For the Quarter Ending September 2024
North America
In Q3 2024, the North American Glyoxylic Acid market experienced a decline in prices, reflecting a bearish market environment. Several factors contributed to this pricing scenario. The market has maintained moderate to high supply levels, ensuring steady production to meet demand from downstream industries. Despite some fluctuations in inventory due to external factors like natural disasters, overall supply remained robust. However, demand from the end-user cosmetics market stagnated, and manufacturing activities were subdued, characterized by low trading levels that indicated reduced consumption of Glyoxylic Acid.
In the USA, which saw the most significant price changes, the market remained steady with no major disruptions in the supply chain. While the prices of essential feedstock, such as Nitric Acid and upstream Ammonia, were increasing, their cost pressure on Glyoxylic Acid prices remained limited. Compared to the previous quarter, prices recorded a modest decline of 3.2%, showcasing an overall downward trend.
Most demand came from smaller buyers, reflecting a cautious and measured approach within the market. The latter half of the quarter saw a slight price surge of 0.2% compared to the first half, indicating a gradual decrease over the period. By the end of the quarter, the price of Glyoxylic Acid (50%) FOB Louisiana was recorded at USD 1561/MT, underscoring the prevailing challenging market conditions.
APAC
In Q3 2024, the APAC region experienced a decrease in Glyoxylic Acid prices, with China at the forefront of significant price changes. The Chinese Glyoxylic Acid market continued to decline. The price of essential feedstock material Nitric Acid was declining the same period prompting towards reduced production rates thus exerting downward pressure on Glyoxylic Acid. This price downturn is largely attributed to the surplus availability of Glyoxylic Acid within the market. Persistent port congestion has resulted in stockpiled inventories at various ports across China. Severe weather conditions affecting East Asian ports have exacerbated congestion, leading to numerous sailing cancellations. On the demand side, the market faced inconsistent requirements from major end-use industries, particularly the cosmetics and haircare sector. Specifically focusing on China, the market witnessed the significant price fluctuations. The quarter recorded a marginal decline of -1% from the previous quarter in 2024. Notably, the second half of the quarter saw an 3.9% price increase, culminating in a quarter-ending price of USD 1160/MT of Glyoxylic Acid (50%) FOB Qingdao in China.
Europe
The third quarter of 2024 has been challenging for the Glyoxylic Acid market in the Europe region, marked by decreasing prices. Several factors have contributed to this trend, including subdued demand from key industries like cosmetics and haircare, logistical challenges impacting international trade, and a lacklustre performance in the global market. France, in particular, has witnessed significant price changes, reflecting the overall negative sentiment in the market. Most of the demand came from smaller buyers, indicating a cautious and measured approach within the market. The quarter saw a 5% decrease compared to the previous quarter in 2024. Notably, prices in the first half of the quarter were 3% higher than in the second half, indicating a rapid decline towards the end of the period. The quarter-ending price for Glyoxylic Acid (50%) Bulk FD Le Havre in France stood at USD 3035/MT, underscoring the prevailing downward pricing trend in the market. The overall pricing environment has been predominantly negative, with consistent pressure on prices due to a combination of demand constraints and external market dynamics.
For the Quarter Ending June 2024
North America
The North American Glyoxylic Acid market experienced mixed sentiments throughout the second quarter. Prices surged by 4.4% in April but declined as the quarter progressed. The initial increase in Glyoxylic Acid prices was primarily driven by the resurgent seasonal demand from the downstream cosmetics and haircare sector during the summer season. Surveys indicated a significant surge in sales for leading players in the Western market, with sales growth exceeding 6%. Notably, L'Oréal, the world's largest beauty company, reported sales growth of over 12% in both North America and Europe, with its mass market range and dermatological products offsetting weaknesses in the luxury segment.
The increased sales of cosmetic products subsequently stimulated demand for Glyoxylic Acid, which is a vital ingredient in various cosmetic formulations. However, prices dipped towards the end of the quarter. Throughout this period, the inflow of cargoes was smooth, and no major hindrances in the supply chain were reported.
