For the Quarter Ending September 2024
North America
In Q3 2024, the Chloroform market in North America witnessed a significant uptrend in prices, with the USA experiencing the most notable fluctuations. Various factors contributed to the bullish market sentiment, including a surge in feedstock costs, logistical challenges, and increased demand from the pharmaceutical sector. These elements collectively pushed prices upwards, reflecting a positive market environment. The quarter's overall trend indicated a steady increase in Chloroform prices, aligning with seasonal patterns and market dynamics.
Comparing to the same quarter last year, prices have surged by 8%, showcasing the market's growth and resilience. Additionally, the quarter recorded a 3% increase from the previous quarter in 2024, highlighting the continuous upward trajectory. Notably, the second half of the quarter saw a 2% price hike compared to the first half, emphasizing the strengthening market conditions.
The quarter concluded with Chloroform priced at USD 600/MT FOB Los Angeles in the USA, reinforcing the prevailing positive pricing environment and indicating a promising outlook for the Chloroform market in North America.
APAC
In Q3 2024, Chloroform prices in the APAC region experienced a notable decline, influenced by several key factors. Weak demand from downstream industries, particularly in the pharmaceutical and chemical sectors, played a significant role in the decreased market prices. Additionally, stable feedstock prices and ample supply further contributed to the downward trend in Chloroform pricing. In Japan, the market saw the most substantial price changes, reflecting overall trends of muted demand and supply dynamics. The quarter saw a significant decrease in Chloroform prices compared to the same period last year, with a notable -15% decline. Furthermore, the quarter-on-quarter change in 2024 recorded a -5% decrease, indicating a continued negative trend. The price comparison between the first and second half of the quarter also showed a decline of -7%. The quarter-ending price of USD 440/MT of Chloroform CFR Nagoya in Japan further solidified the decreasing sentiment in the pricing environment, highlighting a challenging period for Chloroform markets in the region.
Europe
In Q3 2024, Chloroform prices in Europe experienced a notable uptrend, particularly in Germany, where the market saw the most significant price fluctuations. Several key factors influenced this price surge. Firstly, the increase in feedstock prices, particularly Methanol, played a crucial role in driving up production costs and subsequently pushing Chloroform prices higher. Additionally, geopolitical tensions and potential supply disruptions in major producing regions contributed to supply constraints, further bolstering prices. The overall market sentiment was bullish, with moderate to low supply levels and moderate demand. Germany, in particular, witnessed the maximum price changes within the region. The quarter showed a consistent upward trend, with prices increasing by 1% from the first half to the second half. Compared to the same quarter last year, prices were down by 5%, reflecting the current upward momentum. The quarter-on-quarter change from the previous quarter in 2024 was recorded at -2%, indicating a significant turnaround towards positive price growth. The quarter ended with Chloroform prices at USD 780/MT FOB Hamburg in Germany, marking a substantial increase from the beginning of the quarter.
For the Quarter Ending June 2024
North America
In Q2 2024, the Chloroform market in North America experienced a stable compared to previous quarter. Primarily, a combination of ample supply and subdued demand from the downstream refrigerant and pharmaceutical sectors played a crucial role. The glut in supply was exacerbated by higher inventory levels and a reduction in new orders, leading to a competitive environment where sellers were compelled to cut prices to move stock. Additionally, the stabilization of feedstock methanol prices contributed to the overall decline in production costs, further enabling price reductions for Chloroform.
Seasonality effects, such as reduced demand from the refrigerant sector during the warmer months, also contributed to the downward pressure on prices. Compared to the same quarter last year, Chloroform prices in the USA dropped by 2%, reflecting a negative pricing sentiment. From the previous quarter in 2024, prices declined by 1%, underscoring the ongoing softness in market conditions.
The latest quarter-ending price for Chloroform in the USA settled at USD 580/MT FOB Los Angeles. This ongoing decrease highlights a negative pricing environment, driven by oversupply, weak demand, and competitive pressures, painting a challenging picture for market participants in Q2 2024.
APAC
The second quarter of 2024 for Chloroform in the APAC region has witnessed a noticeable upward trend in pricing, driven by several critical factors. Among the primary reasons is a robust increase in demand from downstream refrigerant and pharmaceutical industries. This heightened demand was further amplified by supply chain disruptions, including a severe shortage of containers and vessel space, which led to skyrocketing freight rates. Rising production costs, influenced by increased energy prices and feedstock methanol, have also exerted upward pressure on Chloroform prices. Moreover, the strategic reduction of production rates by manufacturers to prevent market oversupply has contributed to the firming of prices.
