For the Quarter Ending December 2024
North America
In the final quarter of 2024, the US ethyl acrylate market continued to show bearish trends due to reduced production costs and weak demand from downstream sectors like coating and construction. This decline was driven by lower prices for feedstocks ethanol and acrylic acid. Market conditions of ethyl acrylate were further challenged by economic factors such as Hurricane Milton's disruption of construction projects and the International Longshoremen's Association strike impacting major ports.
Additionally, the declining performance of the construction sector, as reported by the U.S. Census Bureau, resulted in ample inventories. Although the Federal Bank's interest rate cut aimed to boost demand, it had minimal effect. Market participants faced high inventory levels and reduced demand with no significant new orders. The market maintained a cautious approach amid economic and political uncertainties, including Donald Trump's 2024 presidential victory, which ensured the bearish market sentiment. Overall, the quarter experienced limited trading activity, with the market sentiment of ethyl acrylate remaining cautious and bearish.
APAC
During Q4 2024, the ethyl acrylate market in Asia experienced mixed sentiments due to rising production costs and external economic factors. Initially, the market witnessed an incline amid fluctuations in feedstocks like acrylic acid and ethanol. However, by November, the market outlook turned bearish. In Japan, the increased feedstock costs and economic pressures, such as challenges in the construction sector and high bankruptcy rates among companies, created significant volatility. Occasional bullish influences came from external economic activities, including increased trade flows from China post-Golden Week. Despite this, the struggles in the construction sector and labor shortages continued to weigh heavily on the market. Economic and political uncertainties, including the impact of recent interest rate hikes and labor cost inflation, further influenced market sentiments. As a result, the bearish sentiment persisted towards the end of the quarter as market participants focused on maintaining inventory levels amidst these challenges. This period reflected a restrained market environment for ethyl acrylate in Japan, highlighting the impact of both internal and external factors on market dynamics.
Europe
In Q4 2024, the European ethyl acrylate market exhibited bearish sentiments due to declining production costs and weak demand from the Coating and Construction sectors. A key factor was the reduction in feedstock acrylic acid and ethanol prices, which lowered manufacturing expenses. The European construction industry faced persistent challenges, including subdued activity and weak demand for materials. The German construction sector, in particular, experienced a sharp decline in new orders for ethyl acrylate, growing pessimism, and significant job cuts, further reducing demand. Consumer confidence was low, leading to decreased purchasing activity. Despite price reductions, bearish conditions prevailed due to eroded consumer confidence. The European Central Bank's interest rate cuts aimed at countering weakening inflation did not alleviate market pressures. Consequently, the market remained bearish with lower quotations, reflecting subdued activities and lackluster demand trends. Business confidence in Germany fell, influenced by governmental changes and the threat of trade tariffs, while rail freight disruptions exacerbated market conditions. This ongoing trend highlighted the challenging environment for the European ethyl acrylate market.
South America
During Q4 2024, the ethyl acrylate market in Brazil displayed bearish trends, primarily due to reduced production costs driven by declining prices of feedstocks like ethanol and acrylic acid. This trend was exacerbated by subdued demand from downstream sectors, particularly coatings and construction, reinforcing the bearish sentiment. The International Longshoremen’s Association strike in the US disrupted supply chains but had minimal positive impact on the market due to existing ample inventory levels meeting the reduced demand. Additionally, challenges within the construction sector and overall economic uncertainties, such as high inflation and weak investor sentiment, contributed to the market's downturn. Despite the Brazilian government's focus on infrastructure development and public-private partnerships, new orders for ethyl acrylate continued to decline, reflecting declining import costs and competitive pressures. Business confidence waned, leading market participants to adopt cautious approaches, with strategies focused on maintaining stability rather than growth. This collective interplay of economic factors, supply chain disruptions, and cautious procurement activities underscored the persistent bearish conditions in the Brazilian ethyl acrylate market throughout the quarter, reflecting a challenging business environment.
For the Quarter Ending September 2024
North America
In Q3 2024, the North American Ethyl Acrylate market exhibited a persistent decline in prices, influenced by a combination of factors. The market recorded a 9% drop compared to the same quarter in 2023, highlighting an ongoing downward trend. Throughout the quarter, prices remained stable, with no significant changes from the previous quarter, maintaining a flat trajectory. However, there was a slight -1% price reduction between the first and second half of the quarter, indicating some pricing pressure during this period.
