For the Quarter Ending September 2024
North America
In Q3 2024, the North American Butyl Acrylate market witnessed a downward trend, with prices declining by 1% from the previous quarter. The most pronounced drop was in Mexico, where prices reached USD 1610/MT CFR Manzanillo by the end of the quarter. This decline can be attributed to multiple factors, including a reduction in demand from key downstream sectors like coatings and adhesives. These sectors faced weaker market conditions, reducing their consumption of Butyl Acrylate, which put downward pressure on prices.
Additionally, fluctuations in feedstock costs, especially n-butanol, played a crucial role in the pricing decline. Changes in crude oil prices and production constraints in the petrochemical industry contributed to higher volatility in production costs. However, the market struggled to pass on these costs to downstream industries due to weak demand, further straining margins.
Seasonal effects also contributed to the price reduction, as demand typically softens during the summer months when construction activity slows down, and industrial production eases. This seasonal lull exacerbated the pricing challenges, and the overall sentiment remained bearish. The North American market, therefore, continued to experience a difficult pricing environment for Butyl Acrylate, reflecting broader economic and industrial trends.
APAC
In Q3 2024, the Butyl Acrylate market in the APAC region experienced a stable pricing environment, largely influenced by several key factors. Despite fluctuations in feedstock prices, including n-butanol and acrylic acid, adequate inventory levels and moderate demand from downstream sectors, such as coatings and construction, helped maintain price stability. The balance between supply and demand plays a crucial role in preventing significant price volatility. The market sentiment remained cautious, with participants opting for a wait-and-watch approach, ensuring that market dynamics did not shift drastically. China, which experienced the most pronounced price changes, experienced a -8% decrease in Butyl Acrylate prices compared to the same quarter last year. This decline can be attributed to lower production costs and subdued demand, which were effectively countered by stable inventory levels. From the previous quarter in 2024, there was a slight -2% decrease, highlighting the stability in market conditions. Across the quarter, pricing remained consistent with a 0% change between the first and second halves, underscoring the steady market sentiment. At the end of the quarter, the Butyl Acrylate price settled at USD 1180/MT FOB Qingdao in China, reflecting a stable pricing environment. This consistency indicates a neutral sentiment, with neither significant positive nor negative trends dominating the market landscape during this period.
Europe
The third quarter of 2024 has been challenging for the Butyl Acrylate market in Europe, characterized by a significant decrease in prices. Several key factors have influenced this downward trend. Weak performance in the housing sector, lack of new projects in the construction industry, and subdued demand from the Coating and Construction sectors have all contributed to the bearish market sentiment. Additionally, a significant decline in Butanol and acrylic acid prices has lowered the production costs of Butyl Acrylate, further impacting market prices. In the Netherlands, the market experienced the most significant price changes during this quarter. The overall trends in the region have shown a consistent decline in prices, with a 6% decrease compared to the same quarter last year. The quarter-on-quarter change was recorded at -9%, indicating a further decrease in prices. Moreover, there was a notable price difference between the first and second half of the quarter, with prices dropping by 5%. The quarter ended with Butyl Acrylate priced at USD 1440/MT FD Rotterdam, reflecting the persistently negative pricing environment in the region.
MEA
In Q3 2024, the Butyl Acrylate market in the MEA region experienced a mixed trend. In H1 of Q3, the Butyl Acrylate market witnessed a rise in its trend showcasing bullish market sentiments which can be attributed to a surge in the production cost of the commodity due to the increased prices of the feedstock, Acrylic Acid. The market sentiments were significantly impacted by the escalating Red Sea crisis, which continued to disrupt supply chains and contribute to market bullishness. In response to these challenges, market players adjusted their ex-quotations upward to mitigate the difficulties they faced and to improve their profit margins. Concurrently, buyers engaged in bulk procurement activities to bridge the widening gap between supply and demand, further supporting the upward trend in prices. However, the H2 of Q3 experienced a decline in its trend. The bearish trend was primarily driven by weakening demand from downstream sectors like coatings and construction, coupled with ample inventory levels, exerting downward pressure on prices. The stable production costs from acrylic acid feedstock prices further contributed to the downward pricing trend. Saudi Arabia, in particular, saw substantial price changes, with an 18% decrease from the same quarter last year and a 2% decrease from the previous quarter in 2024. The quarter-ending price in Saudi Arabia stood at USD 1290/MT for Butyl Acrylate FOB Al Jubail.
