Acetaldehyde Prices, News, Demand & Supply | ChemAnalyst
Throughout the fourth quarter of 2023, Acetaldehyde prices in the US market have undergone a bearish trend. The influence of cost pressures from Ethanol, a key feedstock, remained limited on Acetaldehyde as its prices remained subdued throughout the quarter. In terms of demand, inquiries from the preservative industry were lackluster, with few instances of new orders reported by market participants. Consumption of preservatives from the end-user food and beverages sector slowed down due to decreased demand during the null season, thereby exerting downward pressure on Acetaldehyde prices in the domestic market. Furthermore, macroeconomic challenges such as persistent inflationary pressure and high-interest rates further diminished the purchasing power of end-users.
Similarly, demand from overseas markets weakened in recent months due to ongoing macroeconomic challenges restraining consumer spending. Additionally, US Acetaldehyde producers encountered difficulties in raising export prices as buyers found them difficult to accept, resulting in prices operating at a low level.
On the production front, manufacturing firms operated at reduced rates due to the sluggish recovery of demand from the downstream industry. However, material availability remained sufficient to meet overall downstream demand. Since the beginning of Q4, the US manufacturing purchasing manager index has consistently remained in the contraction zone, indicating a deterioration in new orders and output. Additionally, the turmoil in the Red Sea and the prolonged drought in the Panama Canal had minimal impact on Acetaldehyde supply.
Track Real Time Acetaldehyde Prices: https://www.chemanalyst.com/Pricing-data/acetaldehyde-1124
The European Acetaldehyde market exhibited a fluctuating pattern during the fourth quarter of 2024. In October 2023, Acetaldehyde prices experienced a slight increase in the Spanish market. This uptick was propelled by heightened demand from the downstream preservative industry, fueled by improved consumption in the domestic food and beverages sector. Consequently, manufacturers held bullish market sentiments towards Acetaldehyde. Additionally, imports from Germany and other exporting markets became more expensive, contributing to higher imported prices of Acetaldehyde in the Spanish domestic market.
However, in November 2023, Acetaldehyde prices unexpectedly decreased in the domestic market. This decline was primarily attributed to weak demand from the food and beverages industry. The tepid demand continued to exert pressure on sellers, as buyers either made limited purchases as needed or adopted a wait-and-see approach in anticipation of further price declines. Moreover, ample material availability met overall downstream demand, leading to a decrease in Acetaldehyde prices across the domestic market.
Nevertheless, demand for Acetaldehyde from the food and beverages industry rebounded during the festive season in December 2023. Consequently, traders raised Acetaldehyde prices to enhance profit margins. Despite sufficient levels of finished stock, their presence had minimal impact on Acetaldehyde prices in the domestic market.
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