For the Quarter Ending December 2024
North America
Cyclohexanone prices in the United States exhibited an overall decline throughout Q4 2024, driven by a combination of supply, demand, and market dynamics. The quarter started with price drops in October due to increased domestic production, improved plant efficiencies, and higher inventory levels, which led to a temporary market surplus. This, combined with a seasonal slowdown in demand from key downstream sectors like adipic acid and caprolactam, exerted significant downward pressure on prices. Declining benzene costs, a critical raw material, further contributed to reduced production expenses, supporting lower prices.
In November, logistical challenges such as port congestion and delays—stemming from earlier disruptions caused by labor strikes and hurricanes—introduced supply chain uncertainties. However, efforts to address backlogs and stabilize operations minimized their overall impact on cyclohexanone prices. The bearish trends persisted throughout the month, driven by stable raw material costs and moderate demand. Although freight rate fluctuations and supply chain issues added pressure, their influence on pricing remained limited.
By late December, cyclohexanone prices experienced a slight rebound as downstream industries began replenishing inventories, and demand from sectors like nylon production increased. However, this late-quarter recovery was insufficient to counter the declines observed earlier in the quarter. Overall, cyclohexanone prices in Q4 2024 recorded a 5% decline compared to the previous quarter, reflecting a combination of supply surpluses, reduced production costs, and fluctuating demand patterns.
APAC
In Q4 2024, Cyclohexanone prices in China exhibited notable fluctuations, characterized by a declining trend in the first half of the quarter, followed by a recovery in the latter months. The quarter began with stable pricing during early October, largely driven by steady demand from key industries like nylon, adipic acid, and caprolactam, coupled with consistent domestic production. However, the market faced a slowdown, primarily due to a seasonal dip in demand and weaker economic indicators, leading to a 2.4% price decline by mid-November. This was compounded by increased domestic production, a surplus of supply, and a drop in the cost of raw materials like benzene, further exerting downward pressure on prices. Port congestion and logistical disruptions caused by weather events like Typhoons also temporarily hindered market activities.
However, in the latter half of November and into December, Cyclohexanone prices began to rise. This uptick was largely driven by increased demand from downstream sectors, particularly adipic acid and caprolactam, which saw restocking and strengthened consumption. Rising production costs, particularly from higher benzene prices, and logistical bottlenecks further tightened supply, fueling price increases. By December, the market had stabilized at higher levels, concluding the quarter with a positive price trend despite earlier weaknesses.
The substantial 14% decrease from the previous quarter in 2024 highlighted the volatility within the market, as price fluctuations were heavily influenced by seasonal demand shifts, production adjustments, and external disruptions. In addition to the price movements, the market faced significant logistical challenges, notably severe port congestion caused by Typhoons and increased blanked sailings. These disruptions, coupled with rising freight rates and anticipated port strikes, added to supply-side constraints and contributed to the overall market volatility during Q4 2024.
Europe
In Q4 2024, Cyclohexanone prices in Germany followed a consistent downward trajectory, influenced by a combination of weaker demand, supply surpluses, and ongoing logistical challenges. The quarter began with a decline in November, primarily driven by a seasonal slowdown in demand from key downstream industries, including adipic acid and caprolactam production. Additionally, the broader economic slowdown in Germany further dampened industrial activity, contributing to lower consumption of Cyclohexanone. Increased domestic production during this period led to an oversupply in the market, putting further downward pressure on prices.
Logistics, particularly port congestion at major European hubs such as Hamburg, exacerbated the situation. Delays in shipments and longer transit times, especially from Asia, compounded supply chain uncertainties and created additional market instability. In December, the downward pressure continued as reduced demand from sectors like construction and textiles added to the overall market weakness. Despite stable raw material costs like benzene, the oversupplied market, coupled with weak demand, kept prices under pressure throughout the quarter.
Overall, Q4 2024 concluded with a significant decline in Cyclohexanone prices, with a decrease of approximately 2% from the previous quarter, reflecting the combined impact of reduced demand, oversupply, and logistical disruptions.