South America
In Q3 2024, the South American region observed a significant decline in Butyl Acrylate prices, reflecting a challenging market environment. Several factors contributed to this downward trend. Reduced production costs stemming from bearish feedstock prices for n-butanol and acrylic acid played a crucial role in driving prices lower. Weak demand from downstream sectors, particularly in coatings and construction, further exacerbated the pricing pressure. Additionally, the narrowing price spread between feedstocks and Butyl Acrylate highlighted the overall weakness in the market. Within Brazil specifically, the market experienced the most pronounced price changes during the quarter. Overall trends indicated a consistent decrease in prices, with an 8% decline from the same quarter last year. Compared to the previous quarter in 2024, prices dropped by 1%, with a further 1% decrease noted between the first and second halves of the quarter. The quarter-ending price of Butyl Acrylate CFR Santos in Brazil stood at USD 1620/MT, underscoring the prevailing negative sentiment and challenging pricing environment throughout Q3 2024.
For the Quarter Ending June 2024
North America
The North American market for Butyl Acrylate in Q2 2024 exhibited remarkable stability, with prices largely unaltered compared to both the previous quarter and the first half of the same quarter. This steadfast pricing environment was underpinned by several key factors. First, the consistent production costs due to stable prices of feedstocks, n-butanol, and acrylic acid played a crucial role. The absence of significant supply chain disruptions and sufficient inventory levels ensured a balanced market scenario. Furthermore, inflationary pressures eased to a six-month low, supporting stable input costs.
Focusing exclusively on the USA, which experienced the most notable price changes within the region, the overall trend in Butyl Acrylate pricing remained stable. Despite economic uncertainties and high inflation rates, the market demonstrated resilience. The demand from downstream sectors, particularly Paint and Coating, was moderate but adequately met by existing inventories. This approach helped maintain the equilibrium between supply and demand. The correlation between steady production costs and stable market prices was evident, reflecting a robust market sentiment. From a year-over-year perspective, the price of Butyl Acrylate in Q2 2024 showcased a 7% increase compared to the same quarter last year, signifying a positive pricing environment.
However, the comparison with the previous quarter in 2024 showed no change, indicating firm stability. This consistency was reflected in the negligible price variation between the first and second halves of the quarter. Despite external economic fluctuations, the North American Butyl Acrylate market navigated Q2 2024 with remarkable stability, ensuring a positive yet steady pricing sentiment.
APAC
In Q2 2024, Butyl Acrylate prices in the APAC region experienced a notable decline due to several significant factors. Chief among these was subdued demand from the downstream Paint and Coating sectors and ample inventory levels that led to an oversupply of the commodity. Disruptions in trade inflows and increased production costs due to rising prices in feedstock markets, particularly Acrylic Acid, further contributed to the bearish pricing environment. Seasonality played a role as well- the post-Lunar New Year spike in market activity inflated prices temporarily, but this was followed by stabilization and subsequent declines as the market rebalanced. Japan witnessed the most pronounced price changes within the region. With a percentage change of -9% from the same quarter last year and a -7% from the previous quarter in 2024, the Japanese Butyl Acrylate market reflected a consistent downward trend. This decline was exacerbated by sluggish demand and surplus inventory levels, which pressured suppliers to lower their quotations to attract buyers. The price comparison between the first and second half of the quarter showed a -1% change, indicating a steady decrease in prices as the quarter progressed. The environment reflects a challenging period for the Butyl Acrylate market, characterized by persistent oversupply and weak demand that have driven prices downward.
Europe
In Q2 2024, the Butyl Acrylate market in Europe experienced a sustained upward trend in pricing, driven primarily by a combination of increased production costs and robust demand from downstream sectors such as Paint and Coating. This inflationary pressure has been compounded by rising feedstock prices, notably Acrylic Acid and Propylene, which directly impacted the production expenses for Butyl Acrylate. Additionally, logistical disruptions, such as ongoing farmer protests and a nationwide rail strike, exacerbated supply chain constraints, leading to tighter inventory levels and thus contributing to higher prices. The market sentiment remained bullish throughout the quarter, supported by a persistent demand-supply imbalance and increased trading activities among major manufacturers. Focusing on Germany, the Butyl Acrylate market has seen the most pronounced price changes within the region. The overall trend has been characterized by a steady rise in prices, influenced by seasonal factors such as heightened construction activity during the warmer months, which correlates with increased demand for construction-related products like Paints and Coatings. This seasonality effect, coupled with improved economic conditions, supported the price increases observed. Comparatively, prices have decreased by 10% from the same quarter last year, reflecting a recovery from previous lows. However, there was an 8% increase from the previous quarter in 2024, manifesting a strong upward momentum. Within the quarter, prices rose by 4% from the first to the second half, underscoring the continuous demand pressure. The significant upward price adjustments indicate a resilient market with robust demand and constrained supply, fostering an overall positive sentiment in the Butyl Acrylate market in Europe.
