Improved Demand Drives Up the PTFE Prices in the EU and US at the End of May 2023
- 01-Jun-2023 3:21 PM
- Journalist: Francis Stokes
The price of Fluoropolymers (PTFE) witnessed an inclining pattern in the last week due to the high consumption in the construction industry. PTFE has been used in a variety of industries, including the automobile, building, electronics, and many more.
In the last seven days, the downstream construction industry has raised 2.3% in the German market, which indicates that the demand for PTFE has increased in the domestic market. Additionally, the price patterns in the domestic market were affected by the pricey imported cargo from the Asian market that was acquired for German consumers. The Bundesbank anticipates a minor rebound in economic activity in the second quarter of 2023. Reduced supply constraints, significant backlogs order, and decreased energy prices contribute to the industry's ongoing revival. As a ripple effect, the cost of PTFE was settled at USD 11750/MT on a CFR Hamburg basis with a weekly appreciation of 0.4% respectively during the week ending 26th May 2023.
On the other hand, the US market also saw an inclined trend during this time period, the construction industry consumed more PTFE material, and the demand in the domestic market increased moderately. More inquiries about the product from the downstream industry further increased the quotation prices of the product. The construction market increased by 2.2% over the previous seven days, eventually demonstrating the US PTFE market. Further, the market participants are pessimistic about the American construction industry, indicating that they anticipate long-term growth rates will be lower than they have historically. The price of PTFE hovered around USD 12150/MT on a CFR New York basis with a weekly inclination of 0.2% during the week ending 26th May 2023.
It is anticipated that the cost of PTFE will likely incline in the coming months if the construction and other allied industries improve the product's consumption in the US and Europe markets.