For the Quarter Ending December 2024
North America
In Q4 2024, the U.S. Sodium Silicate market experienced continued price declines, driven by weak demand from the downstream construction and cement sectors. October saw a 2.8% price drop, as the U.S. cement sector faced slow sales due to adverse weather conditions and reduced demand. Cement manufacturers, such as Cemex, reported a decline in earnings, reflecting subdued market conditions. The ongoing slowdown in the manufacturing sector further dampened the demand for Sodium Silicate, with several consecutive months of weak orders impacting overall market activity.
In November, prices dropped by another 2.9%, mainly due to an influx of cheaper imports from China, compounded by declining global freight rates. The U.S. cement sector significantly reduced procurement activity, anticipating lower production levels. The price of Sodium Silicate was further pressured by reduced domestic consumption in China, which lowered global quotation values.
December marked an uptick in Sodium Silicate prices, fueled by higher import costs driven by significantly increased ocean freight rates. Despite this, demand from downstream sectors, including construction and ceramics, remained moderate. The construction sector showed steady activity but without significant growth, leading to minimal changes in Sodium Silicate consumption.
APAC
In Q4 2024, Sodium Silicate prices in China remained relatively stable, despite varying demand dynamics across different sectors. The construction sector continued to face challenges, with reduced investment and slower growth affecting consumption of Sodium Silicate, primarily used in cement and construction materials. As infrastructure projects and property sales lagged, domestic demand weakened, and exports saw limited recovery due to sluggish demand from other Asian markets.
In October, supply remained sufficient, but with subdued domestic demand, traders lowered prices to stimulate local sales. The supply-demand imbalance continued into November, with the construction sector’s weak performance and slower infrastructure investment. Manufacturing activity showed modest improvement, but export orders continued to contract. The drop in container freight rates further impacted international demand.
By December, while domestic demand showed signs of stabilization due to supportive policies, external demand remained weak, limiting export growth. China’s manufacturing sector also began to recover, driven by year-end consumer demand, providing some positive momentum to the economy. The construction sector saw a slight recovery, as reflected in the rise of the non-manufacturing PMI, indicating a potential for gradual recovery in early 2025.
Europe
In Q4 2024, the Sodium Silicate market in Europe continued to face challenges, with prices declining due to weak demand, particularly in the construction and cement sectors. The European market saw a 1.8% price drop in October, driven by ongoing economic and political uncertainties, which suppressed demand. The Eurozone construction sector remained under pressure, with reduced activity in commercial, civil engineering, and residential projects, particularly in major economies like Germany and France. This decline in construction activity contributed to a contraction in new orders and overall investment sentiment. Throughout November, Sodium Silicate prices fell by another 0.8%, reflecting a continued drop in construction activity and reduced cement sector consumption. Manufacturers reduced operating rates as inventory levels remained steady, but demand remained weak due to political and economic instability. In December, the market saw a significant downturn, as Germany’s construction sector entered a deeper recession, marking the largest decline in eight months. The overall demand for Sodium Silicate remained low, exacerbated by seasonal slowdowns and ongoing geopolitical uncertainty. Despite these challenges, supply remained stable, with manufacturers maintaining steady production rates. However, growing inventories without a proportional rise in demand led to an oversupply, further putting downward pressure on prices. The market outlook for early 2025 remains cautious, with ongoing uncertainty affecting demand across key sectors.
For the Quarter Ending September 2024
North America
In Q3 2024, the North American Sodium Silicate market saw a consistent increase in prices, particularly in the USA, which was most significantly affected. This surge was driven by several factors, including supply chain disruptions from plant shutdowns at Occidental Chemical Corporation (OxyChem) in Texas and Alabama due to hurricanes. These shutdowns led to supply constraints that impacted pricing dynamics. Additionally, rising global freight rates and container shortages contributed to increased costs for materials.
Despite these challenges, the region also experienced increased construction activity and job growth, which influenced the pricing trend positively compared to the previous quarter. The supply of Sodium Silicate in the US market remained moderate, with merchants holding sufficient inventory to meet domestic demand. Overall, the quarter recorded a 6.5% increase in prices.
By the end of the quarter, the price for Sodium Silicate Glass CFR New York in the USA reached USD 470/MT, reflecting the overall trends in the market. This figure highlights the ongoing impact of both localized disruptions and broader market dynamics on pricing trends in the sodium silicate sector.