Focusing on Japan, which experienced the most significant price changes, the Chloroform market has been notably dynamic. The overall trend has been characterized by strong seasonal demand from air conditioning maintenance and refrigerant sectors during the warmer months, pushing prices higher. Correlating with robust trading fundamentals and increased buyer interest in bulk purchases, this quarter's prices saw a 3% increase from the previous quarter of 2024, despite a -3% decline compared to the same quarter last year. The price escalation was more pronounced in the latter half of the quarter, with a 2% rise, reflecting intensified purchasing activities and supply constraints. The quarter concluded on a positive note, with the latest price reaching USD 510/MT CFR Nagoya, underscoring a stable yet progressively increasing pricing environment. Overall, the pricing sentiment for Chloroform in Japan during Q2 2024 has been positively influenced by seasonal demand and strategic supply management, maintaining a firm upward trajectory.
Europe
In Q2 2024, the European chloroform market experienced a notable downturn, driven by a confluence of factors. The quarter saw ample supply, sluggish trading activity, and declining demand from downstream industries, particularly the R-22 refrigerant sector. The market's bearish sentiment was exacerbated by stockpiling pressures, leading local manufacturers to cut production to clear existing inventories. These challenges were compounded by weak spot discussions in the methanol market, further diminishing market purchases and contributing to a pervasive negative atmosphere. Despite attempts by regional suppliers to maintain prices through rollovers, the market conditions necessitated decreases to align with the overall trading environment.
Focusing on Germany, which observed the most significant price changes, the overall trend highlighted a consistent decline. Seasonality played a role, with the typical second-quarter uptick in demand for coolants failing to materialize. This resulted in a -12% price change compared to the same quarter last year, underscoring a substantial year-over-year drop. The price change from the previous quarter in 2024 remained stagnant at 0%, reflecting a stable yet negative sentiment. Additionally, the price comparison between the first and second half of the quarter showed a further -1% decline, indicating persistent downward pressure throughout the period.
Concluding the quarter, the price of Chloroform in Germany stabilized at USD 760/MT FOB Hamburg. The overall pricing environment has been decidedly negative, driven by weak demand, ample supply, and an inability to stimulate significant purchasing activity, marking a challenging quarter for the chloroform market in Germany and the wider European region.
For the Quarter Ending March 2024
North America
The Chloroform market in North America experienced a bearish trend in Q1 of 2024, mainly due to high supply and weak demand fundamentals, which impacted the price trend negatively. The region faced an oversupply of Chloroform, coupled with a general lack of market confidence, resulting in a decline in prices.
Additionally, limited demand from downstream ventures further contributed to the sluggish price trend. However, despite these challenges, the market saw some positive signals, such as bullish demand for the product and low inventories, which supported an inclining price trend. During the quarter, no shutdowns of Chloroform plants were reported. However, within North America, the USA witnessed significant fluctuations in Chloroform prices.
The price trend for Chloroform in the USA remained bearish, primarily due to high supply and weak market sentiments. It is important to note that there was more than one shutdown during the quarter. These disruptions, along with the prevailing market conditions, contributed to the overall increase in prices. The Chloroform FOB Los Angeles price in the USA for the current quarter stands at USD 578/MT.
Asia Pacific
In the first quarter of 2024, the Chloroform market in the APAC region faced various challenges that impacted market dynamics and prices. One of the major factors was the decline in demand, specifically from the R-22 refrigerant industry and solvent industries. This decrease in demand was primarily due to sluggish netback and ample stocks of manufacturing units. Additionally, the Asian market experienced a shortage of fresh offers, resulting in a decrease in market activities. Moreover, weak cost support and limited trading activities among market players further affected Chloroform prices. Analyzing the country-specific data, South Korea witnessed significant changes in Chloroform prices during the first quarter of 2024. Prices in South Korea declined by 7.74% compared to the previous quarter. This decline was mainly driven by reduced bids and offers from downstream industries, leading to a decrease in South Korea's Chloroform exports to other Southeast Asian countries. Furthermore, high product inventories and reduced demand contributed to a decline in market activities and prices. Overall, the Chloroform pricing trend in South Korea during the first quarter of 2024 remained bearish, with a significant decrease of 7.74% compared to the previous quarter. The market was heavily influenced by factors such as low supply, low demand, and limited trading activities. The quarter-ending price of Chloroform in South Korea stood at USD 435/MT (FOB Busan).
