In September 2024, the Sodium Hexametaphosphate (SHMP) market faced notable declines, particularly in Europe and China, largely due to weak demand from downstream industries. The primary consumers of SHMP, such as detergents and cleaning agents, exhibited a significant downturn in demand, leading to excess supply in the market. This oversupply persisted even in the face of supply disturbances, which were somewhat mitigated by adequate domestic inventories in key regions. The market dynamics were notably influenced by a considerable slump in China's export market. Reports indicate that SHMP prices in China saw a drastic reduction, with the FOB price in Qingdao decreasing by approximately 6%. The situation was mirrored in Europe, where the CFR price in Rotterdam (Netherlands) dropped by about 7%.  The ease of imported materials from Asia to the European market further exacerbated the price declines, as plummeting freight rates from Asia to Europe reduced the cost of imported SHMP, significantly impacting local pricing trends.

In Asia, particularly in China, demand for SHMP remained tepid, with the domestic surfactants industry struggling to revive consumer interest. The overall market sentiment across the region has been cautious, as industry participants remain skeptical about a rebound in demand for SHMP during the upcoming October-November period. This hesitance is compounded by seasonal factors, where typical year-end trends lead to a slowdown in manufacturing activities due to holidays and festivities, which traditionally dampen demand in downstream sectors. Despite a recent rise in the cost of phosphoric acid, a critical feedstock for SHMP, the ample availability of SHMP in the market coupled with declining demand has caused prices to fall.

Moreover, the anticipated reduction in SHMP demand in Europe as the year draws to a close has already started to influence market dynamics in September. The European SHMP market experienced a slowdown in consumption during this time, particularly in the detergents and cleaning products sector, following peak usage periods in spring and summer. As the holiday season approaches in December, reduced industrial activity and lower production rates across various sectors, especially those related to household and industrial cleaning agents, are expected. The colder weather also contributes to diminished outdoor construction and cleaning activities, further reducing overall SHMP consumption. As these factors combine, the SHMP market is likely to remain under pressure, with demand expected to continue waning as the year progresses. The industry’s outlook remains cautious, suggesting that recovery may not materialize until early 2025.

According to ChemAnalyst, the price of SHMP in both Asian and European markets is expected to remain subdued for the remainder of the year, primarily driven by weakened demand from the downstream detergents industry. This decline is further compounded by seasonal factors, as the approach of year-end festivities often leads to reduced manufacturing activities and lower consumption of cleaning products, traditionally seen during peak seasons in spring and summer. Additionally, many manufacturers are engaging in destocking practices as they prepare for the year's close, further straining demand dynamics. The combination of these elements creates a challenging landscape for SHMP pricing in both regions.