Bisphenol A Market is under Pressure in the Asia Pacific Region
- 11-Jul-2022 4:05 PM
- Journalist: Rene Swann
Bisphenol A market witnesses a downtrend in the Asian market as a result of the upstream crude price drop. Since the past week, Bisphenol A prices have been falling. When the dropping downstream market was affecting the Bisphenol A price trend, Iran's crude price slash was another reason for the price fall.
The high export of Crude oil from Russia to China and India at a discounted price resulted in the huge availability of upstream Crude. Hence, as a competition for the Russian Crude oil, the Iran Crude market has also cut the costs of Crude. This massive drop in the upstream Crude prices has been influencing the feedstock Benzene, Cumene, and Phenol, further affecting the Bisphenol A pricing. Therefore, the above-mentioned reasons are majorly affecting the Bisphenol A price trend in the Chinese market.
The Indian rupee has been dwindling in the market after the surge in the US dollars. One of the Indian traders revealed that, as compared to the dollars, the Indian rupee had fallen by around 6%. This drop impacted the importing price of Bisphenol A in the Indian market. Due to weak buying sentiment in the domestic market, the import of the commodity from the international and regional markets has plummeted.
In addition, the demand for Bisphenol A from the downstream epoxy resins and polycarbonate market has been slipping. Using the existing product from the downstream market resulted in poor purchasing of Bisphenol A. As a result, the Bisphenol A price has been dropping by approximately 5% during the first week of July.
As observed by the ChemAnalyst team, the price trend of Bisphenol A is likely to drop in the coming weeks. The fall in the rupee might affect the Bisphenol A market. The reduction in the import activities due to the low demand from the downstream market could remain the same. However, the raw material prices could drop further due to the ample availability of the product. Also, domestic market activities may remain weak.