Simultaneously, demand began to drop as consumers had already stocked up on inventories. By the end of the quarter, the price of Glyoxylic Acid 50% FOB Louisiana was USD 1,636, reflecting the overall market dynamics of fluctuating demand and stable supply.
APAC
The Asian Glyoxylic Acid market exhibited mixed sentiments throughout the second quarter, with China and South Korea being the most affected areas. Prices surged during the initial two months of the quarter, driven by the resurgent seasonal demand from the downstream cosmetics and haircare sector during the summer season. Surveys revealed a significant increase in sales for leading players in the Chinese market, with L’Oréal registering a month-on-month increase of over 50%, followed by Head & Shoulders with a 68.7% rise, and Lancôme experiencing a surge of more than 50%. These increased sales of cosmetic products stimulated demand for Glyoxylic Acid, a crucial ingredient in various cosmetic formulations. This resurgence in demand from the cosmetics and haircare sectors underscores the gradual recovery of consumer confidence and purchasing power, reflecting positive momentum within these industries. However, prices declined during the final month of the quarter. Throughout this period, the inflow of cargoes remained smooth, and no major hindrances in the supply chain were reported. Simultaneously, demand began to drop as consumers had already stocked up on inventories. By the end of the second quarter, the price of Glyoxylic Acid (50%) CFR Busan was USD 1,207 per metric ton, reflecting the overall market dynamics of fluctuating demand and stable supply.
Europe
During the second quarter of 2024, the European Glyoxylic Acid market exhibited mixed sentiments. Prices increased by 2.8% in the initial month of the quarter but subsequently declined. The initial price rise was mainly due to the resurgent seasonal demand from the downstream cosmetics and haircare sector during the summer season. Surveys indicated a significant increase in sales for leading players in the Western market, with sales growth exceeding 6%. Notably, L'Oréal, the world's largest beauty company, reported sales growth of over 12% in both North America and Europe, with its mass market range and dermatological products offsetting weaknesses in the luxury segment. The increased sales of cosmetic products stimulated demand for Glyoxylic Acid, a vital ingredient in various cosmetic formulations. However, prices dipped towards the end of the quarter as demand waned, and consumers had already stocked up on inventories. Throughout this period, the inflow of cargoes was smooth, with no major supply chain disruptions reported. By the end of the quarter, the price of Glyoxylic Acid 50% FOB Louisiana was USD 1,636, while the quarter-ending price of Glyoxylic Acid 50% FD Le Havre (France) was USD 4,111 per metric ton. These prices reflect the overall market dynamics of fluctuating demand and stable supply.
For the Quarter Ending March 2024
North America
The North American Glyoxylic Acid market exhibited optimistic market sentiments throughout the first quarter of 2024, primarily attributed to a surge in demand from downstream sectors such as cosmetics and haircare.
In January 2024, demand remained robust in the western market amidst New Year festivities; however, it tapered off as the month progressed. Conversely, consumers in the Asian market remained active during the last two months of the quarter, anticipating forthcoming Lunar New Year, Ramadan, and Easter festivities. Concurrently, demand from the personal and haircare segments also revived as the summer season approached.
Additionally, the festive atmosphere prevalent throughout the quarter resulted in a noticeable slowdown in operational efficiencies within manufacturing facilities, as personnel adjusted their work pace to align with celebratory events. Consequently, this operational deceleration added pressure to the already constrained supply of Glyoxylic Acid during the period. Overall, the North American Glyoxylic Acid market in the first quarter of 2024 demonstrated a positive pricing trend, with prices on the rise. The latest recorded quarter-ending price for Glyoxylic Acid in the USA stood at USD 1597 per metric ton.
