Positive Revision Announced by Key Player, 2-Ethylhexanoic Acid Prices are Rising in USA
- 20-Jan-2022 1:41 PM
- Journalist: Gabreilla Figueroa
Global inflationary pressure has been a major concern for key players of several commodity in the global market. Several key manufacturers heard making frequent price revisions to order to sustain their profitability and protect their diminishing margin. Since the first week of January, traders and consumers of 2-Ethylhexanoic Acid are battling with steep rise in its price, which is a threat for their business competitiveness in the country.
Perstorp, which is a global key player has announced positive price revision for their carboxylic acid value chain including 2-Ethylhexanoic Acid, revision was of around USD 200/MT effective from 1st of January 2022. Meanwhile, some other players have already raised their offers for global market during past few months. These, price revisions were primarily driven by rising input cost amidst firm demand from the domestic market. Meanwhile, traders have been already raising their offers since a long time due to increasing transportation cost, as freight charges are still hovering at a high note.
2-Ethylhexanoic acid is a widely used product in paints dryers, synthetic lubricant, and automotive coolant etc. While Perstorp is a key player in the global market with largest production capacity. Therefore, price revision by some major manufacturers usually opportune other competitors and traders to raise their offers in order to improve their margin.
As per the ChemAnalyst analysis, 2-Ethylhexanoic Acid prices are likely to keep this price trend for further period in US market, as the demand is not going to decline any time soon in the country. Meanwhile, surging upstream values are compelling manufacturers to keep on revising their product prices to sustain their profitability. However, the price burden would eventually be pass on to downstream consumers and end users.