Mexico experienced the most notable price fluctuations, with Ethyl Acrylate prices falling to USD 1800/MT CFR Manzanillo by the end of the quarter. This decline was driven by several factors, including weakened demand from key downstream sectors such as coatings and adhesives, stable feedstock prices, and an accumulation of high inventory levels. These elements contributed to the overall downward pressure on prices across the region.
The market in Mexico mirrored broader North American trends, with price shifts reflecting seasonal demand patterns. Despite a stable market for much of the quarter, the sentiment surrounding Ethyl Acrylate remained negative, pointing to ongoing market challenges during Q3 2024.
APAC
Throughout Q3 2024, the Ethyl Acrylate market in the APAC region has displayed a bullish pricing environment. Several factors have contributed to this bullishness. Firstly, increasing production costs in the feedstock market, ethanol, and acrylic acid prices, have helped shift the trend of the commodity upwards. Furthermore, the downstream Coating and Construction sectors have showcased a rise in the demand for the commodity along with insufficient inventory levels which resulted in a surge in the prices of Ethyl Acrylate. Japan, in particular, has experienced the most significant price changes in the region. Despite overall bullishness, Japan witnessed a -20% decrease in Ethyl Acrylate prices compared to the same quarter last year. However, in Q3 2024, there was a 3% increase from the previous quarter. Notably, there was no price variation between the first and second half of the quarter. The quarter-ending price for Ethyl Acrylate in Japan stood at USD 1310/MT CFR Tokyo, reflecting the prevailing stable sentiment in the market.
Europe
In Q3 2024, the European Ethyl Acrylate market experienced a decline, with Germany witnessing the most significant price reductions. Several factors contributed to this downward trend, including lower production costs driven by decreasing prices of key feedstocks such as ethanol and acrylic acid. Additionally, weak demand from crucial sectors like construction and coatings exacerbated the market’s challenges. The European construction industry faced persistent hurdles, such as low property values and restrictive lending conditions, which negatively impacted the demand for ethyl acrylate. Logistical disruptions at ports added further uncertainty to the market, although high inventory levels helped maintain a stable supply flow. Germany, in particular, saw a -13% decrease in Ethyl Acrylate prices compared to the same quarter last year, with no change from the previous quarter. This stagnation reflected the broader market’s sluggishness. Overall, Q3 2024 displayed a negative pricing environment across Europe, characterized by declining prices, subdued demand, and a difficult operating landscape for Ethyl Acrylate producers and buyers alike.
South America
In Q3 of 2024, the South American region witnessed a decline in Ethyl Acrylate prices, with Brazil experiencing the most significant price changes. This quarter has been characterized by a consistent downward trend in market prices, influenced by several key factors. Reduced demand from downstream sectors, particularly in the coating and construction industries, played a pivotal role in driving prices lower. The ample supply of Ethyl Acrylate further exacerbated the pricing decline, as producers struggled to match supply with dwindling demand. Additionally, fluctuations in production costs, primarily driven by varying feedstock prices for ethanol and acrylic acid, added to the downward pressure on market prices. In Brazil specifically, the pricing environment remained negative throughout the quarter. The correlation between price changes in the first and second half of the quarter indicated a consistent decline, reflecting the overall bearish sentiment in the market. Notably, when compared to the same quarter last year, prices have dropped by 9%, underscoring the sustained downward trajectory in Ethyl Acrylate pricing.
For the Quarter Ending June 2024
North America
In Q2 2024, the North American Ethyl Acrylate market experienced a notable upward trajectory, primarily driven by heightened demand from downstream sectors such as construction, paint, and coatings. This quarter witnessed several significant factors influencing market prices. Foremost, a sustained increase in feedstock costs, including Acrylic Acid and Ethanol, exerted upward pressure on production expenses. Additionally, economic indicators, such as high inflation rates, contributed to increased operational costs, further escalating Ethyl Acrylate prices.
Focusing on the USA, which saw the most pronounced price changes, the overall trend for Ethyl Acrylate was markedly bullish. Seasonality played a crucial role, with peak construction activities during the warmer months amplifying demand. Concurrently, there was a 15% year-over-year price surge, underscoring robust market dynamics compared to the same period last year. Quarter-over-quarter, prices escalated by 4%, reflecting consistent upward momentum. Further dissecting the quarter, the first half saw a 3% price increment compared to the second half, indicating a steady rise in prices throughout Q2.