Europe
The Chloroform market in Europe encountered a challenging quarter, as several factors impacted prices. Firstly, the overall demand for Chloroform was low, particularly in the downstream R-22 refrigerant market. This was primarily due to reduced consumer demand and a decline in the pharmaceutical and chemical synthesis market. Additionally, the market was affected by the decrease in the price of its feedstock, especially Methanol. The lower feedstock prices led to a reduction in production costs, further influencing Chloroform prices. These factors, combined with ample inventories among suppliers, contributed to a bearish market situation. In terms of supply, there were no reported plant shutdowns during the quarter. Germany, being a key player in the European Chloroform market, experienced a decline in prices. The economic difficulties nationwide, coupled with fluctuations in energy values, added to the cautious sentiment among buyers. The Chloroform price in Germany at the end of the quarter was USD 785/MT FOB Hamburg. The market is continuing facing challenges due to weak demand fundamentals and limited trading activities. With the disruptions in production, prices were further impacted in Q1 2024.
For the Quarter Ending December 2023
North America
Chloroform pricing in North America region during Q4 2023 witnessed a fluctuating trend. The market sentiments were robust due to the low supply of regional products resulting in Chlor alkali companies elevating their production pace. Nevertheless, bullish demand and reviving market fundamentals elevated the price trend, supported by the low inventories of Chloroform and brisk demand.
The surging product demand from the downstream R-22 refrigerant market also helped in increasing the prices. The stability in the supply/demand equilibrium and moderate demand from the downstream R-22 refrigerant ventures remained the primary reason for price stability. The USA had the maximum change in prices with a weekly incline of 2.15%. The price trend was elevated by the heightening demand from downstream refrigerant industries, increase in trading market, and supply disruption for the exports of cargos from the US to the overseas market. There was no plant shutdown during this quarter.
The price of Chloroform FOB Los Angeles in the USA for the current quarter was USD 591/MT during Dec 2023. In comparison to the last year's same quarter, there was no change in the price, while there was a 5% decrease in price from the current quarter to the previous quarter of 2023.
Asia Pacific region
The Chloroform market in the APAC region experienced a challenging fourth quarter of 2023, with several factors influencing prices. Firstly, limited purchases of Chloroform from the Chinese market led to a decrease in import prices in India. Suppliers redirected their cargos to the Indian port in the hope of better sales recovery. Secondly, the bearish market situation and high supply levels contributed to more competitive prices and sufficient local supplies to meet customer demands.
Lastly, a decline in market trading fundamentals and feeble trading activities deterred demand, further affecting the Chloroform market. In terms of South Korea, the country experienced significant price changes during the quarter. The price of Chloroform FOB Busan decreased by 3.4% in December with slow market offtakes. These fluctuations may be attributed to deterred demand and a feeble trading market, which impacted trading activities.
In terms of price trends, seasonality, and correlation, the Chloroform market in South Korea saw a 4% decrease from the previous quarter of 2023. Additionally, the price in the current quarter showed a 13% decrease compared to the same quarter of the previous year. Overall, the Chloroform market in the APAC region faced challenges in the fourth quarter of 2023, with limited purchases, bearish market conditions, and deterred demand impacting prices. The price of Chloroform FOB Busan in South Korea for the current quarter is USD 429/MT during Dec 2023.
Europe
The Chloroform market in Europe during the fourth quarter of 2023 witnessed several key factors that impacted prices. Firstly, there was a restricted supply of Chloroform in the region, leading to a cost support and an increase in prices. Additionally, the demand for Chloroform remained high, particularly in the downstream R-22 refrigerant industry, which further supported price increases.
Moreover, the market sentiments remained optimistic, with robust buying activity and low product stockpiles across the ports. In terms of specific country analysis, Germany experienced significant price changes during this quarter. The price of Chloroform in Germany surged due to limited product availability and rising demand from the downstream sector. Exports of Chloroform from Germany to the Netherlands also increased, contributing to the price uptrend.
Despite the volatility in supply and demand, local manufacturers in Germany maintained their production facilities at a higher pace to meet the increasing demand. Nevertheless, towards the end of the quarter, the market trades slumped further due to rise in slow market purchases and sluggish market trades. Players in the market are still hesitant to raise prices, and product stocks are still sufficient. This price trend resulted from a sluggish trading environment and little demand for new equities.
