For the Quarter Ending September 2024
North America
Moving forward towards the third quarter of 2024, the Acetonitrile market in North America experienced a challenging period marked by overall decreasing prices with a modest rise witnessed only in the middle of the quarter.
For the entire quarter, the pricing environment was predominantly negative, with a focus on destocking, reduced demand, and lower production costs. The inventory level among the trades remained more than sufficient and the decline in raw material prices had a certain positive impact on the downstream market in terms of production, supporting the market suppliers in terms of trading sentiments. While, many traders adopted a wait-and-see attitude towards market resources, and most traders were still cautious in their purchasing pace. As there had also been no significant increase or decrease in demand, market prices had not been greatly impacted with overall market trading sentiments leaning on the southerly side. However, in the middle of the quarter, the U.S. Acetonitrile market demonstrated stability, with a slight improvement in overseas demand. This trend was bolstered by rising feed material prices and escalating freight costs. Factories collectively raised their listing prices, and traders maintained a positive price trajectory. Downstream and overseas market purchasing focused on large orders, with significant involvement from intermediate traders. Lastly, the market stocks gradually depleted as they met downstream demand, particularly in the pharmaceutical, and other solvent sectors.
Overall, the USA witnessed the most substantial price changes, the market exhibited consistent downward movements. The market saw an overall average of more than 2% decrease compared to the same quarter from the previous quarter in 2024. This culminated in the quarter-ending price of USD 2165/MT for Acetonitrile pharma Grade FOB Texas in the USA, reflecting the overall decreasing sentiment in the market.
Asia Pacific
Across the Asian Pacific region, during the entire third quarter of 2024, the Acetonitrile market witnessed a notable increase in prices with a modest decline in the beginning, driven by a complex interplay of supply and demand dynamics. Overall, factors including the continuous arrival of overseas inquiries, robust downstream industry utilization, and increased production costs along with elevated freight charges contributed to an upward price trend. In Japan particularly, the market experienced the most significant price changes, reflecting overall trends seen in the region. However, seasonality and correlation in price changes were evident, with a -1% decrease from the previous quarter in 2024. While the market trading sentiments persisted on the northerly side throughout the entire three months. Furthermore, Japan's position as a major exporter within the Asian market, which holds significant influence over both domestic and international acetonitrile supply chains, further solidified its competitive edge over European and North American regions. Market participants observed a persistent increase in demand across regional and overseas markets. This heightened demand, coupled with escalating freight costs for both truck and rail transport, exerted additional upward pressure on export prices. Overall, the Industry insiders remained optimistic about the market's future trajectory, particularly in light of ongoing strong transaction volumes and increasing market demand, driven by higher price quotations from overseas markets. However, the market witnessed a slight resiliency at the beginning of the quarter where the supply side considerably outpaced the overall demand side. High acetonitrile inventories at that time, led traders to offer discounts to stimulate transactions, indicating an oversupply relative to current demand. While, in the meantime, manufacturers were actively focused on reducing their production for newer batches instead were constantly indulging in destocking sentiments with the supply side outspacing the overall demand side. Overall with an optimistic trajectory, the latest quarter-ending price in Japan stood at USD 1515/MT of Acetonitrile FOB Tokyo, underscoring the overall positive pricing environment in the region.
Europe
In Q3 2024, the European Acetonitrile market experienced stable pricing, marked by an overall downward trend. This stability was influenced by steady demand from the pharmaceutical and chemical sectors and a balanced supply. Global economic conditions, currency fluctuations, and the broader industrial landscape also played a role. Belgium, in particular, saw notable price fluctuations reflecting regional trends, with a -4% drop from the previous quarter. Market experts noted that prices had declined significantly until mid-Q3, driven by global supply chain adjustments and local market factors. Asian producers benefited from lower production costs, offering more competitive pricing due to improved operational efficiency, better raw material access, and resolved supply chain issues from earlier periods. In Europe, companies reduced stockpiles to lower storage costs and prevent product degradation. The euro’s appreciation against the U.S. dollar further benefited buyers by making imports more affordable. However, by late September 2024, the market had seen a significant uptick in regional inquiries, leading to rising Acetonitrile import prices in Belgium. Factory inventories remained low due to ongoing shipments, and the market maintained operations despite upstream fluctuations. While manufacturers kept prices high, the trading atmosphere remained optimistic, with transactions trending positively and import capacity staying strong. Downstream demand had shown signs of improvement, driven primarily by long-term contracts. The short-term outlook indicated continued market consolidation with range-bound activity. Overall, the quarter ended with Acetonitrile Industrial Grade priced at USD 1630/MT CFR Anterwep for pharma grade in Belgium, reflecting the overall stable pricing sentiment in the region.