APAC
In the third quarter of 2024, Sodium Silicate prices in the APAC region remained stable, particularly in China, where the market demonstrated a consistent pricing trend. Several factors contributed to this stability. Various factors have influenced market prices. The Chinese Sodium Silicate market continued its stable trend driven by sluggish demand in the construction sector and persistent supply challenges exacerbated by port congestion. The slowdown in factory activity has intensified economic strain, particularly amidst a prolonged property sector crisis. Downstream construction units primarily engaged in on-demand purchasing, with speculative market demand weakening and resulting in sluggish shipments The quarter-ending price for Sodium Silicate Glass, FOB Qingdao in China stood at USD 295/MT. Seasonality and correlation in price changes have played a crucial role in maintaining stability in the pricing environment. Despite disruptions like plant shutdowns, such as the one Qingdao Haiwan Chemical Co., Ltd. in China, the market has remained stable. Overall, the pricing trend has been balanced, with no significant positive or negative shifts observed throughout the quarter.
Europe
In Q3 2024, the European Sodium Silicate market witnessed a significant decrease in prices, with Netherlands experiencing the most notable price changes. The overall trend in the region was characterized by decreasing prices, driven by reduced demand from the construction and glass sectors. Across Europe, prices also fell due to the availability of cheaper imported materials and sluggish downstream demand. The Eurozone construction industry remains under pressure, with September reporting a continued decrease in housing activity, significantly dampening demand for Sodium Silicate. Escalating global logistics costs, stemming from disruptions in the Red Sea region, played a significant role in the pricing dynamics. The conflict in the Red Sea led to port congestion, equipment shortages, and higher operational costs, impacting supply chains and leading to price surges. Netherlands, in particular, saw prices decline by 11% from the previous quarter. The market also experienced disruption due to plant shutdowns in Poland and Romania, affecting production and supply. The quarter-ending price for Sodium Silicate Glass FOB Rotterdam in Netherlands stood at USD 254/MT, reflecting the overall negative pricing environment in the region during Q3 2024.
For the Quarter Ending June 2024
North America
In Q2 2024, the North American Sodium Silicate market experienced a significant upward trend after declining in the first month of the quarter, marked by several influential factors. This quarter saw heightened construction activity, which played a pivotal role in driving up demand for Sodium Silicate. An increase in freight rates emphasized the cost of imported materials, further exacerbating the pricing scenario. The general market sentiment reflected a tightening of vessel space availability, contributing to elevated freight charges. Strong purchasing sentiments and robust downstream construction activities provided additional upward pressure on prices. Furthermore, there were no notable disruptions or plant shutdowns recorded during this period, ensuring an uninterrupted supply that could not, however, curb the rising prices.
Focusing on the USA, the country witnessed the most pronounced price changes within the region. Seasonality played a crucial role, with significant price hikes observed due to the traditional peak in construction activities during this quarter. The correlation in price changes was evident with broader economic indicators showing an increase in construction employment and a reduction in the construction unemployment rate.
Conclusively, the pricing environment for Sodium Silicate in Q2 2024 has been decidedly positive, culminating in a quarter-ending price surge of 9% for Sodium Silicate glass grade CFR New York. The consistent rise in prices underscores the strong demand dynamics and the influence of external cost factors shaping the market.
APAC
In Q2 2024, the Sodium Silicate market in the APAC region experienced a pronounced increase in prices, driven by several key factors. A significant rise in global freight rates and tight vessel space availability have elevated the overall cost of imports, contributing notably to the upward price trend. Additionally, increased raw material costs and currency fluctuations have compounded the issue, leading to higher production expenses for manufacturers. The construction sector, a primary consumer of Sodium Silicate, saw renewed vigor, which further bolstered demand and prices. Despite moderate supply levels and no major plant shutdowns recorded during this period, delivery times lengthened slightly due to geopolitical challenges and goods shortages, further straining the supply chain.
Japan has seen the most substantial price changes in the region. The country exhibited significant seasonal price fluctuations, with demand peaking during the quarter, driven by robust construction activity and a rebound in cement production. The overall trend has been markedly bullish, with prices demonstrating a consistent rise. The price elevation for Sodium Silicate Glass CFR Osaka in Japan was 5% in May and the product cost remained stable for June, reflecting a positive pricing environment driven by heightened demand and constrained supply.
