The US Hydrogen Peroxide Market Showcases Stagnancy Amid Stable Feedstock Costs and Downstream Demand

Hydrogen Peroxide prices remained stable in the last week of November 2024. The prices were influenced by complex interplay of various factors including energy costs, raw material availability, demand and supply dynamics and other factors.

The primary driving factors for the prices of Hydrogen Peroxide were raw material cost and energy cost. The past few weeks have witnessed the stable price trend reflecting the overall stabilization in the market. The market was under downward pressure in previous week due to oversupply in the market while the demand from key downstream industries such as textile and paper industries remained dire. As the seasonal demand was under pressure, the inventories were high leading to downward pressure. The production remained low in the past few weeks, due to which the oversupply situation was compensated, and the market shifted towards stabilization. The stable prices of Hydrogen Peroxide reflected towards the cautiously optimistic market sentiments.

In the week ending on November 29, 2024, the price of 70% Hydrogen Peroxide was assessed at USD 950/MT FOB Illinois, USA. In the energy market, gas prices experienced a slight decline as stable LNG supplies and milder weather reduced heating demand, resulting in stable market conditions. However, there was a temporary price increase midweek due to colder temperatures and reduced wind power generation. Overall, gas prices remained stable throughout the week. Electricity prices saw a notable rise, largely driven by changes in wind generation and demand shifts linked to weather fluctuations. In the crude oil market, prices remained largely steady, with minor fluctuations influenced by geopolitical events and shifts in global supply dynamics. As the energy cost was also mostly stable in the last week of November, Hydrogen Peroxide market remained stable.

Looking further, the prices of Hydrogen Peroxide are largely influenced by supply and demand dynamics in the market. Significant increase or decrease in energy cost will also impact the pricing of Hydrogen Peroxide as the production of Hydrogen Peroxide is an energy intensive process. The prices of crude oil also play a vital role in the market of chemicals like Hydrogen Peroxide and therefore fluctuations in the crude oil market may seriously impact the price trend for Hydrogen Peroxide. Currently the demand from major downstream sectors such as textile and paper industry remained moderate. As the demand dynamics change, the prices may show bearish or bullish trend accordingly. Stakeholders must monitor the above-mentioned factors as they could impact the price movements in future.