In the global market, Phosphoric Acid prices experienced a slight increase in the last week of April. This surge in the Phosphoric Acid price is primarily driven by market participant's actions amidst an overall under-pressure performance in the Phosphate market. Price actions suggest that market participants are currently focused on destocking inventories, leading to subdued bidding activities for accumulation during this period. These factors collectively influenced the price of Phosphoric Acid throughout the respective period, indicating a cautious market sentiment amidst inventory adjustments and broader market dynamics.

In the Asian market particularly China, the price of Phosphoric Acid in China remained witnessed a marginal surge in H2 April. Weak performance in the upstream phosphate rock market, coupled with tepid demand, contributed to this stability. While some regions experienced tight phosphate rock supply, others faced challenges due to weak supply and demand dynamics. Price actions suggest suppliers are destocking inventories, perpetuating a downward price trend. Market participants showed lower enthusiasm for fresh inventory accumulation. As of this week, the Phosphoric Acid price halted at 850 USD per metric ton Free on Board (FOB) Qinzhou, highlighting the cautious market sentiment amidst ongoing supply and demand dynamics.

In the US market, the price of the Phosphoric Acid witnessed a challenging scenario. The largest Phosphate producer Mosaic anticipates first-quarter sales volumes for Phosphates to align with the previously guided range of 1.6-1.8 million tonnes. This projection includes a portion of low-margin products acquired from third parties, aimed at mitigating the impact of a previously announced turnaround schedule in the first half of 2024. Phosphate operating earnings in the first quarter of 2024 amounted to USD 40 million, down from USD 266 million in the prior year period, while adjusted EBITDA totalled USD 277 million compared to USD 382 million in the first quarter of 2023. Mosaic Fertilizantes reported operating earnings of USD 42 million, up from USD (32) million in the prior year period, with adjusted EBITDA totaling USD 83 million, an increase from USD 3 million in the first quarter of 2023. Looking ahead, the Riverview phosphate fertilizer production facility, with a weekly run rate of approximately 30,000 tonnes, sustained limited damage from a recent brushfire, with potential production impacts lasting four to six weeks. During the incident, the facility was primarily producing phosphate products destined for export to Brazil. These factors have cumulatively influenced the consumption of Phosphoric Acid in the US market.

According to ChemAnalyst's analysis, the price of Phosphoric Acid in the global market is expected to exhibit stable to bearish momentum in the upcoming sessions. This forecast is primarily attributed to a significant decline in overall sales observed from major Phosphoric Acid and Phosphate fertilizer producers. The market currently boasts sufficient inventory availability, resulting in limited demand for additional acquisitions of Phosphoric Acid. Moreover, the prevailing downward trend in Phosphoric Acid prices contributes to lower enthusiasm among market participants to initiate new biddings, as the likelihood of a price uptick for trend reversal remains low.