For the Quarter Ending September 2024
North America
In Q3 2024, the North American Cyclohexanone market experienced a mixed pricing trend. A period of declining prices was observed during the first half of the quarter, primarily driven by subdued demand across various industries. Factors such as a seasonal slowdown in downstream sectors like nylon production and adipic acid manufacturing significantly impacted market prices. Additionally, stable domestic production levels led to a surplus, further pushing prices downward. Stability in key raw material prices, particularly benzene, played a crucial role in reducing production costs and facilitating lower selling prices for Cyclohexanone.
During the second half of Q3 2024, Cyclohexanone prices in the USA exhibited an upward trend. Stabilized demand from downstream industries like nylon and adipic acid production, coupled with production constraints and stable benzene prices, contributed to the price rise during this period. By mid-September, prices rose due to heightened procurement activity and inventory replenishment after destocking. Additionally, exports to countries like Israel and Ireland tightened domestic supply, while concerns over port congestion due to a potential ILA strike added further upward pressure on prices.
There was only a 1% change observed from the last quarter compared to this quarter. Moreover, the comparison between the first and second halves of the quarter indicated a further decrease of -1%. This environment culminated in a quarter-ending price of USD 1614/MT for Cyclohexanone FOB Texas in the USA.
Europe
In Q3 2024, the European Cyclohexanone market experienced a hybrid pricing trend. The first half of the quarter saw a decline in prices, primarily driven by a temporary slowdown in downstream industries such as nylon, adipic acid, and caprolactam production, which led to reduced demand and created a market surplus. Increased domestic production and inventory adjustments further contributed to the price drop. Additionally, the overall economic slowdown in Europe aligned with global trends of falling prices. However, stabilized prices were observed towards the end of the quarter in the Netherlands, where balanced supply and demand dynamics prevailed. Consistent imports from Belgium and Germany ensured adequate supply, while a slight decline in benzene prices helped maintain production costs. Seasonal slowdowns in downstream applications like adipic acid and nylon tempered demand, preventing significant price fluctuations. Effective inventory management among manufacturers also reduced stockpiles, contributing to price stability. Despite global port congestion challenges, these factors collectively supported a steady pricing environment. Within the region, the Netherlands experienced the most significant price changes, with an 8% decline from the previous quarter. Additionally, there was a 3% decrease in prices between the first and second half of the quarter. The latest quarter-ending price for Cyclohexanone FD Rotterdam in the Netherlands stood at USD 1848/MT, reflecting a consistently decreasing pricing environment.
APAC
In Q3 2024, the APAC region witnessed a significant increase in Cyclohexanone prices, driven by multiple factors. Demand from downstream industries, such as nylon, adipic acid, and caprolactam production, remained strong, leading to heightened consumption levels. Concurrently, supply constraints, including unexpected production issues and maintenance shutdowns, created temporary market fluctuations. In Japan, Cyclohexanone prices increased primarily due to rising benzene costs, which escalated production expenses, while inventory depletion among manufacturers heightened reliance on spot purchases. Additionally, port congestion in Japan significantly impacted Cyclohexanone prices, as logistical delays strained supply chains and tightened domestic supply. Although some easing of congestion was noted, ongoing capacity constraints and vessel redistribution to alternative ports, like Taiwan, continued to create disruptions. This situation further drove up prices amid existing demand pressures. The substantial 22% rise from the previous quarter in 2024 underscored the market's volatility, with Japan experiencing the most significant price changes that reflected overall regional trends. Seasonal fluctuations, coupled with a 7% price disparity between the first and second halves of the quarter, highlighted the dynamic nature of the market. The quarter-ending price of USD 1463/MT for Cyclohexanone FOB Osaka in Japan exemplified the prevailing upward pricing trajectory in the region.
