Oxytetracycline Hydrochloride Prices Increase in the US and Europe Amid Rise in Demand

Oxytetracycline Hydrochloride, a pharmaceutical API, prices are expected to increase positively at the end of June 2023 across the global market, primarily in the United States and Europe. Market participants expect the production volume of Oxytetracycline Hydrochloride to increase in the near future. Therefore, the suppliers and retailers in the local market may focus on clearing their old stocks and increasing their inventory with newer Oxytetracycline Hydrochloride products. The decrease in inventories and the rise in end-user inquiries from downstream and international markets will likely drive the global market price up for Oxytetracycline Hydrochloride with the termination of the second quarter of 2023.

Consumer confidence has picked up across all Pharmaceutical APIs and excipients, including Oxytetracycline Hydrochloride, resulting in an upturn in downstream sector demand in the global market. In addition, in the United States, according to the latest data from the US, despite weaker end-user demand, Consumer Price Index (CPI) in May 2023 increased by 0.6%, following a 0.3% increase in April. This trend is expected to continue in the coming months, and exporting countries have started increasing their production to meet the growing demand for APIs like Oxytetracycline Hydrochloride.

In addition, there are several unresolved issues in the bilateral trade between the United States and China. The large trade deficit between the two countries has been a concern for economists. Some argue it is a sign of unfair trade practices by China, while others attribute the imbalance to the resilience of the Chinese economy and production systems, which are heavily impacted by imbalanced activity between demand and supply.

In Europe, prices of Oxytetracycline Hydrochloride increased at the same pace as they trended upward across North America. However, the market was declining until mid-Q2, but as June approaches, it is expected that the market for Oxytetracycline Hydrochloride will show an optimistic trend by the end of June due to an increase in domestic and international inquiries and a slight upturn in manufacturing across exporting nations, primarily China. Furthermore, the market players decided to focus on placing newer quotations for Oxytetracycline Hydrochloride since demand is expected to remain high in the coming months.

As per ChemAnalyst, "the global market for Oxytetracycline Hydrochloride will remain high, and the export market will likely begin a new production activity due to the high demand and energy prices. Additionally, the rising cost of raw materials will continue to fuel the Oxytetracycline Hydrochloride market in an upward direction. However, with the start of the third quarter, market participants might have enough inventory to meet urgent orders worldwide.