As the Chinese New Year approaches in January 2025, Succinic Acid prices are expected to rise due to supply disruptions and a temporary drop in production. Factory closures and reduced production during the holiday period will impact logistics, creating a surge in demand as businesses rush shipments before the shutdown. At the same time, Succinic Acid supplies in Europe will face delays due to increased yard density at key ports like Rotterdam, Antwerp, and Hamburg, compounded by weather-related disruptions. With reduced availability and increasing demand post-holiday, market players are likely to raise prices in mid-Q1 2025, further tightening the supply-demand balance.

The Succinic Acid prices are expected to rise as the Chinese market remains closed during the Lunar New Year holidays, leading to a temporary drop in supply. With reduced availability and demand potentially increasing from buyers’ post-holiday, market players are likely to raise the Succinic Acid quotations to reflect the tighter supply conditions. This anticipated supply-demand imbalance could push prices higher in mid-Q1.

At the same time, as the Chinese New Year approaches on January 29^th, 2025, logistics are impacted by factory closures and reduced production. Businesses typically rush shipments before the holiday shutdown, creating a temporary surge in demand. However, many are now advancing cargo throughout the year, aiming to reduce the usual disruptions to global shipping. Simultaneously, Succinic Acid supplies in Europe will be disrupted by increased yard density at key ports like Rotterdam, Antwerp, and Hamburg, compounded by weather-related delays.

Meanwhile, Succinic Acid production remained stable in key producer and exporter China during December 2024 despite a slight slowdown in manufacturing activities. The decline in overall production was largely attributed to rising input and energy costs during the winter season, which impacted overall manufacturing operations. However, production costs for Succinic Acid were somewhat alleviated by a decrease in feedstock costs, particularly Benzene, due to a drop in upstream crude oil prices.

Concurrently, the demand for Succinic Acid in adhesives and sealants was subdued due to contractions in the construction sector, especially in Europe. The European construction sector remained under pressure in December 2024, with persistent contractions reflecting broader economic challenges. Simultaneously, Succinic Acid orders in the cosmetics and personal care sector stayed stable, bolstered by a surge in festive shopping, with foot traffic in European retail spaces rising, especially in France, highlighting the continued appeal of physical stores despite rising production costs.

Additionally, Eurozone factory orders declined faster during December 2024, driven by reduced domestic demand, while export orders fell more slowly. Purchasing activity also dropped sharply, with reductions in input buying and pre-production inventories.

In conclusion, as Succinic Acid faces supply disruptions and rising demand, especially post-Chinese New Year, prices are expected to increase due to tighter market conditions.