For the Quarter Ending June 2024
North America
In Q2 2024, the North American Acetonitrile market experienced a predominantly downward pricing trend, influenced by various market forces and external factors. The quarter began with a decline in prices, primarily due to decreased demand from key downstream industries, notably pharmaceuticals and solvent sectors. April saw a contraction in US manufacturing activity, reversing the brief expansion of the previous month and marking the end of 16 consecutive months of decline. The Manufacturing PMI dropped to 49.2%, down 1.1 percentage points from March's 50.3%. Manufacturers reduced purchasing activities in response to declining new orders, reflecting heightened client caution and reluctance to make new business commitments. Despite this, production levels saw a slight increase due to the reduction of work backlogs.
Rising operational costs, including higher energy prices and increased feedstock expenses (particularly for acetic acid), contributed to elevated production costs. This prompted manufacturers to curtail new production, focusing instead on destocking and strategic inventory management in anticipation of demand fluctuations. The pricing trend in the USA continued to be affected by demand-supply dynamics, geopolitical factors, and market sentiments throughout the quarter.
However, mid-quarter saw some stabilization with a steady rise in end-user inquiries. Factories collectively raised their listing prices, with traders consistently pushing for higher export prices. These dynamics led to persistent market supply pressure, with prices trending upwards within a narrow range. This pricing landscape reflects the complex interplay of economic indicators, industry-specific factors, and broader market trends affecting the Acetonitrile market in North America during Q2 2024.
Asia Pacific
During Q2 2024, the APAC Acetonitrile market experienced an overall weakening trend, influenced by various factors contributing to market pessimism. April 2024 saw a downward trend due to a supply-demand imbalance across the global market, prompting local players to adjust profit margins. This created arbitrage opportunities for international buyers. Surplus inventory levels, especially in downstream industries, led suppliers to offer discounts for bulk purchases to avoid storage costs and stimulate demand. While with rising raw material costs (particularly acetic acid) increasing production expenses, merchants resisted procurement, supporting the downward trend. while moving forward in May 2024, the industry experienced a steady rise in inquiries arriving from the downstream pharmaceuticals and solvents sectors. Moreover, inventories possessed by the merchants remained highly sufficient balancing may’s supply-demand outlook. Continuous growth in manufacturing sentiment, albeit at a moderated pace, as market participants strategically focused on depleting existing inventories before engaging in new procurements. This strategic approach, coupled with the onset of long-term contract signings across importing nations, resulted in a surge in trade volume and reinforced market stability and the inventory management. Furthermore, on the feedstock market side, cost support from higher acetic acid prices kept the overall production cost elevated, supporting the higher prices of Acetonitrile for newer procurements. Lastly, June commenced with another downward trend. Chinese Acetonitrile supply rose relative to end-user inquiries, dampening the trading atmosphere. Traders offloaded goods at lower costs. Higher upstream crude oil and acetic acid prices increased production costs. Persistent transportation and logistics challenges, such as labor shortages and backlogs, have added pressure on traders as inquiries from the international market with already placed orders dropped.
