Bisphenol A (BPA) prices faced downward pressure during mid-January 2025 across APAC and North America due to weak demand and an oversupplied market. Subdued downstream activity, low feedstock costs, and cautious buying strategies significantly influenced the global BPA market trends.

In China, BPA prices faced downward pressure due to declining demand from key downstream sectors, including polycarbonate (PC) and epoxy resin. The resumption of production at major facilities, such as Guangxi Huayi and Heilongjiang Longjiang Chemical, contributed to oversupply, while feedstock phenol and acetone markets provided minimal cost support. Phenol traders reported low trading activity, with reduced market enthusiasm and limited demand orders from terminal enterprises. Market sentiment was further dampened as downstream factories completed lunar year-end stocking. Many buyers resisted high prices, focusing instead on immediate needs, which slowed market activity.

Operating rates at BPA facilities in China remained stable, but inventory pressures continued to weigh on pricing flexibility. The construction sector, a significant consumer of PC, remained sluggish due to cold weather curtailing activity in northern regions. In southern China, while some construction projects persisted, they were insufficient to offset the broader demand slowdown.

The export market for BPA also faced challenges. Additionally, the European Union's official ban on BPA in food-contact materials, effective December 19, 2024, further pressured the global BPA market, disrupting export demand from Asia. This regulatory shift intensified oversupply concerns, prompting manufacturers to adopt cautious production and pricing strategies.

In Japan, the BPA market was affected by reduced demand from the PC and epoxy resin sectors. The automobile and construction industries, key end-users of BPA, saw sluggish activity, with new vehicle sales in December 2024 declining 9.1% year-on-year, according to the Japan Automotive Dealers Association. Buyers in downstream industries focused on immediate procurement, avoiding large-scale stocking, which constrained market recovery.

In India, BPA demand remained weak, particularly in the construction sector, which was impacted by severe winter weather and limited project activity. While some support came from premium real estate projects, overall consumption trends were bearish. Downstream factories engaged in minimal procurement, focusing on meeting immediate operational needs rather than building inventories.

In the USA, BPA prices also remained under pressure, driven by weak demand from the PC and epoxy resin sectors and competitive pricing from Asian imports. Severe winter weather disrupted construction projects, further reducing downstream consumption. According to Census data released on January 2, 2025, construction spending in November 2024 showed no significant change. High inventory levels and limited purchasing activity from buyers compounded market challenges, despite steady domestic production.

As per ChemAnalyst, BPA prices are projected to remain under pressure in the coming weeks. The Lunar New Year holidays in APAC are expected to halt procurement activity temporarily, while ample supply and weak demand in global markets, including the USA, are likely to maintain a bearish market sentiment.