Fumaric Acid Prices Surge in the US, Tight Supply Concerns

USA:  During the final week of February 2023, there is expected to be a modest increase in the price of Fumaric Acid in the domestic US market. Baking powder and beverages with strict purity criteria frequently employ Fumaric Acid as an acidity regulator. As a food preservative and leavening agent, it is also utilized in the manufacturing of wheat tortillas. Prices for Fumaric Acid are anticipated to increase as a result of the local market's growing demand.

Compared to the prior week, February's pricing of Fumaric Acid increased. The market for domestic Maleic Anhydride is still failing. The primary finishing process used domestically is n-butane oxidation Maleic Anhydride, and the main factory quotation is stable. There is no clear advantage to the need for downstream resin, primarily determined by demand. Maleic Anhydride, one of the upstream components, and other parts' falling prices, most likely due to weak consumer demand, have been the main factors impacting the price trend of Fumaric Acid in the US over the past month. In the final week of January 2023, there was no product movement in the local Maleic Anhydride market because of the Chinese Lunar New Year and the factory's closure. The import was also significant due to the merchants' massive inventories and the fact that the US purchases primarily from China. The rapid rise in demand from end-user sectors and the emphasis on new supplies have also contributed to the modest increase during this month's first week.

The Fumaric Acid's limited supply from the main exporting nation, namely China, will cause the price to rise, according to ChemAnalyst. Fumaric Acid's price would continue to rise due to strong demand, rising raw material costs, and a sizeable amount of inventory held by retailers on the domestic market. These factors, combined with the rising cost of raw materials, would cause an even greater price increase.