Contrariwise to this was the market trend witnessed for Japan, the Japanese Acetonitrile market demonstrated an overall optimistic trend throughout Q2 2024, with a steady drop only at the quarter's end. The market reflected nuanced trends and seasonality impacts. April 2024 saw high export prices due to rising regional and overseas demand. At the same time, ongoing spring festival period additionally introduced slight supply chain disruptions, affecting market sentiments and leading to heightened pre-stocking activities, with prices rising consistently. This trend persisted until mid-quarter which was further influenced by higher global freight charges due to the Red Sea dispute, container shortages, and increased fuel costs. While, towards the quarter's end, prices dropped steadily, supported by weaker-than-anticipated end-user inquiries. Despite increased enthusiasm for downstream purchases since March, overall engagement remained low, prompting factories to lower prices. Sluggish downstream consumption and weak demand contributes to declining acetic acid prices, further impacting Acetonitrile production sentiments. On the trading side, inventory levels among market players remained sufficient, balancing June's demand and market transactions. As a result the overall quarter concluded with price stability, reflecting a balanced market environment driven by controlled supply-demand dynamics. This stable sentiment throughout Q2 2024 indicated a positive and predictable pricing environment, allowing stakeholders to navigate the market with confidence.
Europe
The second quarter of 2024 has been a tumultuous period for the acetonitrile market in Europe, marked by a complex interplay of macroeconomic and industry-specific factors. Rising freight charges, increasing natural gas costs, and geopolitical disruptions have collectively created a challenging trading environment. The depreciation of the euro against the US dollar has heightened cost pressures for importers, while abundant supply and weak downstream demand have exerted downward pressure on prices. This period has been characterized by a cautious approach from buyers, who have been reluctant to procure at higher costs due to inflationary pressures and a global economic slowdown. Throughout the quarter, regarding the supply aspect, analysts noted sufficient inventories, indicating a trend of gradual stabilization coupled with a significant reduction in end-user demand. Additionally, Acetonitrile exports displayed resilience due to the steady drop in freight charges, making imports more cost-effective for downstream buyers and neighboring nations. However, with weakened inquiries arriving in the nations, production momentum across the region witnessed a steady drop as suppliers were focused on clearing their pre-stocked-up inventories first during April. This trend continued until the final weeks of June with supply side being sufficiently enough balancing the overall demand side. However, as steady upward trend was witnessed in the middle of the quarter.
For the Quarter Ending March 2024
North America
Throughout the first quarter of 2024, the Acetonitrile market in North America experienced an optimistic trajectory, with prices rising by another 1.83 percent from the previous quarter of the preceding year. Various factors influenced pricing and market dynamics, including the consistent rise in regional demand and limited inventories, which prevented merchants from increasing production momentum to avoid material shortages. Rising feedstock material prices like Acetic acid and ammonia further supported these higher end-product prices. Additionally, supply constraints arose from limited Acetonitrile inventory meeting growing demand, compounded by export challenges that increased shipping costs, fuel charges, and delayed consignments, affecting overall trade dynamics for Acetonitrile.
Furthermore, feedstock plant shutdowns, such as Celanese Corporation's maintenance shutdown of Acetic acid plants in February, impacted material availability nationwide, causing downstream merchants to struggle to acquire sufficient inventories amidst consistent demand from industries like Ethyl Acetate and Butyl Acetate, along with the pharmaceutical sector concerning Acetonitrile, exacerbating the situation and worsening the supply shortage. Warnings from the National Oceanic and Atmospheric Administration about potential Mississippi River bottlenecks due to weather conditions heightened concerns about future shipment disruptions, further driving up prices. Anticipation of limited supplies, along with growing overseas market inquiries, led manufacturers to maintain high inventory levels, adding to upward price pressure.
However, the price trajectory dipped at the start of Q1 due to various interconnected factors, with the USA's strategic positioning playing a significant role aided by reduced consumption with ample stockpiles, leading to manufacturers facing shipment challenges. Merchants focused on trading at lower costs to destock previous inventory, influenced by the dollar's continuous appreciation. Nevertheless, with a positive start to the year and favorable demand projections from end-user industries, the current quarter's price for Acetonitrile Pharma Grade FOB Texas in the USA settled at USD 2305 /MT FOB Texas as March concludes.
