For the Quarter Ending March 2025
North America
In Q1 2025, the U.S. pharmaceutical-grade zinc powder market experienced a sustained downward pricing trend, reflecting prolonged oversupply conditions and restrained procurement activity. Prices opened January at USD 3,375 per MT CFR California and declined progressively through the quarter. Ample inventory accumulation in late 2024, driven by pre-tariff stocking ahead of anticipated trade policy shifts, contributed to the high availability that weighed on prices throughout the period.
January saw steady depreciation. Weakened export offers from China, limited domestic purchasing interest, and high warehouse stocks defined the bearish sentiment. The Lunar New Year holidays in China amplified supply chain caution, with U.S. buyers anticipating shipment delays while maintaining conservative purchasing strategies. February prices stabilized briefly, with a marginal increase to USD 3,365 per MT mid-month, supported by resumed Chinese operations and stable pharmaceutical offtake. However, by late February, values resumed their decline, amid softened demand and consistent inventory levels.
March deepened the price correction, with spot rates falling sharply by quarter-end. The continued drop was driven by surplus global supply, competitive Asian offers, falling freight costs, and subdued consumption in both pharmaceutical and nutritional supplement sectors. Despite the introduction of new import tariffs and rising geopolitical uncertainty, the U.S. zinc powder market closed Q1 with bearish momentum, shaped by high availability, weak downstream demand, and strategic inventory drawdowns.
Asia Pacific
In the first quarter of 2025, the Indonesian pharma-grade zinc powder market exhibited notable price fluctuations, shaped by shifting supply-demand dynamics, inventory conditions, and broader macroeconomic trends. Prices opened the quarter at USD 3,100 per MT FOB Surabaya in early January and remained stable through the month as producers maintained steady output levels amid balanced domestic consumption and regular procurement from pharmaceutical manufacturers. The supply chain operated efficiently, and stable operational costs supported consistent selling prices.
In February, prices showed a mixed trend, initially rising before undergoing a gradual decline throughout the rest of the month. Tightened inventories and stable downstream demand supported the early-February uptick. However, subdued global pharmaceutical procurement, oversupply conditions, and cautious inventory management by buyers placed downward pressure on values in the latter half of the month, with prices easing by month-end. Weakened international demand and competitive pricing strategies contributed to this bearish shift.
March began with a continuation of the downward momentum, as excess inventories persisted, and buyer sentiment remained conservative. However, by the end of March, the market reversed course with a moderate recovery. Strengthening domestic zinc prices, improving demand signals, and a rise in export enquiries supported renewed bullish sentiment. The rebound was further underpinned by consistent production output and balanced inventory positions, signaling cautious optimism heading into Q2 2025.
Europe
The German pharma-grade Zinc powder market experienced fluctuating price movements throughout Q1 2025, shaped by evolving supply dynamics, industrial activity levels, and broader macroeconomic influences. In January, prices reflected firm sentiment as buyers looked to secure early-quarter inventories amid anticipated logistical slowdowns tied to the Lunar New Year period in Asia. Stable offtake from pharmaceutical manufacturers, combined with tight vessel space and elevated freight rates, influenced early-quarter pricing behavior.
February brought a shift in market tone as stock availability improved and import flows stabilized. Many buyers slowed procurement due to adequate on-hand inventories, while a modest decline in logistics costs helped ease pressure on overall landed costs. Fluctuations in currency exchange rates, particularly the weakening euro against the U.S. dollar, continued to impact import economics and purchasing strategies. Pharmaceutical production remained steady, but cautious sentiment prevailed amid signs of economic softness across the Eurozone.
By March, prices showed further variability, largely due to softer demand signals and declining international offers from key exporting countries. Weaker activity in some downstream sectors and ongoing uncertainties in global trade dynamics weighed on procurement decisions. Despite some logistical relief and normalized shipping schedules, the market remained subdued under the weight of ample inventory and conservative purchasing. Over the quarter, the German pharma-grade Zinc powder market navigated through a transition from early-quarter firmness to more restrained conditions, driven by changing cost structures and moderated demand.
For the Quarter Ending December 2024
North America
During Q4 2024, the pharma grade zinc powder market in North America demonstrated significant price volatility. October witnessed sharp upward price movement, driven by tight supply conditions and strong demand from pharmaceutical manufacturers with values settling at $3385 per MT CFR California. Buyers accelerated their procurement activities amid supply concerns and rising production costs. Several manufacturers reported limited spot availability, while robust demand from drug formulators created substantial upward pressure on prices.
November marked a shift in market sentiment as prices began declining. Supply chains showed improvement while demand from pharmaceutical manufacturers moderated. Buyers adopted a more cautious approach, leading to reduced procurement volumes and downward price pressure across the region. Multiple distributors reported improving inventory positions, allowing more room for price negotiations. The market witnessed slower trading activity as end-users adjusted their buying patterns in response to the softer price trend.
