In the middle of July 2025, Butyraldehyde prices in Asia and Europe continued to be pressured, as the appetite from plasticizers and coatings industries continued to remain muted. Weak feedstock propylene rates, elevated stocks at producers and distributors, and slow construction-linked offtake kept the Butyraldehyde transaction volumes thin.
In China, Butyraldehyde demand stayed weak, as downstream plasticizers and coatings industries showed limited procurement activity. Real estate indicators remained negative, with housing starts, sales areas, and investment continuing to decline while average housing prices fell 0.47% month-on-month across 100 cities. Construction market stagnation further discouraged buying, with downstream converters delaying replenishment due to the seasonal slowdown and falling finished product prices.
Feedstock propylene prices continued to be soft, albeit pressure from the upstream crude benchmarks eased with the expectations of higher output from OPEC+. Heightened U.S. crude inventories and global economic uncertainties weighed on the upstream crude prices. These trends trimmed the production costs of Butyraldehyde; however, the sellers were not able to pass on the cost break to the downstream consumers owing to weak buying interest. Spot trade was dull, as the buyers preferred depleting the availability at hand.
Export inquiries offered no reprieve, as regional Butyraldehyde demand from India and Southeast Asia stayed muted. The Indian buyers were unhurried with their buying activity amid the on-going monsoon snags, which further paled the prospects of Chinese exports.
Port congestion—at Qingdao—due to dense fog caused delays, restricting export deliveries and contributing to rising on-site stock.
In India, Butyraldehyde consumption remained slow, with downstream plasticizers and coatings markets operating lightly. The monsoon season disrupts construction activity and infrastructure work, reducing chemical intake across major states. Project delays and labor migration towards agriculture weakened coatings demand, while plasticizer manufacturers ran at low operating rates due to limited end-user orders.
In Europe, Butyraldehyde prices remained weak as demand from coatings and plasticizers market showed no signs of revival. Germany and wider Eurozone markets continued to experience construction stagnation, with both residential and commercial activity lagging. This kept procurement from converters subdued, with buyers limiting purchases to immediate needs.
High inventories at producers and distributors across northern Europe further pressured sentiment in the Butyraldehyde market, as logistics bottlenecks at Hamburg and Antwerp caused delays in exports and added to local stockpiles.
As per the ChemAnalyst, Butyraldehyde prices may decline further through July as monsoon disruptions continue to curb construction-related demand in Asia, while Eurozone coatings and plasticizers market show no immediate signs of recovery.
