The global Linear Alkyl Benzene Sulfonic Acid (LABSA) market experienced a notable price surge across major regions, including Asia, the United States, and Europe, during the third week of February. This increase was primarily driven by growing demand from the detergent and cleaning product industries, as well as rising costs of key raw materials, particularly Linear Alkyl Benzene (LAB). The detergent and surfactant industries, which rely heavily on LABSA as a primary ingredient, saw improved consumption patterns, further reinforcing the bullish market sentiment.   

Key Takeaways

• LABSA prices increased across the Asian, European, and US markets due to higher demand and rising feedstock costs. 
• A strong rebound in the downstream detergent and surfactant sectors contributed significantly to the price uptick. 
• US and European demand recovered post-winter as improving weather conditions boosted industrial consumption. 
• China’s LABSA market strengthened post-Lunar New Year, with increased procurement activities. 

In Asia, LABSA prices rose significantly, particularly in China and India. Following the Lunar New Year holidays, industrial activity in China rebounded, leading to a surge in procurement and a 1.9% price increase for LABSA (FOB Qingdao) by February 21, 2025. Increased consumption from the detergent and industrial cleaning sectors played a crucial role in driving prices higher. Similarly, in India, strong demand from FMCG and cleaning product manufacturers pushed LABSA prices upward. The rising costs of LAB and sulfuric acid further added to production expenses, sustaining the ongoing price hike. 

The US LABSA market also saw a price recovery following a demand slowdown during the winter months. Warmer temperatures enabled industrial and commercial cleaning operations to resume, leading to a 0.8% price increase for LABSA (FOB Louisiana) this week. A key factor behind this recovery was the growing demand for detergents and surfactants in household and industrial applications. Additionally, the rising costs of LAB and sulfuric acid, both essential inputs in LABSA production, contributed to the upward pricing trend. Supply constraints and logistical challenges further intensified price pressures. 

In Europe, LABSA prices followed a similar pattern, with a 2.0% increase (FOB Hamburg, Germany). The market, which had experienced seasonal slowdowns in winter, saw a rebound as industrial demand for detergents and surfactants surged. Rising production costs, coupled with limited supply in certain regions, reinforced the upward price trend. Furthermore, disruptions in global trade and transportation bottlenecks contributed to price volatility in the European market. 

According to ChemAnalyst, the LABSA market is expected to remain strong in the coming months. The combination of rising LAB and sulfuric acid costs, robust demand from downstream industries, and supply chain constraints will likely sustain upward pricing pressure. Additionally, external factors such as geopolitical uncertainties, trade disruptions, and seasonal demand variations will continue to shape market trends.