APAC
The Asian Glyoxylic Acid market exhibited a volatile nature throughout the first quarter of 2024, with China and South Korea emerging as the most affected countries. Prices experienced a notable decline during the initial month of the quarter in the Asian market but saw subsequent increases throughout the quarter. In January 2024, demand for Glyoxylic Acid from the Asian cosmetics and haircare market remained subdued, with no new bids or inquiries observed during this period. However, demand from importing western countries was modest during the initial week of January, coinciding with New Year festivities, although it did not significantly impact Asian Glyoxylic Acid prices. Contrarily, prices surged significantly during February and March as anticipation for forthcoming Lunar New Year, Ramadan, and Easter festivities heightened. Concurrently, demand from the personal and haircare segments also revived as the summer season approached. Moreover, the festive atmosphere prevalent throughout the quarter resulted in a noticeable slowdown in operational efficiencies within manufacturing facilities, as personnel adjusted their work pace to align with celebratory events. Consequently, this operational deceleration added pressure to the already constrained supply of Glyoxylic Acid during the period. As of the latest available data, the quarter-ending price for Glyoxylic Acid (50%) Cost and Freight (CFR) at Busan in South Korea was recorded at USD 1259 per metric ton.
Europe
The European Glyoxylic Acid market displayed a volatile nature throughout the first quarter of 2024, with Germany and Italy emerging as the most affected countries. Prices witnessed a notable decline during the initial month of the quarter in the European market but experienced subsequent increases throughout the quarter. Demand for Glyoxylic Acid from western countries was modest during the initial week of January, coinciding with New Year festivities; however, it did not significantly impact Asian Glyoxylic Acid prices. Conversely, prices surged significantly during February and March as anticipation for forthcoming Lunar New Year, Ramadan, and Easter festivities heightened. Concurrently, demand from the personal and haircare segments also revived as the summer season approached. Moreover, the festive atmosphere prevalent throughout the quarter resulted in a noticeable slowdown in operational efficiencies within manufacturing facilities, as personnel adjusted their work pace to align with celebratory events. Consequently, this operational deceleration added pressure to the already constrained supply of Glyoxylic Acid during the period. As of the latest available data, the quarter-ending price for Glyoxylic Acid (50%) Cost and Freight (CFR) at Genoa in Italy was recorded at USD 3999 per metric ton.
For the Quarter Ending December 2023
North America
The North America Glyoxylic Acid market in the current quarter of 2023 presented a mixed scenario. Global product supply remained moderate, and demand from the cosmetics and personal care sector remained consistent.
The expected rise in feedstock Nitric Acid and upstream Ammonia prices impacted Glyoxylic Acid production costs, leading to fluctuating market prices. Prolonged drought conditions and persistent bottlenecks caused delays in exports from the USA via the Panama Canal, resulting in inventory accumulation within the country. However, the cosmetics and haircare industry's strong performance, in anticipation of the upcoming festive season, sustained demand from the international market, notably India. As November unfolded, prices began to decline with the waning of seasonal demand.
Persistent bottlenecks in the Panama Canal, exacerbated by prolonged drought conditions, led to delayed shipments and lengthy queues. Additionally, attacks in the Red Sea, a significant trade route, intensified the situation, raising ocean freight rates. In response, Maersk announced rerouting vessels away from Red Sea routes, choosing navigation around Africa's Cape of Good Hope, substantially increasing tonne-miles. These developments posed a multifaceted challenge for global trade, resulting in increased port inventories. The intricate interplay of these factors contributed to a narrowed gap between demand and supply, supporting the overall downturn in the market.
APAC
During the initial month of the fourth quarter of 2023, the Glyoxylic Acid market in the Asia Pacific region witnessed an increase. However, the market in this region adopted a predominantly bearish stance for the remainder of the quarter. In October 2023, Chinese Glyoxylic Acid prices experienced a marginal rise due to robust demand from both domestic and international cosmetics and haircare markets. Enquiries from the international market, particularly from India, remained strong, fuelled by the robust performance of the cosmetics and haircare industry in anticipation of the forthcoming festive season. As November unfolded, prices began to decline with the passing of seasonal demand for the material. Additionally, recent rebel attacks in the Red Sea introduced global trade uncertainties. Major shipping companies, such as Chinese Cosco and its subsidiary OOCL, along with Taiwanese Evergreen, temporarily suspended cargo transport along the Red Sea route – a crucial maritime pathway connecting Europe, Asia, and Africa. This disruption led to the rerouting of commodities through alternative channels, resulting in long queues and delayed shipments, ultimately causing a surge in port inventories. The intricate interplay of these factors contributed to a narrowed gap between demand and supply, consequently supporting the downturn in prices.