December continued the downward trajectory as market fundamentals remained bearish. Domestic suppliers faced pressure to reduce prices amid improving supply conditions and weakening demand from pharmaceutical manufacturers. The market's declining momentum persisted through year-end, with buyers maintaining minimal procurement volumes. Several key manufacturers reported adequate supply conditions despite reduced production rates. The combination of sufficient inventories and moderate demand continued to exert downward pressure on prices through the quarter's end.
APAC
In Q4 2024, pharma grade zinc powder prices in APAC markets showed distinct trends. October registered substantial price increases as manufacturers raised their offers amid strong domestic and international pharmaceutical demand. Producers cited higher production costs and energy expenses, while robust inquiries from drug manufacturers supported the bullish sentiment. The market witnessed active trading as buyers rushed to secure volumes.
November initiated a downward price correction as market fundamentals softened. Manufacturers adjusted their pricing strategies downward and stopped giving quotations amid moderating demand and improving supply availability. Regional trading activity slowed as buyers adopted a wait-and-watch approach, leading to price concessions from suppliers. Several facilities reported building inventory positions, while export inquiries showed signs of weakening. The competitive market environment forced producers to offer more favorable terms.
December saw continued price weakness as suppliers struggled to maintain price levels. Export prices remained under pressure, affected by sluggish inquiry levels from international markets. The domestic market showed no signs of recovery as local pharmaceutical manufacturers reduced their procurement volumes. Major producers reported adequate supply despite lower operating rates, while logistics operations remained smooth throughout the month.
Europe
In Q4 2024, pharma grade zinc powder prices in Germany and broader European markets followed similar patterns. October began with sharp upward price movement as buyers faced higher offers from manufacturers amid tight supply conditions. European producers increased prices citing rising production costs and strong pharmaceutical sector demand. The market witnessed active trading as distributors sought to secure volumes amid concerns over further price increases.
November marked the beginning of a downward trend as market conditions eased. Buyers leveraged improving supply availability to negotiate lower prices. The market witnessed decreased trading activity as distributors managed existing inventories cautiously. Several buyers reported improving stock positions, allowing them to resist higher price offers. Import volumes remained steady, providing additional options for European buyers and contributing to the softer market sentiment.
December's market dynamics maintained their bearish trend as European distributors faced continued price pressure. While pharmaceutical sector consumption remained stable, oversupply conditions led to further price declines through quarter-end. Year-end activities provided little support to the market, with several key buyers reducing their procurement volumes. Manufacturers reported adequate operations despite lower production rates, while logistics activities continued smoothly through the holiday season.
For the Quarter Ending September 2024
North America
The pharmaceutical grade zinc powder market in North America demonstrated notable momentum during Q3 2024, with the United States manifesting as the key center of market fluctuations. Price negotiations appreciated from $3050/MT to $3200/MT CFR California throughout July to September 2024. This market evolution reflects an intricate interplay of industry variables and broader economic indicators.
Enhanced consumption patterns from domestic pharmaceutical, nutraceutical, and personal care industries emerged as principal market drivers, while logistical impediments created supply-side pressures. The market exhibited exceptional adaptability despite facing multiple operational challenges, including maritime congestion, heightened shipping expenses, and ongoing distribution network disruptions. The situation was further intensified by price fluctuations in China's market, a dominant pharmaceutical grade zinc powder supplier, generating cascading effects across the American pharmaceutical sector.
The steady price strengthening, marked by a $340/MT gain across the quarter, reflects robust market fundamentals and sustained developmental impetus. This trajectory resonates with broader regional patterns, demonstrating the North American pharmaceutical grade zinc powder market's inherent stability despite ongoing supply chain impediments. The synthesis of amplified regional demand, worldwide supply mechanics, and logistical hurdles has engineered a sophisticated yet fundamentally robust pricing landscape.
APAC
The pharmaceutical grade zinc powder landscape in Asia-Pacific exhibited remarkable pricing dynamics in Q3 2024, marked by a distinctive upward movement. The market demonstrated notable price progression, with export valuations advancing from $2780/MT to $3095/MT EXW Shanghai between July and September 2024.
This market strengthening was supported by diverse operational factors and market fundamentals. Enhancement demand dynamics were characterized by consistent procurement from pharmaceutical and supplement manufacturers, while supply elements were influenced by mounting production expenditures, including raw material costs and operational overheads. The confluence of increased production capacity and logistical constraints, especially port bottlenecks, generated supply-demand disparities supporting price appreciation.
Market resilience was evidenced through sustained buyer engagement and consistent order patterns. These demand indicators, combined with operational hurdles including freight expenses and supply chain intricacies, enabled industry participants to sustain healthy margins. China's domestic market remained instrumental in establishing regional price trends, influenced by both international procurement patterns and domestic consumption dynamics. The relationship between production capabilities and logistical impediments reinforced the market's upward trajectory.
Europe
The European pharmaceutical grade zinc powder market demonstrated significant upward momentum throughout Q3 2024, with Germany's market serving as the region's primary price indicator. The quarter witnessed sustained price appreciation, reflecting evolving market dynamics and strengthening fundamentals across the European landscape.