The price of Ethyl Acrylate concluded the quarter at USD 1675/MT DEL Louisiana, reflecting a positive pricing environment driven by robust demand and elevated feedstock costs. This steady increase in Ethyl Acrylate prices highlights a positive market sentiment, influenced significantly by external economic factors and seasonal demand surges, ultimately solidifying Q2 as a period of growth and pricing strength in the North American region.
APAC
In Q2 2024, the Ethyl Acrylate market in the APAC region exhibited a predominantly bearish sentiment, driven by an array of significant market dynamics. Key factors influencing the prices included weak demand from downstream sectors such as Paint and Coatings, which resulted in lower consumption rates. Regulatory changes exempting certain market participants from Bureau of Indian Standards (BIS) requirements also played a role in affecting overall market conditions. Additionally, logistical challenges, such as port congestions and supply chain disruptions, further tightened supply, however, due to the weak demand, the market showcased bearish market sentiments. Focusing on Japan, the market witnessed the most pronounced price changes within the APAC region. The overall trends indicated a significant correlation between seasonal demand and price decrease, particularly influenced by strategic inventory management and lowered trading activities amidst supply-demand imbalances. The comparison to the same quarter last year revealed a stark -24% change, underscoring the volatility and dynamic nature of the market. When juxtaposed with the previous quarter in 2024, prices fell by -9%, signaling a fluctuating trend. The price comparison between the first and second half of the quarter marked a minor 1% increase, reflecting steady market sentiment and consistent demand patterns. Concluding Q2 2024, the latest price for Ethyl Acrylate in Japan stood at USD 1270/MT CFR Tokyo, indicating a stable yet decreasing pricing environment.
Europe
In Q2 2024, the Ethyl Acrylate market in Europe experienced notable fluctuations, largely driven by varying trends in feedstock prices and shifting demand dynamics across downstream sectors. The increased production costs due to rising Ethanol prices, combined with the overall economic optimism following the European Central Bank's interest rate cuts, played a substantial role in influencing market prices. Despite the moderate demand from the construction sector, particularly for paints and coatings, inventory levels managed to keep the market relatively stable. The supply chain disruptions and labor strikes in the construction industry further compounded the market conditions, leading to a complex pricing environment. Focusing on Germany, which witnessed the most significant price volatility, the Ethyl Acrylate market trends were indicative of broader market sentiments. Seasonal factors, including lower construction activity in early spring, also impacted the pricing. The correlation between feedstock price changes, particularly Acrylic Acid, and Ethyl Acrylate prices highlighted the sensitivity of the market to supply chain inputs. Compared to the same quarter last year, Ethyl Acrylate prices dropped by 13%, reflecting a substantial market correction. However, from the previous quarter in 2024, the prices declined by a modest 2%, suggesting a gradual stabilization. Analyzing the first and second halves of the quarter, there was a minimal 1% price shift, underscoring the market's relative steadiness. Concluding the quarter, the price of Ethyl Acrylate in Germany settled at USD 1655/MT (FD-Wiesbaden), reflecting a stable yet cautious market environment. Overall, the pricing sentiment has been stable, with neither significant positive nor negative trends dominating the market. The consistent supply from existing inventories mitigated the impact of fluctuating production costs, ensuring a balanced pricing scenario throughout the quarter.
South America
In Q2 2024, the South American Ethyl Acrylate market experienced a notable upward trajectory, primarily driven by heightened demand from downstream sectors such as construction, paint, and coatings. Several significant factors influenced market prices during this period. Foremost was the sustained increase in feedstock costs, including Acrylic Acid and Ethanol, which exerted upward pressure on production expenses. Additionally, high inflation rates and severe floods further escalated operational costs, contributing to the overall rise in Ethyl Acrylate prices. The existing inventory levels were insufficient to meet the rising demand from the downstream Paint and Coating sectors resulting in the bullish prices of the commodity. Furthermore, the market showcased bullishness due to increased freight charges caused by ongoing floods in Brazil. These floods disrupted the supply chain and raised logistics costs, resulting in slower and more expensive delivery times. Therefore, with the strong demand from downstream sectors, the market trend for Ethyl Acrylate is inclined, supported by logistical challenges and elevated freight costs. However, from the previous quarter in 2024, the prices increased by 4%, suggesting bullish market sentiments.