Europe
The European Glyoxylic Acid market experienced bullish trend for the initial two months of the fourth quarter of 2023. The expected rise in feedstock Nitric Acid and upstream Ammonia prices impacted Glyoxylic Acid production costs, leading to fluctuating market prices. Further, demand for European Glyoxylic Acid from the Indian and North American market was firm during this period amidst the forthcoming Diwali and New Year celebrations. As December unfolded prices begin to decline as the peak seasonal demand has passed. Further, the recent attacks on Red Sea trade by Yemeni rebels raised concerns about the safety of maritime traffic in the region, leading to disruptions in Red Sea trade that are expected to substantially impact global supplies of various commodities including Glyoxylic Acid. Shippers also imposed extra fees amid the trade disruption in the Red Sea, making Asian consumers hesitant to make bulk purchases. This has consequently led to a surge in inventories within the European market. The intricate interplay of these factors contributed to a narrowed gap between demand and supply, supporting the overall downturn in the market.
For the Quarter Ending September 2023
North America
Glyoxylic Acid prices in the North American region prevailed mixed sentiments throughout the third quarter. The prices increased during the initial month of the quarter; however, they declined marginally by 1.2% during August and September 2023. The increasing price of essential feedstock Nitric Acid, an upstream Natural Gas in the region, exerted upward cost pressure on Glyoxylic Acid prices during this period. Further, the elevated price was attributed to a tight supply of the material within the market and firm demand from the domestic and international markets. During July, seasonal demand from the domestic cosmetics sector drove the Glyoxylic Acid price in the USA market. However, in August and September, demand from the domestic market remained subdued, but the performance of downstream industries in international markets, particularly India and China, remained strong amidst the festive seasons. However, the traders were not able to fulfill the orders amidst drought conditions within the country during August 2023. The low water level in the Panama Canal led to delayed exports and stockpiled inventories within the country, leading to an eased price of the product within the country. Further, as per various market sources, amidst growing inflationary pressure and high-interest rates, a decline in new orders was observed during September 2023, supporting the easing price trend.
APAC
In the Asian Glyoxylic Acid market, there was an increasing trend observed during the first month of the quarter, but this was followed by a significant decline in prices by 1.2% during August and September 2023. Several factors played a role in this price fluctuation. The initially elevated prices were mainly attributed to a tight supply of the material within the market and strong demand from both domestic and international markets. In July, there was seasonal demand from the domestic cosmetics sector, which drove up Glyoxylic Acid prices in the USA market. However, during August and September, demand from the domestic market remained subdued. Conversely, the strong performance of the downstream industry in international markets, particularly in India, remained robust, especially during the festive seasons. It's worth noting that the Chinese government reduced exports due to rising inflationary pressures, which in turn led to stockpiled inventories within the country. The convergence of these factors resulted in a narrower gap between supply and demand, thereby supporting the prevailing price trend in the Asian Glyoxylic Acid market.
Europe
In the European Glyoxylic Acid market, the third quarter of 2023 began with an increasing trend in prices during the initial month, followed by a significant decline of 1.2% in August and September. Multiple factors contributed to this price fluctuation. The initial price elevation was primarily driven by a constrained supply of the material within the market and robust demand from both domestic and international markets. In July, there was seasonal demand in Italy and the U.K. from the cosmetics sector, which resulted in increased Glyoxylic Acid prices in the European market. Moreover, the holiday season in the region led to labor shortages and reduced production rates, causing a scarcity of the material in the market. These factors combined to widen the gap between demand and supply. However, during August and September, demand from the domestic market remained subdued. Increasing inflationary pressures and a global economic slowdown further weakened consumer purchasing enthusiasm in the European region, contributing to the declining prices observed during this period.