Asia Pacific
In Q1 2024, the APAC Acetonitrile market showed an optimistic trend, despite a slight initial drop. This was influenced by various factors including global supply chain disruptions due to trade disputes and rising freight charges. These challenges affected Acetonitrile availability and led to price stabilization or increases. In Japan, where notable price changes occurred, Acetonitrile prices remained relatively steady, showing an overall increase of 1.63 percent from the previous year's quarter. However, the beginning of Q1 witnessed a dip in the price trajectory due to weakened inquiries. Western and Northern markets also experienced reduced orders post-holiday season, intensifying competition among producers. This, coupled with decreased demand and excessive inventories, exerted downward pressure on prices. Furthermore, the decline in Acetic acid prices, a crucial raw material, due to weak demand, further impacted Acetonitrile prices. By February 2024, demand for Acetonitrile saw a significant rebound from downstream industries, particularly in the pharmaceutical and extraction sectors. At the same time, lower feedstock costs boosted overall downstream Acetonitrile production resilience. Initially, traders capitalized on optimistic trade activity by selling their products at higher costs across global markets, including Europe, as importing nations continued purchasing in dollars. However, plant shutdowns such as Asahi Kasei Corporation's in March disrupted production, exacerbating supply constraints amidst sustained high inquiries from overseas and European markets, further imbalanced supply and demand. Overall, the Acetonitrile market in the APAC region faced a complex set of dynamics in the first quarter of 2024, influenced by factors such as supply chain disruptions, downstream industry demand, and market uncertainties. In conclusion, the price for Acetonitrile in Japan stood at USD 1470/MT FOB Tokyo as the quarter ended in March 2024.
Europe
In Q1 2024, the European Acetonitrile market experienced various influences on pricing. Persistent demand, especially in pharmaceuticals, kept prices stable, rising by 1.12 percent overall. Ongoing trade conflicts and disruptions in global shipping, such as the Red Sea crisis, affected availability and logistics, potentially causing supply chain challenges and increased transportation costs. Fluctuating raw material costs, notably Acetic acid, also affected Acetonitrile pricing. Notable changes were observed in Belgium, where Acetonitrile prices initially surged but then steadily dropped at the quarter's start, driven by weakened purchasing and regional inquiries before the post-holiday season.
Overall, ample inventories supported this trend as market participants focused on clearing stocks at lower costs. However, following the trend in the APAC region, demand surged in February, leading to an optimistic outlook for suppliers who traded goods at higher costs across the region due to the euro's devaluation against the dollar. Additionally, trade activity played a crucial role in shaping Acetonitrile market dynamics during the month. Ongoing disruptions in the Red Sea region caused logistical challenges, delayed consignments, and extended lead times, impacting market sentiments surrounding Acetonitrile in February 2024. Moreover, recent farmer protests in the Antwerp region disrupted inland transportation networks, particularly affecting flows to terminals in the east and inflows as well. Road blockades led to congestion and reduced truck arrivals at terminals, causing delays in handling commodities and impacting overall supply chain efficiency until March. This created an overall supply-demand imbalance, keeping prices high. Hence, the overall price trend in Belgium remained stable with a slight increase compared to the previous quarter. As of the current quarter, the latest price for Acetonitrile Industrial Grade CFR Antwerp in Belgium is USD 1585/MT.
For the Quarter Ending December 2023
North America
Throughout the entire fourth quarter of 2023, Acetonitrile prices in the North American region followed a positive market trajectory, experiencing a slight decline in October. Initially, this decline was influenced by a notable reduction in downstream inquiries from industries such as pharmaceuticals and chemicals, reflecting weakened purchasing activity for Acetonitrile. Moreover, the decrease in Acetonitrile prices in October was further attributed to a significant drop in the cost of raw materials, particularly Acetic Acid. Despite the dip in demand, the supply side remained robust, ensuring sufficient availability of both downstream and upstream materials within the domestic downstream industry. This trend aligned with the trajectory observed in the previous month. Additionally, the manufacturing Purchasing Managers' Index (PMI) dropped from 49.0 in September to 46.7 last month, indicating an overall decrease in manufacturing activity.
As mid-Q4 approached in November, Acetonitrile prices began a moderate rebound compared to the previous month's trend. However, downstream suppliers and certain distributors took advantage of the lower prices, focusing on replenishing their stockpiles at more favorable rates to compensate for earlier losses. Following this, the trend persisted until the final week of December, coinciding with the arrival of the holiday season and witnessing heightened economic growth and increased inquiries from both regional and neighboring countries.