For the Quarter Ending June 2024
North America
In Q2 2024, the North American Cyclohexanone market experienced a notable increase in prices, driven by several critical factors. The quarter was characterized by heightened demand from key downstream industries such as nylon production, adipic acid, and caprolactam manufacturing. This increased demand was compounded by stable benzene prices, which prevented significant cost hikes for Cyclohexanone producers, maintaining a steady supply without major disruptions. Additionally, effective inventory management and balanced import-export volumes further supported market stability, avoiding any significant price volatility.
Focusing on the USA, which witnessed the most pronounced price changes, overall trends reflected a consistent upward trajectory. Seasonality played a crucial role, with heightened demand typically observed in Q2 due to increased production needs in various sectors. The correlation in price changes was evident as the demand for nylon and related products surged, pushing Cyclohexanone prices higher. This quarter's prices were still 3% lower than the previous quarter of 2024, indicating some volatility and adjustment in market dynamics.
The comparison between the first and second half of the quarter showed a 4% price increase, underscoring the steady demand and supply balance. The quarter-ending price for Cyclohexanone in the USA was recorded at USD 1616/MT FOB Texas, signifying a positive pricing environment. Overall, Q2 2024 has been marked by a stable yet increasing price sentiment, driven by consistent industrial demand and stable production costs, reflecting a positive outlook for the Cyclohexanone market in North America.
Europe
In Q2 2024, Europe witnessed a significant increase in cyclohexanone prices, driven by a confluence of factors. A prominent driver was the robust demand from downstream industries, including nylon and caprolactam manufacturing, which remained strong throughout the quarter. This demand surge was exacerbated by supply chain disruptions, notably due to limited availability of key feedstock benzene and intermittent production halts across various European facilities. Additionally, the cost of raw materials experienced an upward trend, influenced by the global fluctuations in crude oil prices and logistical challenges, further inflating production costs. The market also contended with inflationary pressures and increased freight rates, contributing collectively to the price escalation.
Focusing exclusively on Germany, the country experienced the most pronounced price changes within the region. From the previous quarter in 2024, prices climbed by 7%, indicating a continued upward trajectory. Seasonality played a role, with heightened industrial activity in warmer months driving demand. Moreover, the correlation in price changes was evident, with a 4% price increase observed between the first and second half of the quarter. This steady price rise culminated in a quarter-ending price of USD 2090/MT of cyclohexanone FD Hamburg, underscoring a positive pricing environment. Overall, the quarter’s pricing dynamics were heavily influenced by sustained demand, supply constraints, and global economic conditions, reflecting an overall positive sentiment in the pricing environment.
APAC
The second quarter of 2024 exhibited mixed trends in Cyclohexanone prices across the APAC region. Initially, prices declined in the first half of the quarter, particularly in Japan, due to persistent factors from March. Limited seasonal demand increases, especially in adipic acid production, and high inventory levels among downstream industries kept overall demand subdued. Stable to decreased raw material and energy costs further reduced production expenses, allowing domestic producers to maintain lower selling prices. Despite stable production levels, a supply surplus persisted due to high import volumes and low export opportunities amid increased regional competition. This combination of factors maintained downward pressure on Cyclohexanone prices.
Towards the end of Q2, heightened demand from downstream industries such as nylon production, adipic acid, and caprolactam, driven by robust industrial growth and increased manufacturing activity, was witnessed. Rising feedstock costs, particularly benzene, and fluctuating natural gas prices exacerbated production expenses, leading to higher selling prices. Export opportunities to markets like South Korea and Taipei incentivized producers to prioritize exports over domestic supply, contributing to tighter local inventories and upward price pressures.
From the previous quarter in 2024, prices saw a slight decline of 5%, indicating a transient easing before the current escalation. Within this quarter, prices increased by 1% from the first to the second half, highlighting a consistent rising trend. The quarter-ending price stood at USD 1195/MT FOB Osaka.
