Chinese Hydrobromic Acid Prices Plunge with Downstream Market Consumption
- 29-Dec-2022 12:39 PM
- Journalist: Rene Swann
The Chinese market for Hydrobromic Acid fertilizer is not particularly robust. In order to maintain the delivery pace, the business quote is reduced, and the atmosphere in the regional area is subdued. It is projected that the Hydrobromic Acid market will weaken soon, and price drops are possible. High supply from exporting countries, such as Vietnam and Kazakhstan, leads to an increase in inventories in the regional market. Shipping costs to and from the Asia region have dropped, which has impacted prices.
The prices of Hydrobromic Acid have decreased in the Chinese market, and costs range at USD 3685/tonne, 48% FOB Shanghai, according to the ChemAnalyst Research team data. The prices of feedstock Bromine and Phosphorus were observed to fluctuate in the regional market. The weakening demand for the product from fertilizers and other technical industrial application sectors impacted the market.
The support for high-priced Hydrobromic Acid is insufficient, withstanding recent improvements in the downstream and intermediate flame-retardant businesses. Feedstock Bromine businesses are not under any inventory constraint, and it is noticeably clear that the traders and the suppliers are willing to keep prices plummeting. A high stockpiling of Hydrobromic Acid in the fertilizer sectors affected market sentiments due to a lower consumption rate.
Although there is much demand, it is not being adequately met by the market, which adds to the pressure on sulphur stockpiles. The price of Hydrobromic Acid in the local market was impacted by the rise in demand from downstream PTA/PET sectors. Growing worries about geopolitical unrest and pandemic-related supply chain disruptions involving China in recent years have caused a shift in the supply chain away from China. The Chinese market for Hydrobromic Acid fell due to the relentless demand, which impacted market sentiment. The sourced data reported by the Insight Analyst traces the decline of prices to lower downstream purchases of fertilizers and pharmaceuticals.