Fumed Silica Prices Ease in Light of Wavering Demand Patterns in the USA and Europe
- 20-Sep-2022 6:32 PM
- Journalist: Robert Hume
Fumed Silica market has been on the edge of uncertainties for a long time in the US and European markets. Prices have been facing frequent ups and downs, driven by ongoing energy as well as recession crisis in the global market. As per the data, Fumed Silica prices have eased in the US and Europe during the first half of September 2022, owing to declining domestic market demand amidst adequate cargo supplies in the regions.
The data shows that Fumed Silica prices have declined by around 1.6% and 1% in Belgium and Germany during the first two weeks of September, bolstered by demand instability and easing natural gas prices. Soaring natural gas prices have been a concern for European players since Russia cut its supply to north-western Europe. However, governments of major European countries have been preparing themselves for winters by stocking natural gas for future needs. Thus, significant ease in Natural gas prices has been observed in Europe, which is anticipated to decline further during the upcoming winter.
On the other side, the US Fumed Silica market has also been facing demand dullness for the past couple of months. As per the insights, insufficient availability of raw materials curbed the growth of some major industries like construction. Consequently, it affected the demand for several commodities, including Fumed Silica. Additionally, the nation's recessionary conditions, where the PMI index has been declining for a year, contributed to a significant decline in demand. Data shows that US Fumed Silica prices have showcased a decline of around 1% during this timeframe, which is anticipated to rebound during the coming months.
According to the ChemAnalyst analysis, prices will likely rebound in the coming months in the US and European markets under the expectation of improved demand from the domestic downstream paints and coating segment. However, the energy crisis may also be the major influencing factor for the future price trend.
ChemAnalyst captures Fumed Silica's price trend in the global market, including numerous other construction chemicals. Click here to read more about the market dynamics for the past few months.