For the Quarter Ending September 2023
North America
When compared with the previous quarter, the price of Chloroform in the North American market witnessed a bearish market trend. Overall demand for Chloroform in the United States remained muted, owing to modest purchases and an acceptable inventory level. Buyers showed limited interest in acquiring premium cargo since market circumstances have not changed much. This quarter, manufacturers reported low order entries. Significant manufacturing units ran their lines at full capacity, typically producing commodities for delivery resulting in a sluggish price trend. In Aug 2023, the price of Chloroform in the US declined to USD 522/ton FOB Texas. Towards the end of the quarter, the trading fundamentals of Chloroform in the region elevated with continuous product utilization from the downstream enterprises. Chloroform prices rallied up in Sept 2023 which has contributed to the sentiment in the Chloroform markets, although it has not fueled big price hikes so far as underlying demand recovery still falls short of expectations and oversupply concerns loom.
Asia Pacific
In Q3 2023, the market trading fundamentals of Chloroform in the Asia Pacific region maintained a sluggish price trend in the wake of bearish market fundamentals and slow market offtakes. In South Korea, the price of Chloroform in July 2023 declined to USD 470/ton FOB Busan. Trade discussions in the South Korean market slumped with some participants offering negotiated levels on their contracted supply. Adequate supply continued to affect the market, declining the selling sentiment. Exports of Chloroform from South Korea to Japan and other Asian markets traded low with lackluster market fundamentals among the buyers. The demand for Chloroform from the downstream R-22 refrigerant industries slumped with deterred purchasing from the end user. In the value term, the trading also declined due to lower demand from the overseas market. Towards the end of the quarter, the market fundamentals improved in the region and the suppliers approached the market with the interest for the bulk purchases. The demand from the downstream enterprises improved with the elevation in the profit margin and sales from the end-users.
Europe
In Q3 2023, the purchasing activities of Chloroform in the region showcased a bearish price trend when compared with the previous quarter. Chloroform contracts have remained flat this quarter, as have weak market fundamentals. Limited Chloroform market participants were interested in bulk purchases, resulting in low volume and even lower feedstock Methanol pricing. Chloroform prices fell as traders sought additional discounts in the face of rising domestic stocks and weak market fundamentals. The stocks hit doubly hard this time because we’ve seen a fall-off in economic activities coupled with one of the most aggressive de-inventorying phases. The recovery off the bottom is more about volumes than pricing. The exports of Chloroform from Germany to the European market also declined and the players kept a cautious stance in operating their plants. Due to increase in product stockpiles and decreased demand from downstream R-22 refrigerant sectors, the pricing trend has deteriorated. Profits were reduced, trading activity was reduced, and the production rate slumped.
For the Quarter Ending June 2023
North America
In Q2 2023, the demand fundamentals of Chloroform in the North American market plunged with sluggish market fundamentals. In the USA, the surge in export volume from the USA to Mexico and the South American market in the past few months to cope with the tightening arbitrage supplies resulted in adequate product availability. There was less spot cargo demand, and the manufacturer mainly executed the pre-contract orders. In terms of the feedstock market, Methanol also faced a Southward price trend with lackluster demand and feeble purchasing interest among the traders. Regional economic sluggishness from the downstream refrigerant industries resulted in weak Chloroform margins. The demand for Chloroform from the downstream R-22 refrigerant industries remains limited, with lower requirements for fresh stocks. In June 2023, the price of Chloroform in the US declined to USD 556/ton FOB Texas. The Chloroform market trended lower this quarter as growing spot availability added pressure on spot prices, and suppliers offered discounts to the buyers in order to reduce their current stocks. Exports of Chloroform from the US to the European region plunged with limited requirements for fresh stocks.
Asia Pacific
This quarter, the price of Chloroform in China Slipped in the Asia Pacific market in the wake of limited market fundamentals and high inventory levels. The cost support from the feedstock market remained limited, and the trading fundamentals were weak. Exports of Chloroform from China to other Asian regions were limited, and trading was mainly focused on an immediate basis. Methane Chloride operating units worked at low rates with lower efficiency in order to avoid further stockpiles. Trading among the downstream R-22 refrigerant industries also remains feeble with weak market fundamentals. In addition, the total production quota of R22 was reduced by 19% to 181,800 tons in 2023, which made it difficult to improve the demand support for Chloroform. During April 2023, the price of Chloroform in China declined to USD 409/ton FOB Qingdao. In May 2023, the operation of Luxi Chemical’s plant was at a low level, and buyers declined the reduce their inventory level and increase their trade volume.