Supply constraints emerged as a crucial market driver, particularly from Asian manufacturing hubs, where production limitations and logistics challenges created availability pressures. These supply-side dynamics, coupled with robust regional demand, fostered an environment conducive to price appreciation. The pharmaceutical and supplement sectors maintained steady procurement patterns, providing consistent market support. Germany's market trends established reliable benchmarks for broader European pricing dynamics, with clear seasonal patterns emerging across major trading hubs. The market's upward trajectory persisted despite operational hurdles, highlighting the sector's underlying strength. Other key European markets, including France and Italy, demonstrated strong price correlations with German movements.
The interplay between tightening supply conditions, steady sectoral demand, and regional market forces created a robust pricing environment. This convergence of factors supported sustained market development while maintaining fundamental equilibrium across the European region.
For the Quarter Ending June 2024
North America
In Q2 2024, the Zinc market in North America experienced a consistent decline in prices, largely driven by several significant factors. Market saturation, aggressive pricing strategies by producers, and lackluster demand from downstream industries have collectively exerted downward pressure on Zinc prices. Disruptions in global trade and increased freight costs have further compounded the supply chain challenges, contributing to bearish market sentiment. Moreover, substantial inventory reserves and reduced international prices facilitated more economical imports, exacerbating the price decline.
Focusing on the USA, where the most notable price changes occurred, the overall trend has been markedly negative. The market's seasonal dynamics and the correlation between lower demand and excessive supply have perpetuated a cycle of decreasing prices. Compared to Q1 2024, the prices dropped by 10%, underscoring a persistent downward trend within the year.
By the end of Q2 2024, the price of Pharma Grade Zinc Powder CFR California settled at USD 3000 per metric ton. This ongoing decline highlights the challenging pricing environment, characterized by negative sentiment and limited prospects for immediate recovery. The continuous price reductions point to a highly competitive and strained market, where the balance between supply and demand remains precarious.
APAC
In Q2 2024, the Zinc market in the APAC region has been characterized by a consistent decline in prices, driven by several critical factors. The quarter experienced a notable decrease in overall demand, both domestically and internationally, exacerbated by ample supply conditions and heightened production levels despite tepid market interest. These conditions created an oversupply scenario, further pressuring prices downward. Additionally, disruptions in global logistics and elevated shipping costs have compounded market challenges, making it difficult for buyers to commit to large orders amidst economic uncertainties. The culmination of these factors has painted a bleak picture for the zinc market throughout the quarter.
Focusing on China, which has seen the most significant price changes within the APAC region, the overall trends mirrored those observed regionally but with more pronounced effects. The price of Zinc Powder (Pharma Grade) FOB Qingdao concluded the quarter at USD 2740/MT, reflecting a negative sentiment in the pricing environment. Seasonality factors and supply-demand imbalances played a pivotal role in these changes. The first half of the quarter saw a steeper decline compared to the latter half, marking an overall 8% reduction within the quarter, indicating a persistent negative trend.
In summary, the pricing environment for Zinc in Q2 2024 has been overwhelmingly negative, with consistent downward pressure on prices due to oversupply, weak demand, and logistical challenges. The market sentiment remains pessimistic, highlighting the ongoing struggles within the industry to balance supply and demand effectively.
Europe
The pharma grade zinc powder market in Europe largely mirrored the dynamics of both Chinese and the US market in Q2 2024, experiencing a notable downtrend driven by several critical factors. The quarter was characterized by a confluence of declining demand from key sectors such as pharmaceuticals and nutraceuticals, coupled with hampered supply chain conditions. The availability of zinc powder stockpiles, especially from major Asian exporters, led to competitive pricing pressures. Additionally, the easing of global trade disruptions and reduced freight costs this quarter contributed to the downward price adjustments. Economic factors, including a slight recovery in inflation and improved consumer confidence, partially offset the downward momentum but were not sufficient to reverse the overall trend.
Germany, the epicenter of the price volatility, saw a significant shift in its pharmaceutical grade zinc powder market. Seasonal factors, such as fluctuating demand patterns and ample inventory levels, exacerbated the price decrease. The pricing environment in Q2 2024 reflected a predominantly negative sentiment, driven by an overabundance of supply and stabilizing trade conditions, overshadowing any minor demand recovery.
This downturn was further influenced by the easing of supply chain bottlenecks that had previously constrained the market. As logistics improved and production capabilities expanded, the increased availability of pharmaceutical grade zinc powder intensified competition among suppliers. The quarter also saw shifts in industrial demand, with changing manufacturing needs and potentially reduced usage in certain pharmaceutical applications contributing to the softer demand.
The market dynamics observed during this period had varying impacts across the industry. While challenging for zinc powder suppliers, the lower prices potentially benefited pharmaceutical manufacturers and other downstream industries relying on zinc powder as an input. However, the prolonged price pressure raised questions about its long-term impact on research and development investments in the zinc processing sector.
Overall, Q2 2024 marked a period of significant adjustment in the European pharmaceutical grade zinc powder market, with the interplay of supply, demand, and broader economic factors resulting in a notably bearish quarter for the industry.
