On the Backdrop of Low Demand, Silicates Prices Tumbling in Asia
- 07-Jul-2022 5:33 PM
- Journalist: S. Jayavikraman
Asian construction activities have been facing huge market disturbances due to ongoing market hiccups induced by a pandemic or inflationary measures taken by different governments. As per the latest data, Sodium Silicate and Potassium Silicate prices have eased in the Indian and Chinese markets entering July 2022.
Slowed economic activities in China during post-pandemic-related uncertainties in the country have also impacted the pricing dynamics of several commodities, including silicates. A trusted market source revealed to ChemAnalyst that the prices of Potassium Silicate and Sodium Silicate dropped by 2.7% and 2%, respectively, in China during the first week of July.
The price decline in China also influenced the other Asian economies, including India, where Sodium Silicate and Potassium Silicate plunged by more than 6.7% and 12%, respectively. However, abundant product availability and low demand played a prime role in driving these pricing dynamics.
Since the decision to raise the repo rate by the Reserve bank of India has come into the story, the construction sector heard faced a slowdown. As per the analysis, citizens of India have been delaying taking home or personal loans for home renovation and construction, which affects the prices of raw materials in the country. Under the influence of low demand from the domestic market, traders are offering their product prices at a cheaper rate.
As per the ChemAnalyst data, Sodium and Potassium Silicate prices are likely to sustain this price level in India and China until the end of this month. Slowed economic activities in both countries and stockpiled inventories may further compel market players to offer discounts even on spot purchases to non-regular buyers