Europe
Chloroform prices had a descending price trend due to a reduction in trade cargoes from Germany to the European region along with declining regional demand. As unfavorable fundamentals weighed on the outlook, the Chloroform market ended the quarter with a lower volume. Offers for spot cargoes of non-sanctioned Chloroform were noticeably lower, which led to a rise in product stockpiles in the vicinity. In terms of the feedstock market, the Methanol market was also lackluster, and the trades were majorly on an immediate basis. In terms of demand, the requirement for Chloroform from the downstream refrigerant market remains sluggish, with limited offers for fresh stocks. In the European market, suppliers had not shown keen interest in bulk purchases. In June 2023, the price of Chloroform in Germany declined to USD 885/ton FOB Hamburg. The downstream R-22 refrigerant procurement demand remains weak, and the high production rate has kept the supply adequate to fulfill the requirement of the end user. Exports of Chloroform from Germany to the Netherlands and France traded moderately as per the requirement from the end-user.
For the Quarter Ending March 2023
North America
This quarter, the market trading fundamentals of Chloroform remain lackluster, with high product inventories compared with the previous quarter. Benchmark futures for Chloroform headed down with lower exports from the USA to Mexico and the Asian market. There was less spot cargo demand this quarter, and the manufacturer mainly executed the pre-contract orders. In terms of the feedstock market, Methanol also faced a Southward price trend with lackluster demand and feeble purchasing interest among the traders. In Jan 2023, the price of Chloroform in the USA declined to USD 570/ton FOB Texas. The Chloroform demand from the downstream refrigerant industry is also hampered by declining demand and production among the enterprises due to oversupplies.
Asia Pacific
The Chloroform market in the Asia Pacific region started on a weaker note due to adequate product inventories and lower product bidding from the regional and overseas suppliers. In China, the price of Chloroform during Jan slides to USD 397/ton FOB Qingdao. However, trading activities improved afterward amid demand exceeding supply. The supply of Chloroform among the enterprises declined with high Ex-quotation prices among the enterprises. Plant shutdown in the region resulted in low product supply, which affected the market fundamentals. As downstream demand warmed up, refrigerant prices rose with healthy market fundamentals. In March, refrigerant manufacturers replenished raw materials and supported more trichloromethane production.
Europe
The trading activities improved this quarter compared with the previous quarter in the wake of rising downstream refrigerant demand and an increase in spot purchasing dynamics. In Germany, the price of Chloroform during March surged to USD 950/ton FOB Hamburg. Spot price discussions remain bullish this quarter as spot buying interests remained healthy with low product inventories. Exports of Chloroform from Germany to the Netherlands and France improved with the revision in the price trend for the European suppliers. The demand for Chloroform from the downstream refrigerant industries improved with high trading fundamentals among the buyers. With the availability of cargoes for March delivery remaining tight in the European region, prices for Chloroform gained a firmer price stance.
For the Quarter Ending December 2022
North America
In Q4 2022, the price of Chloroform in the US surged in October due to an acceleration in trading market essentials, and higher offering of Chloroform in the overseas market increased the market futures. However, in the next two months, the price showcased a downward trajectory, and the purchasing among the companies was held on a need-to basis. The sentiments of Chloroform depend on the severity of the recession and its impact on demand. Exports of Chloroform from the United States to India and Canada plummet with sufficient supplies in the region. In Dec, the price of Chloroform in the USA declined to USD 594/ton FOB Texas.
Asia Pacific
At the end of this quarter, the Chloroform market in the Asia Pacific region showcased a declining price trend when compared with the previous quarter. The price trend of Chloroform showcased a downward trend with a weak Chlor alkali market and limited purchasing activity. Imports of Chloroform from China and the United States to India also slumped with revision in the price trend for the overseas suppliers. The end-user industries continuously stockpiled inventories of Chloroform, and weak demand in the domestic market resulted in a price slump. Imports of Chloroform from overseas markets decreased due to adequate supply and lower purchasing activity.
Europe
This quarter, the Chloroform market in Europe showcased an upward trajectory in Oct and Nov with a slight decline towards the end. Surging utility costs and increased demand from downstream enterprises further boost the market. In the context of a sharp rise in energy prices, the profit of various Chloroform producers was hampered by narrowing profit. Inventories of the product remained low at the ports, with revisions in the prices for the overseas suppliers. Exports of Chloroform from Germany to other European markets also surged in the wake of rising product demand and limited supply. In Germany, the price of Chloroform during October surged to USD 890/ton FOB Hamburg.
