Di Propylene Glycol Monomethyl Ether Prices Surge in Asia Amidst Tight Supplies

Di Propylene Glycol Monomethyl Ether prices increased during April 2023 amid stable demand and stressed supplies from producers since March 2023. The feedstock Propylene Glycol market was underwhelming amid a decline in orders, which affected the production rates of Di Propylene Glycol Monomethyl Ether. Meanwhile, feedstock prices rose, especially after the announcement of Crude Oil production cuts by OPEC+ with the rise in the temperature. The Di Propylene Glycol Monomethyl Ether supplies remained tight in March due to the limited availability of stocks, and prices rose in Asia.

In India, Di Propylene Glycol Monomethyl Ether prices rose by almost 11% since February and settled at USD 2219.08/MT at the end of April 2023.

However, supply rates of Di Propylene Glycol Monomethyl Ether improved during the second half of April 2023 amid an increase in production rates. At the same time, production costs fell because of a decrease in feedstock Propylene Oxide costs due to ease in cost support from upstream Naphtha amid a shift in Crude Oil prices. The demand was moderate from the end-user industries. Simultaneously, Di Propylene Glycol Monomethyl Ether’s feedstock Methanol prices fell during the period, specifically in April, due to firm exports by Saudi Arabia and Venezuela.

Purchasing activities remained firm, and Di Propylene Glycol Monomethyl Ether solvent orders were consistent from the end-user industries amid a shift in supply rates by producers. Furthermore, India’s manufacturing PMI rose consistently during March and April amid increased output and factory orders, indicating firm expansion in manufacturing activities.

Meanwhile, in China, Di Propylene Glycol Monomethyl Ether prices were firm in March and then rose marginally during April amid reduced feedstock costs and moderately low operational rates. Simultaneously, China’s manufacturing PMI index fell slightly below 50, indicating a contraction in the manufacturing sector. Market activities increased towards the end of April due to the Labour Day holidays from 1 to 3 May 2023.