This could lead to higher prices of Glycol Ether in Europe as suppliers look to stay competitive and maximize profits, which may also impact trade flows between the two regions.