This positive market scenario, combined with inflationary pressures and elevated fuel costs, contributed to supply chain disruptions toward the end of December. The higher costs of feed materials, such as Acetic Acid and ammonia, further pushed Acetonitrile prices upward. Consequently, the latest price for Acetonitrile Pharma Grade FOB Texas in the USA for the current quarter stands at USD 2295 per metric ton. The intricate interplay of market dynamics, economic factors, and supply chain challenges has contributed to the nuanced pricing trends observed in the North American Acetonitrile market throughout the final quarter of 2023.
Asia Pacific
The Acetonitrile market in the Asia-Pacific (APAC) region faced challenges during the fourth quarter of 2023. Various factors influenced market dynamics and pricing during this period, with a prevailing bearish sentiment across exporting nations, including Japan and South Korea, experiencing a modest upturn in December. This was primarily driven by a consistent decline in downstream buying activities and sluggish shipments throughout the region. Additionally, high inventory levels among market participants ensured an ample supply to meet the limited uptick in demand. Japan exhibited a noteworthy pricing trend in Acetonitrile. While the market maintained a continuous bearish trajectory, there was a modest rebound observed in December, which was counterbalanced by a favorable supply outlook. Conversely, in other exporting nations, particularly South Korea, Acetonitrile prices continued to reflect a pessimistic market outlook due to weakened purchasing sentiments both domestically and overseas. Notably, South Korea's Manufacturing Purchasing Managers' Index (PMI) experienced a slight dip from 49.9 in September to 49.8 in October, indicating a minor contraction in the sector's health and extending the ongoing 16-month decline. This contraction was attributed to domestic suppliers and retailers prioritizing destocking and implementing cost control measures. Furthermore, the correlation between price and seasonality became apparent, with prices exhibiting a downward trend throughout the quarter. On the supply side, factories were predominantly focused on export orders, leading to higher inventories among merchants and traders at the ports. Concurrently, the prices of feedstock materials witnessed a successive decline, further contributing to the continuous pessimistic market outlook for Acetonitrile during the specified timeframe. As the quarter concluded, the latest price of Acetonitrile FOB Tokyo in Japan was recorded at USD 1415/MT, while the corresponding price for FOB Busan in South Korea was assembled at USD 1440/MT. This comprehensive overview underscores the multifaceted challenges and trends that shaped the Acetonitrile market in the APAC region during the fourth quarter of 2023.
Europe
The final quarter of 2023 witnessed a varied pricing trend for Acetonitrile in Europe, particularly in Belgium, a prominent importer. The market dynamics were shaped by multiple factors that contributed to fluctuations in Acetonitrile prices throughout the quarter. Initially, prices experienced a gradual increase, followed by a depreciation as November 2023 commenced, only to rebound again as December ended. Moving into October, the market-maintained stability with a modest uptick in downstream purchasing activity. However, this was counterbalanced by the overall availability of inventories, ensuring equilibrium in response to incoming inquiries. In contrast, by November 2023, the absence of significant shifts in regional demand became apparent, influenced by a global economic slowdown that resulted in reduced consumption across industries like cosmetics, pharmaceuticals, chemicals, and reagents. Concurrently, domestic merchants found themselves holding excessive stockpiles due to decreased inquiries from other countries and traders offering Acetonitrile futures at discounted rates. Additionally, fluctuations in the Euro against other currencies, particularly the US Dollar, played a substantial role in influencing the price of imported Acetonitrile. Belgium, as one of the importers, experienced a slight rebound in prices as December 2023 unfolded. This rebound was supported by monthly consumer prices, which edged up by 0.43% in December following a 0.17% rise in the previous month. Market reports indicate that there were ample inventories of Acetonitrile among retailers and local traders in response to arriving quotations for the month. Furthermore, a modest uptick in buying sentiments contributed to keeping overall trade activity stable, marked by a steady rise in incoming new orders. The ongoing trade conflict linked to the Red Sea dispute impacted export momentum to Europe, resulting in an overall rise in transportation costs and delivery times. These geopolitical factors introduced an additional layer of complexity to the European Acetonitrile market during the final quarter of 2023.With this, the price of Acetonitrile Pharma Grade in Belgium for the current quarter is USD 1650/MT.
