Sodium Tetraborate Prices Expected to Fall as Demand Remains Muted in October

Sodium Tetraborate prices in both Asia and the USA are forecasted to follow a downward trend through October 2024, driven by fluctuations in production levels and mixed downstream demand from the glass manufacturing sector. While some producers increased output, others scaled back, resulting in a moderate supply at the beginning of the month. Downstream demand for glass remained stable but muted, with purchases largely limited to essential needs. Despite these dynamics, shipments showed little improvement, leading to rising inventories for certain producers, though most managed to maintain steady production and sales.

In Asia, production rates for Sodium Tetraborate remained high before and after the National Day holiday, as manufacturers actively worked to reduce excess stock. Although shipments slowed in response to cooling market sentiment that began in September 2024, inventory levels across the region remained manageable. In East China, however, robust downstream restocking efforts and strong shipments helped significantly reduce inventories, easing pressure for many Sodium Tetraborate manufacturers.

From a downstream perspective, Sodium Tetraborate's weakened demand from float and photovoltaic glass has led to financial losses in the industry, prompting a gradual decrease in sodium Tetraborate prices. Recent data indicates a slight reduction in domestic float glass production capacity compared to the previous month, reflecting the broader challenges faced by the glass industry, including financial pressures and elevated inventory levels.

While the National Day holiday brought temporary relief through sales and destocking, Sodium Tetraborate market sentiment remains cautious across Asia. As shipments continue to slow, the Sodium Tetraborate market is expected to navigate ongoing demand uncertainty in the coming weeks of October 2024.

In the U.S, Sodium Tetraborate demand in the glass market has been impacted by declining automotive sales since September 2024 and sluggish export demand. Despite this, data from FRED showed a marginal increase in glass production, leading to a slight recovery in the U.S. Sodium Tetraborate market. The Conference Board’s Consumer Confidence Index dropped to 98.7 in September, down from a revised 105.6 in August, reflecting growing pessimism among consumers during October 2024. Their outlook on current business conditions turned more negative, and their confidence in the labor market weakened further. Additionally, consumers expressed greater concerns about future labor market conditions and were less optimistic about business prospects and income expectations going forward in October 2024.

As per ChemAnalyst, towards the termination of the year, with the implementation of supportive policies and the gradual recovery of market confidence, the Sodium Tetraborate industry chains are expected to stabilize in the USA and Asia.