Prices of Benzoic Acid Exp (pharmaceutical excipient grade) continued falling in May 2025, following a prolonged slide that began at the latter end of the first quarter of 2025. The Benzoic Acid Exp market has continued to bear the brunt of weak downstream demand, high inventory levels, and soft trade activity in major consuming industries like pharmaceuticals, food preservation, and personal care formulations.

From the production side, major Benzoic Acid Exp manufacturing hubs such as China, India, and certain Southeast Asian regions reported significantly overstocked inventories, with overproduction during Q1 and into early Q2. Producers responded by strategically reducing output and operating at lower utilization rates to balance the Benzoic Acid Exp supply. Nevertheless, elevated stockpiles continue to exert downward pressure on global FOB Benzoic Acid Exp prices.

On the demand side, international buyers of Benzoic Acid Exp have adopted a defensive procurement strategy, sourcing it only on a need basis due to expectations of further price declines. The pharmaceutical sector—one of the largest consumers of Benzoic Acid Exp as an excipient—has seen underwhelming restocking trends amid surplus carryover and postponed formulation rollouts. Off-season manufacturing and cautious inventory planning have further weighed down Benzoic Acid Exp consumption in the food and beverage preservation segment.

In North America, Benzoic Acid Exp prices have declined modestly on a month-to-month basis, reflecting reduced transaction volumes and a rising influx of competitively priced imports. U.S. buyers are increasingly pursuing alternative sourcing channels to avoid steep tariffs on Benzoic Acid Exp imports from Asia, leveraging regional free trade agreements when available. This shift in procurement behavior has intensified price competition for traditional exporters of Benzoic Acid Exp.

At the same time, european region shows a similar trend, with persistent softening of Benzoic Acid Exp prices due to slack demand and steady supply. Western European distributors report holding above-normal inventories, with many end-users demonstrating caution when committing to new Benzoic Acid Exp contracts. Recent declines in upstream feedstocks like toluene and crude-derived intermediates have lowered Benzoic Acid Exp production costs, prompting suppliers to pass on savings in hopes of stimulating demand.

However, despite these pricing strategies, global oversupply and lackluster economic indicators suggest that Benzoic Acid Exp prices are likely to remain under pressure through the rest of the second quarter of 2025. A marginal recovery in Benzoic Acid Exp demand may surface in early Q3, spurred by seasonal upticks in preservative-intensive industries, but underlying fundamentals imply that a meaningful market stabilization for Benzoic Acid Exp may still be a few months away.