For the Quarter Ending September 2022
North America
The market fundamentals of Chloroform ended up on a mixed note in Q3 2022, where prices slipped in July as the Chlor alkali market fell with slower demand and tepid market fundamentals. However, in the next two months of Q3, the US carried an unconventional premium offer to North American markets as Chloroform markets remain inflated and have seen sharp upwards corrections. In September 2022, the price of Chloroform in the US slipped to USD 678/tonne FOB Texas. Fundamentals of the downstream derivative market of Chloroform in Europe remained strong. Trading market sentiments increased with brisk demand from refrigerant industry production cut among the plant.
Asia Pacific
In the Asia Pacific region, the price of Chloroform slipped in the first two months of the third quarter. Since the start of July, the domestic methane chloride production rate has increased slightly, and the supply has been under tremendous pressure. In terms of the upstream Methanol market, the prices were reduced further with weak purchasing and muted market fundamentals. Weak demand and ample supply dragged down the prices, prompted by peeked-out need and product saturation. In Sept, with the acceleration in Methanol prices, the Chloroform market gained a stance with recovering downstream ventures. In July, the cost of Chloroform was USD 489/ton FOB Qingdao.
Europe
Compared with the previous quarter, the price of Chloroform declined in Q3 2022 in Europe due to the region's deterred demand and oversupplies. The easing of supply chain curbs and further relaxation in cost inflation resulted in a southward trajectory of the product in Germany. Falling demand for raw material Chlorine and weak downstream solvent industries further degraded the price for the domestic market. This quarter's overall average utilization rates remain impacted, driven by sky-high electricity costs and globally weaker demand for chlorine derivatives. In Germany, the price of Chloroform during Aug declined to USD 853/ton FOB Hamburg. However, towards the end of the quarter, the prices elevated, prompted by recovering demand and oscillations in the Chlor Alkali market.
For the Quarter Ending June 2022
North America
In this quarter, the cost of Chloroform slipped with succeeding months compared with the previous quarter. In June, the price of Chloroform was USD 709/ton FOB Los Angles in the USA. Eased back Petrochemical trading and high inventories among the significant ventures constrained the producers to give discounts to clear their current stocks. Hindered development and skeptical interest from downstream solvent enterprises decreased exports from the United States to South American and Asian suppliers. With the newly added Chloroform capacities in the region, the elevated prices slowed with low market sentiments. Low production costs and accelerating operating rates among the ventures kept the prices on the lower end.
Asia Pacific region
In Asia, the prices of Chloroform showed a mixed sentiment where prices slipped in April due to weak purchasing power and deterred demand, which muted the market fundamentals. In May, the prices surged due to forced Majeure at Westlake on Chlor alkali affecting the price trend. Oversupplies of Chloroform in the Chinese market forced the traders to reroute their cargoes to India due to healthy demand with revision in the price trend. Demand from the downstream solvent industry is firm on top of the increase in its utilization from end consumers. In June, the price of Chloroform in India slipped again with the cost of USD 545/ton Bulk Ex- Dahej.
Europe
In Q2 2022, the prices of Chloroform in April rose to USD 825/ton FOB Hamburg and surged to USD 827/ton FOB Hamburg in June. Chlor Alkali demand in the region increased this month with feedstock Chlorine, and the chlor Alkali market surged. Methane prices in the region remain trending this month with rising geopolitical disputes between Russia and Ukraine. Due to limited supply, downstream solvent industries operated cautiously according to the end user's needs. Tepid market purchasing and stably operating enterprises fluctuated the prices of the product. This month, exports from Germany and France to other European regions surged due to high purchasing rates and strong market sentiments.
For the Quarter Ending March 2022
North America
In USA, strong market and insufficient supply surged the prices of Chloroform throughout the quarter. The US Chloroform market soared where the price in the starting of the quarter were USD 720/ton Ex-Texas. Overall, consumption recorded an inclined curve and showcased high demand from downstream solvents and paper industries. In terms of value, the production cost expanded sharply in the first quarter due to unavailability of the product and fluctuations in the feedstock Methanol prices. Exports to Argentina and Mexico from US were also increased with robust transportation cost. Major producers of Chloroform had also increased the prices for the domestic as well as international market. Russia-Ukraine conflict had impacted the price of the product in the second half of the first quarter with supply constraints in the Asian market.
