Calcium Silicate Prices Diverge: China Slumps, Germany Rises on Supply Chain Woes

Key Takeaways:

• Calcium Silicate prices dropped in China due to oversupply and weak construction demand.
• Prices rose in Germany because of expensive imports and shipping delays.
• China’s inventory stayed high as producers kept running at full capacity.
• Germany saw limited supply due to import issues, driving up prices.
• Feedstock prices stayed stable, but logistics and sourcing costs influenced the price gap.

In June, Calcium Silicate prices in China dropped by 3.2%, mainly due to an imbalance between high supply and weak demand. Although there was a slight improvement in overall business activity—with the non-manufacturing index rising to 50.5% and the construction sector index climbing to 52.8%—actual demand for Calcium Silicate remained low.

Widespread heavy rainfall and flooding disrupted major construction and infrastructure projects, which are key users of Calcium Silicate. Further, industries like retail, transport, and accommodation slowed down after the Labour Day and Dragon Boat Festival holidays, further reducing demand.

Meanwhile, calcium silicate manufacturers kept running at high production levels, leading to plentiful supply, and rising inventory levels. Export demand remained steady but was not strong enough to reduce the domestic surplus. As a result, the oversupply continued to push prices down.

In Germany, Calcium Silicate prices increased by 2.8% in June. Despite slow domestic demand, prices went up mainly because importing material became more expensive. Major ports in Northern Europe, including Rotterdam and Hamburg, faced serious disruptions due to strikes, low river levels, and rail issues. These problems led to delays in deliveries and a shortage of Calcium Silicate. While civil engineering projects provided slight support, residential and commercial construction remained slow. Traders raised prices to cover their rising costs.

Chinese exporters struggled to reduce large inventories, while German buyers had to compete for limited material in the region. Feedstock prices remained steady in both markets, showing that the price changes were more due to transport delays and supply chain issues than raw material costs.

As per ChemAnalyst, Calcium Silicate prices in China may fall further in July 2025 if oversupply and weak demand continue, especially with ongoing bad weather. In Germany, prices might ease slightly if port operations improve, and delayed shipments arrive. However, for any strong recovery, construction demand must improve, and buyer confidence needs to return.