For the Quarter Ending June 2023
North America
The prices of Glyoxylic Acid have shown a declining trend throughout the second Quarter of 2023 in the North American region. The prices have declined by 2% from April to June in the USA on the back of declining prices of Nitric Acid, which is essential feedstock material for manufacturing Nitric Acid. In June, the FOB prices for Glyoxylic Acid settled at USD 1746/MT. Low buying enthusiasm from the downstream personal care and haircare industry and high operational expenses impacted the prices of Glyoxylic Acid in the market. Further, fewer exports to other importing counties like Canada, Mexico, Belgium, and France due to low water levels in the Mississippi River led to surplus availability of the material in the country. However, as indicated by the Federal Reserve of Economic Data, the Consumer Price Index of the USA has shown a marginal increase from 302.91 in April 2023 to 303.29 in May 2023, and the personal care index rose in May, but the Glyoxylic Acid market didn’t rebound. A potential shift towards inclining prices is expected in the coming months due to the increasing price of Nitric Acid and expensive imports overseas.
APAC
Considering the current prevailing market dynamics, the prices of Glyoxylic acid decreased throughout the second quarter of 2023. The prices have shown a dip of around 4.3% in China market on the back of diminished demand from the cosmetic and haircare industry and a decline in prices of feedstock Nitric Acid. In June, the FOB prices of Glyoxylic Acid settled at USD 1244/MT. Additionally, it has been recorded that exports from China had reduced at the end of May, leading to stockpiled inventories in the country. Low buying enthusiasm from the domestic and international markets and ample availability of the material in the market supported the prevailing price trend. Additionally, as indicated by the National Bureau of Statistics China, the Purchasing Manager Index is declining and has been recorded at 48.8 in May 2023 after a marginal decline of 0.8% from April but later rose to 49 in June, and the industrial growth rate declined from 5.6 in April 2023 to 3.5 in May 2023. However, due to economic rebound, prices are expected to show an inclining trend in the coming month.
Europe
Unlike the global market, the prices have shown an upward trajectory in the European market during the second quarter of 2023. The prices have increased in Belgium, France, and Italy by a significant margin on the back of increased demand from the downstream cosmetic and haircare industry. The FD Antwerp prices had settled at USD 3083/MT in June 2023 in Belgium, and Retail FD Le Havre prices in June settled at USD 4046/MT in France. Further, disruption in supply chains and increased demand from importing European countries have also impacted the price. Overall, the Glyoxylic Acid market remained bullish in Europe, driven by high buying enthusiasm from the end-user market. Further, the shortage in supply and increased procurement orders from domestic and international markets paved the way for the widened demand-supply gap. As indicated by Eurostat, the Industrial Production Index has decreased to 120.1 in May 2023 in Belgium and to 100.8 in April 2023 in Italy. However, this decline has not impacted the prices of Glyoxylic Acid in the European Market.
For the Quarter Ending March 2023
North America
Glyoxylic acid prices declined in the US market during the first quarter of 2023 due to weak demand from downstream sectors. Weak downstream demand and high operational expenses have an impact on Glyoxylic Acid pricing. Additionally, the demand for cosmetics remained subpar in the first quarter of 2023. Supplies of Glyoxylic Acid in the local market remained scarce and limited in the regional market. Additionally, upstream measurements first dropped before staying constant for the rest of the quarter. Furthermore, trade-in items made with Glyoxal continue to fall despite efforts to control the supply-demand balance by reducing production rates. The large stock levels in the US meant that there was not much of a market for further spot cargoes.
Asia
Prices for Glyoxylic Acid fluctuated in South Korea, China, and India during the first quarter of 2023, with variable results. Upstream Natural gas supplies were plentiful, and India's nitrogen market operated at a slow pace, which helped to maintain beneficial domestic nitrogen output. Additionally, the quantity of Glyoxylic Acid inventories remained constant. The ongoing increase in energy prices had a favorable effect on operating costs. As the costs of downstream cosmetics declined initially and then again, the downstream demand for Glyoxylic Acid remained inconsistent. Therefore, the falling downstream costs contributed to the price stability of Glyoxylic Acid.