Asia Pacific
In the first quarter, Chinese Chlor alkali had shown growth with increase in demand of Chlorine, Soda Ash which drove the growth of Chloroform in the domestic market. Shanghai Chlor Alkali Chemical Co. Ltd had also showcased remarkable growth with increase in production cost of Chloroform due to raw material shortage. In China, the price of Chloroform towards the end of the quarter was observed to be USD 824/ton. However, in India the sentiments were high in the first half of the quarter and muted in the second half. In the month of January, the prices of Chloroform in India were USD 603/ton. Tight supply from United States and China hampered the import market of India. Inventories at Hyderabad and Dahej were heard to be low which accelerated the price.
Europe
In Q1 2022, the cost of Chloroform in the European market flooded all through the quarter because of market snugness with ongoing conflict between Russia and Ukraine. Upstream Natural Gas and Methanol costs remained flooded. The stockpile of Natural gas from Russia was disrupted due to which supply/demand gap surged and squeezing profit from the downstream ventures affected the market. Increased demand of Chloroform in construction and paper sector and growing use as solvent elevated the price. Exports of Chloroform from Germany to Netherlands and to other European locale were expanded and significant producers had increased the cost for overseas suppliers. In this quarter, the cost of Chloroform surged by 8% when compared with last quarter. In January, the price of Chloroform were observed to be USD 860/ton FOB Hamburg.
For the Quarter Ending December 2021
North America
In US, the prices of Chloroform were surged in October with increase in Feedstock crude oil and Chlorine prices. The price towards the end of the month was observed to be $590/ton Ex-Texas. The export from US to Mexico and other Asian countries boosted due to increase in demand and bullish demand from downstream solvent industries. In November, the prices of Chloroform surged even more with insufficient stocks for the market that the demand for the new one was surged. Towards the end of the year, in the last week, the Chloroform market of US was lagged due to New Year holiday which trafficked the Petrochemical trading activities and the market was dull. In December, the prices of Chloroform were observed to be $690/ton Ex-Texas.
Asia Pacific
In Q4, the demand was strong in the first half and was dropped in the remaining half. In India, Chloroform prices fell in towards the ending with the price of $752/ton levels CFR JNPT. The market performance has been running since the start of the winter season and there are limited enquiries from R-22 manufacturing. Other key supporters of the fall in price trend are sharp falls in both key raw materials-Chlorine and Methanol due to ample supplies in the domestic markets. Fall in upstream energy rates have also supported the fall in market prices. In comparison with the previous quarters the prices were observed to be high and moderate demand from downstream enterprises. In China, the prices of Chloroform were maxed on 29-October where prices were hovering around $996/ton FOB Qingdao-$1006/ton FOB Qingdao with robust demand and towards the end of the quarter the prices dropped down to $590/ton FOB Qingdao.
Europe
In Europe, the prices of Chloroform were remained affected in Q4 due to shortage of raw material Chlorine. Chlorine accessibility in Europe stayed short because of relative decrease in Caustic Soda operating rates because of high energy cost and environment crisis affecting the production of Chloroform. The force majeure by Vinnolit at its Caustic Soda plant additionally tumbled the accessibility of its Chlorine in the primary portion of the quarter finishing December. Albeit the accessibility began levelling out by late-November with resumption in the plant exercises, but costs of Chloroform stayed high because of high energy costs. In Germany, the prices of Chloroform towards the year end was observed to be $870/ton FOB Hamburg.
For the Quarter Ending September 2021
North America
During Q3 of 2021, Chloroform market showcased mixed sentiments in North America. At the beginning of the quarter, Chloroform prices were sober due to the ample availability of the product while in the latter half, a modest rise was seen as the Ida hurricane disrupted the supply chain across the region. Additionally, a significant rise in the demand from the end user refrigerants and solvent segment coupled with the limited supply of feedstock Chlorine was witnessed that led to the increment in the prices of Chloroform in the US region.
Asia Pacific
In the Asia Pacific region, Chloroform market experienced an upward rally during Q3 of 2021 backed by the hike in the prices of feedstock Chlorine and Methane amidst the consistent demand from the end use industries. In India, in the beginning of the quarter, values of Chloroform skyrocketed reaching USD 555.69 per MT from USD 519.09/MT, showcasing the largest surge since the start of the year. An astonishing upward climb was majorly due the bullish realizations of Natural Gas under spate of production disruptions and surged freight charges along several trade routes connecting Asia. However, in September a slight drop in the values of Chloroform was with gradual ease in the trading activities.