MEA
The second quarter of 2024 has been characterized by a notably dynamic pricing environment for Butyl Acrylate in the MEA region. The market witnessed a pronounced escalation in prices, driven primarily by supply chain disruptions and heightened geopolitical tensions in the Red Sea region. These factors exacerbated logistical challenges, leading to increased freight charges and delayed shipments. Additionally, rising upstream costs, particularly in the Acrylic Acid feedstock market, compounded the overall production expenses, further fueling the upward price trajectory. The robust demand from downstream sectors, predominantly Construction, Paint, and Coating, persisted despite these headwinds, underscoring the sector's resilience and contributing to the market's bullish sentiment. Focusing on Saudi Arabia, the country experienced the most significant price fluctuations within the region. The overall trend exhibited a strong upward momentum, influenced by seasonal peaks in construction activities and an amplified demand for coating applications. Compared to the same quarter last year, Butyl Acrylate prices surged by an impressive 26%, reflecting the market's bullish trajectory. From the previous quarter in 2024, prices saw a substantial 10% increase, indicating sustained price inflation within a relatively short period. The contrast between the first and second halves of the quarter was stark, with a 24% price elevation, underscoring the volatile yet upward-trending market conditions. The market environment has been favorable, driven by persistent demand and exacerbated by supply-side constraints, leading to a consistent upward pressure on prices.
For the Quarter Ending March 2024
North America
During Q1 of 2024, the Butyl Acrylate market in North America faced a mixed market scenario. Initially, it faced a bullish market situation due to the insufficient inventory levels for the rising demand from the downstream Paint and Coating sectors. Considering the market situation, the producers enhanced their production rate to provide a sufficient amount of inventory levels to attain the supply and demand equilibrium.
However, in the second half of Q1, the prices of Butyl Acrylate followed a downward trend due to the weak demand from the downstream Paint and Coating sectors along with the stocked-up inventory levels which resulted in lower trade inflows of Butyl Acrylate to save the market situation to worsen. Therefore, the market participants lowered their ex-quotation to attract buyers and hence the procurement activities.
During the quarter, the Mexican Peso appreciated against the United States Dollar, resulting in a slight incline. The quarter-ending price of Butyl Acrylate CFR Manzanillo in Mexico was USD 1640/MT.
APAC
The APAC region encountered a mixed market situation for Butyl Acrylate in the first quarter of 2024. The Butyl Acrylate market faced bullish conditions at the start of Q1 due to the strong Butyl Acrylate market and the insufficient stocks, the trading activities from the Chinese market to the Japanese market were enhanced so that a sufficient amount of inventory levels could be provided to attain the equilibrium between supply and demand. Due to the upcoming Lunar New Year in February 2024 in China, trading activities were done at a higher rate to stock up the inventories for the anticipated demand. However, in H2 of Q1, the prices of Butyl Acrylate showcased a bearish trend due to ample product supplies. Sales for downstream sectors, including Construction, Paint, and Coating, were concentrated in January 2024 and the first week of February 2024 in anticipation of the Lunar New Year. This frontloading of sales reduced trading activities from Indonesia to Japan during the usual Lunar New Year period. The pre-emptive stocking by market players helped meet demand, mitigating the impact of the holiday on trade. However, as the Lunar New Year festivities concluded, prices stabilized following a period of softening.
MEA
During the first quarter of 2024, the Butyl Acrylate market in the MEA region experienced notable fluctuations and market conditions that impacted prices. In H1 of Q1, the prices of Butyl Acrylate inclined due to insufficient existing inventories because of which the producers raised their production rates to cope with the rising demand from the downstream Paint and Coating enterprises. However, in H2 of Q1, the prices of Butyl Acrylate showcased a declining pattern due to the disturbance in the equilibrium between supply and demand. However, there was an increase in the prices of upstream Propylene and Crude Oil markets, whereas the prices of Acrylic Acid remained the same as the previous month. The demand from downstream Paint and Coating sectors was weak and the existing inventory levels were sufficient to meet the demand. In terms of price trends, there was a moderate decrease in prices compared to the same quarter in the previous year, with a percentage change of around -5%. However, there was no significant change in prices from the previous quarter.