For the Quarter Ending March 2024
North America
The pricing environment for Ethyl Acrylate in the North American region during Q1 2024 was bullish in the market. The market experienced a bullish trend, with prices showing an overall increase compared to the previous quarter.
In the US market, Ethyl Acrylate prices saw a moderate increase of 1.19% in February 2024. This was primarily driven by higher prices in the feedstock Acrylic Acid market, which led to elevated production costs for Ethyl Acrylate. Additionally, energy costs surged due to an upward trend in Crude Oil and Propylene prices, further contributing to the overall production cost. Demand from the downstream Construction sector, particularly in Paint and Coating applications, exhibited an upward trend, indicating increased market activity within this sector.
Similarly, the Mexican market experienced an incline in Ethyl Acrylate prices during Q1 of 2024. This was attributed to growing demand from downstream Paint and Coating enterprises and inadequate supplies. Overall, the pricing environment for Ethyl Acrylate in the North American region during Q1 2024 was positive in the US as well as the Mexican market. Prices showed some volatility, influenced by factors such as feedstock prices, energy costs, and demand from the downstream sector.
APAC
The Q1 2024 period has been challenging for the Ethyl Acrylate market in the APAC region, with prices experienced weak trend along with surplus inventories. Several factors have influenced market prices during this quarter. Firstly, the demand from the downstream Paint and Coating sector has been relatively low, leading to a surplus of existing inventory levels. This has put downward pressure on prices as traders and manufacturers have reduced their trading activities and production rates to avoid oversupply. Additionally, the prices of the commodity's feedstock, Acrylic Acid, have remained stable on the lower end, which has helped to offset potential cost increases for Ethyl Acrylate. Looking specifically at Japan, the market has seen the maximum price changes compared to other countries in the region. The overall trend for Ethyl Acrylate prices in Japan during Q1 2024 has been bearish, with prices declining slightly. This can be attributed to the subdued demand from the Paint and Coating sector, which has been met by existing inventory levels. The narrowing gap between Acrylic Acid and Ethyl Acrylate prices further indicates a bearish market sentiment. In terms of seasonality, the Lunar New Year in February has had an impact on the market dynamics, with increased trading activities and inventory accumulation in anticipation of higher demand.
Europe
The pricing environment for Ethyl Acrylate in the Europe region during Q1 2024 has been relatively stable with some moderate fluctuations. In Germany, which has seen the most significant price changes, the prices of Ethyl Acrylate experienced a slightly inclined trend in February 2024, due to the rise in the price of its feedstock, Acrylic Acid, and Propylene. This was mainly due to stronger increases in operating expenses, particularly in energy costs, as the upward trend in the prices of the upstream Crude Oil market raised production costs. The demand from the downstream Construction sector, including the Paint and Coating sector, was slightly strong, and existing inventories were insufficient to meet this demand. The overall trend in Q1 2024 has been influenced by factors such as the ongoing farmer's protests in European countries, which disrupted the supply chain and hindered the timely replenishment of inventory levels. Additionally, the sluggish demand from the downstream sector and the decrease in the prices of Acrylic Acid contributed to the decline in Ethyl Acrylate prices. The market has been influenced by factors such as supply chain disruptions, sluggish demand, and changes in the prices of its feedstock.
South America
During Q1 2024, the pricing landscape for Ethyl Acrylate in South America demonstrated a bullish market scenario, particularly in the Brazilian market. The trajectory throughout the quarter was shaped by multiple factors, encompassing supply-demand dynamics, feedstock prices, and the level of activity observed in downstream Paint and Coating sectors. The supply chain faced disruptions during the Lunar New Year holidays in China in February 2024, as markets and trade activities were halted. Many traders exited the market before the holidays, but inventory levels were stocked up in anticipation of downstream sector demand. Additionally, demand from the Construction sector, including Paint and Coating applications, surged, resulting in supply shortages. In March 2024, trade flows from China to Brazil experienced the customary post-Lunar New Year surge in market activity, driving short-term price increases. However, as the Lunar New Year celebrations concluded, prices stabilized after a period of softening. To mitigate the impact of drought, Panamanian authorities enforced stricter transit and draft restrictions at the canal. Daily transits decreased initially in November 2023 but gradually improved by the end of March 2024. The navigation restrictions at the Panama Canal prompted a shift in global shipping routes, with shipowners increasingly opting for longer and riskier alternatives such as Cape Horn for the trade from the US to Brazil.