Europe
In Europe, the overall price trend of Chloroform continued to stay strong due to the tight supplies as an impact of congestion on several ports in China during Q3 of 2021. Furthermore, surging prices of raw materials and expensive import rates due to the high freight charges as well as logistical issues led to the increment in the prices of Chloroform in Q3. However, demand from the downstream refrigerant segment remained muted amidst the upcoming low demand season.
For the Quarter Ending June 2021
North America
During the second quarter of 2021, the regional Chloroform supply remained tight due to extreme feedstock Chlorine shortage reported by the key regional producers. Downstream industries recovered over Q1 due to the restoration of the industrial infrastructure in the US Gulf coast after remaining largely disrupted due to winter storm in Q1. The resumption of several producing units meant better availability of upstream Methanol. Offtakes from the downstream industries surged amidst the peak demand season from the building and construction sector during the second quarter. FOB Texas Chloroform prices in June were assessed around USD 700 per tonne.
Asia Pacific
Chloroform pricing trend in the Southeast Asian region showcased mixed results despite sufficient inventories of upstream Methanol and Chlorine. In India, the market was weighed under slow offtakes due to reduced industrial consumption amidst the partial lockdown to contain the spread of second COVID wave in India. Furthermore, weaker Chlorine eased Chloroform prices in the domestic market. Ex-works prices in South India were assessed at USD 500 per tonne in June. While in China, supplies were curtailed as Jinmao Chemicals went for a turnaround in May end, whereas Dongyue Chemicals operated at 60% efficiency and Luxi chemicals operated at 90% efficiency in the same period. Pricing trend of Chloroform in the Chinese domestic market remained firm amidst peak refrigerant demand season.
Europe
The supplies of Chloroform in the European region improved as production rates of feedstock chemicals were ramped up. Furthermore, the import market outlook was supported with the better volume offtakes from the downstream refrigerant chemical industries. The overall price trend remained strong due to bolstered demand and strong international pricing. Offtakes from the UK construction sector were strong than anticipated. Due to better demand and stronger margins, price of Chloroform remained firm for a larger part of Q2 in Europe.
For the Quarter Ending March 2021
North America
The North American regional market was severely impacted during the first quarter of 2021, as the limited availability of the key feedstocks resulted in reduced production of Chloroform across the region. The industrial infrastructure in Texas and nearby Gulf region collapsed as it cannot sustain such low temperature amidst the region hit by the sub-zero temperature due to polar winter storm. Skyrocketing Methanol and Liquid Chlorine prices proportionally impacted the prices of Chloroform. Demand from the downstream refrigerant and pharmaceutical sector surged.
Asia-Pacific (APAC)
Chloroform market pricing trend in the Asia pacific region rose sharply, due to the tight supplies in the Northeast Asian region due to the decline in enterprise load and the low inventory levels. Moreover, the reduced throughput from the production unit amid the Chinese lunar New Year holidays also contributed to the supply crunch. Jinling plant in Shandong province in China announced 20 days planned turnaround in Mid-March. After the Chinese Lunar New Year Holidays Chloroform prices rose sharply taking cues from the hiked prices of key feedstock Methanol and Liquid Chlorine amidst the surge in demand from the downstream refrigerant due to upcoming peak season.
Europe
During the first quarter of 2021, the European Chloroform market remained affected by curtailed supplies due to production disruptions in the Northwest European region. The shortage of key feedstocks occurred as a repercussion of transportation lag and reduced imports from the USA. Olin's plant in Stade, Germany was on a planned turnaround in H1 of the quarter, whereas INOVYN scheduled a planned turnaround in March. Demand outlook surged as the offtakes were ample from the different downstream segments.
For the Quarter Ending September 2020
Asia
Chloroform supply across Asia lengthened by the end of the Q3 as Chinese inventories took a higher side by the end of Q2, thereby affecting the producers to manage the production levels. Price discussions of Chloroform in Northeast Asia gradually picked up after observing prolonged stagnancy in the past few months. Supply seemed to cope with the market expectations across Asia. Sources mentioned that firming feedstock costs were supporting the price hikes and the trend would be traced by other producers in the coming months. Aligning with the regional trend, CFR India chloroform prices were assessed around USD 385 per ton levels in end-September.
Europe
Chloroform supply gained the lost uptrend in Q3 2020. Production margins improved as KEM ONE’s Methylene Chloride plant at Lavera, France restarted after maintenance turnaround in Q2. Demand for Chloroform as a solvent from the pharmaceutical industries took a bullish trend. Players remained anxious after the lockdowns in some European countries extended amid fears of second coronavirus wave.