South America
Throughout the initial quarter of 2024, the Butyl Acrylate market in the South American region encountered significant fluctuations and dynamic market conditions. In the H1 of Q1, the prices of Butyl Acrylate inclined due to the Lunar New Year in February, and the trading activities from the Chinese market to the Brazilian market escalated, furthermore, due to the disruption in the Red Sea, the shipments of goods are done from the Cape of Good Hope which resulted in the delayed shipments and increased freight charges.
Additionally, the demand from the downstream Paint and Coating enterprises was raised slightly and was not fulfilled by the existing inventory levels. Therefore, all the above-mentioned factors contributed to the increase in the prices of Butyl Acrylate in the Brazilian market.
However, in H2 of Q1, the Butyl Acrylate market declined due to the disruption in the supply chain of the commodity. The Butyl Acrylate market benefited from sufficient inventories meeting demands from downstream Paint and Coating sectors, ensuring seamless operations across the supply chain without any disruptions. In light of this market stability, traders maintained their quotes unchanged, while buyers favored on-demand procurement strategies over bulk purchases to effectively manage risks. Even with the rise in prices in the upstream Crude Oil market, which typically impacts energy costs for production, the prices of the product remained stable. Therefore, the trading activities from the Chinese market to the Brazilian market were muted to avoid the accumulation of inventories.
Europe
The First quarter of 2024 witnessed several factors that had a significant impact on the Butyl Acrylate market in Europe. One of the major factors was the substantial increase in demand from downstream industries, especially the Paint and Coating sector. This surge in demand put a strain on the supply of Butyl Acrylate as existing inventories were inadequate to meet market needs. Moreover, the market was further affected by the ongoing farmer protests across European countries, resulting in disruptions in the supply chain and delays in product deliveries. These supply chain disruptions exacerbated the already existing supply-demand imbalance, leading to higher prices for Butyl Acrylate. In terms of specific country analysis, Germany experienced the most pronounced price fluctuations during the quarter. The German market was heavily impacted by the supply chain disruptions caused by the farmer protests, causing a shortage of available inventory. This, coupled with the strong demand from the Paint and Coating sector, resulted in a sharp increase in Butyl Acrylate prices in Germany. The quarter-end price of Butyl Acrylate in Germany stood at USD 1515/MT (FD-Hamburg). This represents a significant increase compared to the same quarter of the previous year. However, there was no change in prices compared to the previous quarter of 2023. Overall, the Butyl Acrylate market in Europe faced challenges in terms of supply and demand dynamics, with high demand and supply chain disruptions driving up prices. The German market, in particular, experienced significant price fluctuations due to the impact of the farmer protests and robust demand from the Paint and Coating sector. Additionally, the market experienced multiple shutdowns and disruptions, further contributing to the increase in prices.
For the Quarter Ending December 2023
NORTH AMERICA
The North American Butyl Acrylate market had a moderate to bullish trend in the current quarter of 2023 (Q4). The market witnessed low to moderate supplies, resulting in an incline in prices. The surge in demand from downstream Paints and Coating enterprises led to a price hike for the commodity. The market showcased bullishness in Mexico due to consistent purchasing activities from buyers and inadequate inventory levels.
The increased trading activities among significant manufacturing units from the United States to Mexico were a result of low inventories and heightened demand from downstream enterprises. An increase in the freight charges due to the increase in transporting fuel was another factor that impacted the market.
Additionally, suppliers and traders raised their quotations to enhance their profit margins along with the sales. The quarter witnessed a price trend of USD 1628/MT (CFR-Manzanillo) in Mexico on December 2023, with a 6.07% increase from the previous quarter and a 6% price percentage comparison between the first and second half of the quarter. No plant shutdown was reported during this period.
APAC
The fourth quarter of 2023 proved to be significant for the Butyl Acrylate market in the APAC region. Several factors played a role in shaping the market dynamics and prices during this period. Firstly, in H1 of Q4, there was a drop in demand from downstream industries such as Paints and Coatings, which drove down the prices of Butyl Acrylate. Additionally, the low operating costs in the market contributed to the declining price trend. Whereas in H2 of Q4, the demand from the downstream Paint and Coating sector increased which resulted in the enhanced consumption of the existing inventories. The supplies were not sufficient to fulfill the demand from the downstream sectors, therefore, the production rate was increased to cope with the demand. Furthermore, the price trend in Japan showed a negative correlation with a decrease of 45% compared to the same quarter in the previous year. There was also a decline of 6.25% in prices from the previous quarter, indicating a downward trend. In conclusion, the fourth quarter of 2023 witnessed a decline in Butyl Acrylate price in the APAC region in comparison with the previous quarter of 2023, driven by demand from downstream industries and the overall market conditions. The quarter-ending price for Butyl Acrylate - CIF Tokyo in Japan was USD 1352/MT.