Europe
In Q1 2023, the price of Glyoxylic Acid dropped significantly once more. The product's final price was heavily influenced by the global supply disruptions brought on by persistent shipping problems. The asking price for Glyoxylic Acid has decreased in the meantime due to the negligible inquiries from the cosmetic industries. In March, Glyoxylic Acid costs were estimated at USD 3888 per MT on a CFR basis. Prices have dropped by more than 5% since the start of the first quarter due to the continuous instability in global sectors brought on by rising inflation. The improved availability of commodities, especially feedstock Nitric Acid supply, led to a slight easing of pricing pressures in Germany during Q1 2023. Reduced downstream demand is undoubtedly concerning, but fewer issues with the European supply chain have helped to hold back the price decline in the local German market.
For the Quarter Ending December 2022
North America
Glyoxylic Acid prices decreased in the American market at the end of the fourth quarter of 2022, following a price rise at the start of the quarter. At the beginning of Q4, the prices rose on the back of rising upstream nitric Acid costs. The exports from China were disrupted as a result of covid restrictions at major ports of key provinces, which contributed to the rise in Glyoxylic Acid prices in the US at the start of Q4 2022. The price of Glyoxylic Acid declined to the end of Q4 2022 and was recorded at roughly USD 1823/MT in the American market.
APAC
In the Indian market, Glyoxylic Acid prices decreased at the end of the final quarter of 2022 after rising for the previous months of the quarter due to the increasing cost of upstream Nitric Acid in the Chinese market. China exports Glyoxylic Acid to several markets in Asia, dictating the pricing trend movements in Asian markets. After mid-November, the Glyoxylic Acid in the Indian market and the Chinese market dropped due to poor demand caused by the weak economic condition in Asian markets. Similar circumstances in China and India were seen in South Korea during Q4 2022. Glyoxylic Acid price in China at the end of Q4 2022 was recorded at around USD 1352/MT.
Europe
The final quarter of 2022 witnessed an increase in the price of Glyoxylic Acid in the European market due to supply problems brought on by various restrictions in China's key port cities as a result of containment measures for Covid-19 cases. For the majority of their needs in Glyoxylic Acid, several European markets, including Italian and Belgian markets, depend on China. Throughout Q4 2022, the consistent price hike of upstream Nitric Acid contributed to the rising price trend of Glyoxylic Acid in European markets. The price of Glyoxylic Acid in European markets (German market) during the end of Q4 2022 was recorded at roughly USD 3835/MT.
For the Quarter Ending September 2022
North America
The price of Glyoxylic acid in the North American market rose during the end of the third quarter of 2022, despite witnessing a declining price trend during the start of Q3 2022. High inflation rates affected the buying sentiments during the start of Q3. The supply disruption of the exports from China owing to the covid restriction in significant port cities during later October of 2022 abetted the rising trend of Glyoxylic Acid prices in the US in Q3 2022. The constant demand from the downstream textile sector for dyeing and the downstream agricultural sector for agrochemicals assisted in the increasing price hike of Glyoxylic Acid during the end of Q3 2022 and was recorded at around USD 1750/MT.
APAC
In the Indian market, the prices of Glyoxylic Acid dropped during the start of Q3 2022 and rose throughout the rest of the third quarter of 2022 on the back of solid demand from the downstream cosmetics industry. India relies on China for almost 80% of its Glyoxylic acid requirements. The supply disruption caused by the various restrictions on major Chinese port cities due to restrictions imposed to curb covid-19 cases during mid-August abetted the rising trend of Glyoxylic acid in the Indian market during the same time period. The South Korean market witnessed a similar situation to the Indian market. Covid -19 restrictions disrupted the supply in China and raised the price in the South Korean market during the mid-third quarter of 2022, and the prices in China were recorded at USD 1339/MT at the end of Q3 2022.
Europe
Several European markets rely on China for a majority of their Glyoxylic acid needs in (Italian and Belgian) markets. The Supply disruptions caused by various restrictions in China's major port cities due to containment restrictions on Covid-19 cases supported the upward trend in glyoxylic acid in the European market during the end of the third quarter of 2022. The steady demand from the cosmetics sector of Europe aided the increasing price trend of Glyoxylic acid prices in European markets during Q3 2022. High production costs owing to the energy crisis in Europe contributed to the price hike in Glyoxylic manufacturing in European markets like the German market during Q3 2022 and was recorded at around USD 3444/MT.