Europe
In Q2 2024, the European Sodium Silicate market experienced a steady price increase by quarter end, however, declined in April driven by a combination of factors. The overall positive pricing environment was influenced by heightened infrastructure spending, a mild rebound in housing activities, and government initiatives aimed at promoting construction. Despite lingering economic challenges, the moderately increased demand for construction materials led to an uptick in Sodium Silicate prices. Improved supplier delivery times and the increased availability of subcontractors also contributed to stabilizing the market, helping to mitigate any potential supply chain disruptions The German market reflected an overarching trend of cautious optimism, driven by a seasonal uptick in construction activities during the warmer months. The market also benefitted from restocking efforts by merchants, which temporarily boosted demand. Moreover, the regulatory environment, though stringent, facilitated a clearer pathway for construction projects, thereby supporting increased consumption of Sodium Silicate. The quarter concluded with Sodium Silicate Glass FOB Rotterdam in the Netherlands surged by 1.6% in June 2024, affirming that the pricing environment, while marked by cautious sentiment, remained fundamentally stable and incrementally positive. Notably, there were no significant disruptions or plant shutdowns reported during the quarter, ensuring a consistent supply and further supporting the upward pricing trajectory.
For the Quarter Ending March 2024
North America
In Q1 2024, the Sodium Silicate pricing dynamics in the North America region were influenced by various factors beyond the conventional top three. The overall trend in the market was mixed, with fluctuations in pricing observed in the USA, where the market is most pronounced. The seasonality of the market played a role in price changes, with the winter months typically experiencing supply disruptions and higher freight costs due to extreme weather conditions. Additionally, the correlation between Sodium Silicate prices and other construction materials impacted the market, as higher prices of other materials led to reduced demand for construction services and subsequently affected Sodium Silicate demand.
Compared to the same quarter last year, the year-over-year price change for Sodium Silicate in Q1 2024 was a decrease of USD 10/MT. This decrease can be attributed to various factors, including lower domestic demand, cheaper imports from overseas markets, and higher prices of other construction materials.
Considering the final quarter's price for Sodium Silicate Glass CFR New York in the USA, which is USD 460/MT, it can be concluded that the market experienced a decline in prices compared to the previous quarter. This decrease can be attributed to the aforementioned factors, including lower demand and the availability of cheaper imports.
APAC
In the APAC region, the Sodium Silicate market witnessed varied pricing dynamics in Q1 2024. While the overall trend suggests a sluggish market, it is important to consider multiple factors beyond the conventional top influences. The market situation in Japan, where the price fluctuations were most pronounced, played a significant role in shaping the overall pricing dynamics. The construction sector in Japan experienced a decline in new orders, leading to subdued demand for Sodium Silicate. Additionally, the volatile performance of the construction sector, coupled with delayed projects such as the World Expo 2025 pavilions in Osaka, further impacted the demand and pricing. The availability of Sodium Silicate in the market remained moderate, with ample supply from other Asian markets. However, geopolitical uncertainties in the Middle East and Europe, along with shipping delays due to disruptions in the Red Sea and the impact of the Noto earthquake, affected the supply chain. In terms of price comparison, there was a significant decrease in prices compared to the same quarter last year, reflecting the challenging market conditions. The final quarter's price for Sodium Silicate Glass CFR Osaka in Japan stood at USD 320/MT.
Europe
In Q1 2024, the pricing dynamics of Sodium Silicate in the European region were influenced by multiple factors beyond the conventional top three. Despite a slowdown in downstream construction activities, the price of Sodium Silicate showed a mixed trend due to limited product availability. The disruptions in the ocean route affected the raw materials inventory, leading to delayed deliveries, increased purchasing costs, and production disruptions. The construction industry in the European market remained subdued, with a lack of new projects and hesitancy among consumers to spend money. The Dutch construction sector faced a challenging month in February, with a sharp decline in activity levels and cutbacks in employment and input purchasing. The pricing trend in the Netherlands was most pronounced, with a bearish pattern in Q1 2024. EUROSTAT reported a construction confidence indicator of -19.80% in March 2024, indicating a lack of optimism. However, the final quarter's price for Sodium Silicate Glass FOB Rotterdam in the Netherlands was USD 310/MT.
