US Sodium Benzoate Excipient Market Faces Downward Price Trend Amid Weak Downstream Inquiries

Towards the middle of the third quarter of 2023, Sodium Benzoate Excipient prices plummeted within the North American region, primarily in the United States. Surging energy costs coupled with decreasing sales from downstream Food and Beverages, and cosmetics sectors, persistent increase in upstream Benzoic Acid Excipient prices, and disruption to the global supply chain were some of the major factors affecting the overall market scenario of Sodium Benzoate Excipient throughout August 2023.

Early in the third quarter, the price of Benzoic Acid Excipient, a vital raw material used to make Sodium Benzoate Excipient, increased. Although upstream prices continued to rise throughout the quarter, the market environment for Sodium Benzoate Excipient changed, leading to weaker and consolidating prices for Sodium Benzoate Excipient. Most domestic retailers reported that this month's demand was generally steady. Additionally, market distributors hesitated to place sizable orders because of the ongoing price decline. Furthermore, the price of downstream Sodium Benzoate Excipients has declined because of an excess supply and increased production.

The most recent data indicate that the US economy witnessed a mixed market trajectory during August 2023. Although the pace of growth was slower than in previous months, there were some encouraging signs, including strong job growth and rising wages. Nevertheless, certain factors impact the market for all excipients, including Sodium Benzoate Excipients in the United States. This includes the ongoing trade conflict between the US and China, which poses a serious risk to the US economy. The trade war already had a bad effect on the economy, and if it worsens, it might cause growth to slow even more. Because businesses had to find new suppliers and transportation routes to market their products, the war disrupted supply chains. Additionally, the supply disruption has harmed relations between the US and China, two of the biggest economies in the world. The world economy might suffer as a result.

The cost of Chinese goods has also increased for US consumers due to additional factors like rising tariffs on Chinese imports. Due to this, the merchants in the exporting countries were reluctant to place bulk orders and were keen to provide their products at reduced prices, which helped to support the downward price trend for Sodium Benzoate Excipient. The trade conflict has also made businesses uncertain, which may discourage investment and slow economic growth. According to market participants, the prices of Sodium Benzoate Excipient are anticipated to rise in the upcoming months. This upward market trend is estimated to be supported by increasing end-user demand from the domestic market and inventory levels sufficient to satisfy all regional inquiries.