Global Ethyl Acrylate market battling inflation
- 12-May-2022 5:15 PM
- Journalist: Gabreilla Figueroa
Mumbai, India: The global Acrylate market has been under depression for a long time, where fluctuations in demand amidst rising input costs have been hampering producers' margins. Recently, ChemAnalyst has analysed the Ethyl Acrylate market and found that despite demand dullness, Ethyl Acrylate prices have witnessed a significant boost during April 2022.
The Asian market has been experiencing a shift in market dynamics since China's covid situation has escalated. The country has been going through the worst hit of a pandemic since 2020, which has depressed the overall demand fundamentals for several commodities, including Ethyl Acrylate. However, the steep rise in upstream value and disturbing domestic trade activities in the country led to a marginal rise of around 1%-2% during April.
In the meantime, Indian players remained anxious about offtakes as the queries from the downstream niche buyers vanished. In contrast, inventories remained ample enough to satisfy the overall need of the country. A Mumbai-based trader told ChemAnalyst, that under the influence of stable to muted demand from the domestic market. In contrast, domestic material availability was ample, and exporters negatively revised their production costs for the Indian market. Thus, a marginal decline of 0.5% was observed for CFR prices in India.
On the other hand, USA and Germany have been battered with a considerable increment in natural gas costs, which is pouring massive input cost pressure on manufacturers, compelling them to keep on revising their offers to overall profitability. However, according to some intel from a trusted market source, Russian materials have been entering European and US markets via different routes, i.e., traders are trying to buy cheaper cargo from Russia and selling in the overseas market. ChemAnalyst data shows an increment of around 1% in the USA and 2.5% in Germany during this month, which is likely to remain persistent for a further period under current market scenarios.