Towards the end of the third quarter of 2025, Toluene Diisocyanate prices increased by almost 7% in the European market due to consistent demand and limited availability of market supplies. The production rates were affected by the stressed supplies of feedstock Toluene supplies to produce the material. It was due to the decline in crude oil inventories in the international market. There was a decline in US Crude Oil inventories during the month amid export issues in Iraq, Venezuela, and Russia. Meanwhile, supply rates were moderate within the region. At the same time, consistent activity in the automotive and construction sectors, to make the flexible polyurethane foams and insulation materials, kept the demand for Toluene Diisocyanate from the downstream Polyurethane industries. Further price increases are expected in the coming weeks of the final quarter as well due to stressed production rates and increased production costs ahead of colder months. Market players would raise their quotations to improve their profit margins amid restocking activity from the downstream industries.
