Sodium Silicate Prices Are Diving Down In Asia, And Low Demand Is The Reason

The global Sodium Silicate prices have started tracing a downfall during the First week of July 2022. As per the latest assessment, Sodium Silicate prices have slipped in Europe and Asia, owing to slowed economic activities in the global market. However, the input cost has not shown any significant fall since the Russia-Ukraine war has escalated.

The data shows a fall of around 6.7% in India, assessed during the first week of the month. The foremost reason behind this fall is slowed demand from the domestic market amidst ample product availability for the product. The feedstock Soda Ash price has not shown any sign of ease in the country until the end of June 2022 and projected a different market dynamic in the Indian market.

On the other side, another major Asian economy, China, also witnessed a similar market sentiment, where the prices tumbled by around 2% in a similar timeframe. As per the latest insights, the Chinese market is still at risk of another round of pandemic restrictions in the country, as the government is still opting for a zero COVID policy against any single case registered.

South Korean market showcased a similar market dynamic, where a decline of around 3% has been observed, as the country heard receiving cargoes at lower prices. Under the influence of the tedious Asian market, offtakes are still slow and lackluster, leading the prices to drop. Traders are trying to mitigate this slow demand by offering discounts on spot purchases.

Additionally, traders in Japan and Vietnam have not remained untouched by this recent market movement. A similar price fall has also been marked for these countries, while Japan perceived the steepest fall among other major Asian countries.

According to the ChemAnalyst analysis, Sodium Silicate prices will likely remain low during the forthcoming months, owing to low demand from the domestic market. Further, availabilities to Asian traders are ample enough to satisfy the current need, which may further support discounts in the future.