MEA
In the fourth quarter of 2023, the Butyl Acrylate market in the Middle East and Africa region experienced several significant factors that influenced prices. Firstly, the market saw a bearish trend due to low demand from the downstream Paints and Coating sectors, resulting in reduced trading activities and surplus inventories. Additionally, the decline in the prices of the upstream Acrylic Acid, a key raw material for Butyl Acrylate production, contributed to the downward pressure on prices. Moreover, the high availability of existing inventories further impacted the market, leading to decreased consumption rates and lower production costs. One notable country in the region, Saudi Arabia, experienced a decline in Butyl Acrylate prices. The market situation was bearish, with high supply and low demand. Suppliers had to reduce their quotations and offer discounts on bulk purchases, but buyers remained cautious and scaled back their purchasing activities. The decline in prices of the upstream Acrylic Acid also influenced the price trend of Butyl Acrylate in Saudi Arabia. In terms of price performance, there was a 3.7% decrease in prices from the previous quarter. However, there was no significant change in prices compared to the same quarter of the previous year. The price of Butyl Acrylate in Saudi Arabia at the end of the quarter was USD 1070/MT (FOB-Al Jubail). Overall, the Butyl Acrylate market in the MEA region, particularly in Saudi Arabia, faced challenges due to low demand, surplus inventories, and declining prices of raw materials. These factors contributed to a bearish market and downward pressure on prices. The industry will need to closely monitor the demand from downstream sectors and the availability of raw materials to assess future price trends.
SOUTH AMERICA
The fourth quarter of 2023 for Butyl Acrylate in South America was marked by a bullish trend due to low supplies and high demand from downstream sectors such as paints and coatings. The surge in appetite for the commodity led to an increased uptake of the existing inventories and the need to restock storage units to meet domestic market needs. Brazil experienced a slight incline of 1% in the price trend of Butyl Acrylate due to insufficient existing inventories in the storage units and increased demand. The pricing trend of Butyl Acrylate remained stable in October 2023 due to the Golden Week in China, which resulted in trading at a higher rate in the previous week to store stocks for anticipated downstream demand. The shutdown of any plant did not impact the market in this quarter. Butyl Acrylate pricing for Brazil in Q4 2023 had a bullish market situation due to low supplies and high demand. The quarter-ending price of Butyl Acrylate CFR Santos in Brazil was USD 1638/MT.
EUROPE
During the Q4 of 2023, the prices of Butyl Acrylate showcased fluctuations. In November, the price of Butyl Acrylate in the German market saw an incline of 2.17%. The Butyl Acrylate experienced a shortage in supplies since the existing ones were not able to cover the rising demand from the downstream Paints and Coating enterprises. Regarding the upstream market, the prices of Acrylic Acid showcased an inclination in its price trend as well, supporting the prices of the commodity. Considering the market situation, the production rate for the commodity was enhanced by the producers so that the demand could be satisfied. In terms of the buyer, the purchasing activities increased as well despite the incline in the prices of the commodity due to the raised quotations of Butyl Acrylate from the trader's end. Heightened demand from the downstream Paints and Coating enterprises resulted in increased trade so that the demand could be fulfilled. In terms of the spread, the difference between the end product and its feedstock widened showcasing the bullish price trend of the commodity. In the European market, the prices of the commodity were observed to be inclining. However, in H2 of Q4, the market price of Butyl Acrylate declined by 1.57% in the German market supported by the declined prices of its upstream Acrylic Acid market. From the downstream Paint and Coating enterprises, low demand was rising for which the existing inventories were sufficient, however, the rate at which the utilization of the commodity took place was low. Germany's inflation rate was 3.7% in December 2023, according to the provisional data from the Federal Statistical Office. This estimate follows a moderate increase in consumer prices of 0.1% in November 2023. Furthermore, the annual average inflation rate for 2023 is expected to stand at 5.9%. Consumption of the existing inventories was done at a slower rate resulting in the accumulation of the commodity. This made the producers cut their production rate to avoid any further stockpiles.