The pricing environment in Japan has been notably positive, driven by strong market fundamentals and external pressures towards the end of the quarter with the start of declining prices. Despite brief fluctuations, the overall sentiment remained mixed, reflecting sustained demand and constrained supply dynamics.
For the Quarter Ending March 2024
North America
In the first quarter of 2024, the North American Cyclohexanone market witnessed a dynamic pricing trajectory, marked by distinct trends each month. Initially, in January, prices declined due to subdued demand from key sectors like paints & coatings and nylon, coupled with oversupply stemming from heightened production capacity and lower raw material costs.
However, February brought about price stabilization amidst supply chain disruptions and more favorable natural gas prices. Yet, March saw a notable downturn in prices, driven by factors such as stable upstream material costs, shifts in global petrochemical dynamics, and intensified competition among suppliers due to oversupply.
Various challenges, including fluctuations in raw material costs, disruptions in vessel traffic, and weakening demand from downstream industries, further contributed to the overall decline. Despite efforts to bolster domestic production, persistent issues in upstream product prices and a 4.1% drop in adipic acid prices underscored the market's vulnerability, ultimately influencing the observed downturn in Cyclohexanone prices in the USA.
As the quarter concluded, prices stood at USD 1616/MT in USA , reflecting the market's resilience amidst fluctuating conditions, yet highlighting the need for continued vigilance and adaptability in navigating future challenges.
APAC
The pricing environment for Cyclohexanone in the APAC region during Q1 2024 has been relatively stable, with some minor fluctuations in certain countries. Several factors have influenced market prices, including demand from downstream industries, supply levels, raw material costs, and global economic conditions. Overall, the market has seen a moderate to high supply of Cyclohexanone, resulting in stable or slightly declining prices. Demand from downstream industries, such as textiles, automotive, and chemical manufacturing, has been moderate. However, the off-season lull in these industries has limited the overall demand for Cyclohexanone. Additionally, reduced demand from major consuming countries, such as China, has contributed to the stability in prices.
In Japan, there have been noticeable price changes for Cyclohexanone during Q1 2024. The market has experienced a slight decline in prices, influenced by factors such as reduced demand from the textile industry, increased domestic production, and lower feedstock costs. The off-season lull in the textile industry has resulted in decreased demand for Cyclohexanone, impacting prices. However, the overall pricing environment has remained relatively stable, with minor fluctuations.
Looking at the price trends over the quarter, there has been a slight decline in prices compared to the same quarter last year. However, the percentage change from the previous quarter in 2024 has remained stable. The price comparison between the first and second half of the quarter shows no significant difference.
As of the end of the quarter, the price of Cyclohexanone in Japan was USD 1190/MT, FOB Osaka. Overall, the pricing environment for Cyclohexanone in Japan during Q1 2024 can be described as stable, with minor fluctuations influenced by seasonal demand patterns and supply dynamics.
Europe
The first quarter of 2024 presented a volatile period for Cyclohexanone prices in Europe, characterized by various influencing factors. Initially, January witnessed a decline in prices due to weak demand from key sectors like construction and paints & coatings, alongside an oversupply from accumulated inventories. However, February and March showed an incline in prices driven by stable demand and rising production costs, particularly influenced by higher prices of upstream raw materials like benzene. Despite stable benzene prices, oversupply remained a challenge for manufacturers, highlighting the delicate balance between supply and demand in the Dutch petrochemical industry.
The surge in demand from downstream industries, coupled with rising production costs, led to continuous price increases throughout the quarter in the Dutch market. Additionally, challenges in transportation routes and elevated crude oil prices further impacted upstream benzene prices, contributing to the overall price uptrend. Manufacturers responded by raising prices to maintain profit margins amidst constrained supply and subdued demand from downstream construction industries.
The quarter-ending price in the Netherlands is USD 1970 per MT of Cyclohexanone FD Rotterdam. Overall, the first quarter showcased a mixed pricing trend for Cyclohexanone in Europe, with initial declines followed by inclines, underscoring the market's sensitivity to various economic and industry-specific factors.
