US Nonylphenol Ethoxylates Prices Surge at the Start of September 2023 Amidst Rising Feedstock Cost

Texas, USA: In the US market, the prices of Nonylphenol Ethoxylates have been witnessing an uptrend, entering September 2023. The rise in upstream Crude Oil Prices has been responsible for the price gains of several commodities, including Nonylphenol Ethoxylates. Global market sentiment this week has been influenced by a significant increase in oil prices. This surge followed the unexpected decision by major oil producers, Saudi Arabia and Russia, to extend their voluntary supply cuts until the end of the year. In addition, Amid persistent inflationary pressures, bond rates have been kept on an upward trajectory and propelled the broader US dollar to multi-month highs in a relatively short period.

The ChemAnalyst database has shown that the prices of Nonylphenol Ethoxylates have increased by USD 30 per ton in the week ending September 01st. Recently, Dow Chemical announced raising prices for all kinds of surfactants in North America, starting on September 1st. The largest possible increase might be approximately USD 0.22 per kilogram. As per market players, since August 1st, several chemical products have seen price hikes, and the market sentiment is bullish due to the combination of weak supply and strong demand. As a ripple effect of the rising concern of overseas price hikes coupled with the slicing of regional inventories, domestic suppliers raised their Nonylphenol Ethoxylates offers amidst the ongoing intent of maintenance shutdowns.

Furthermore, as per the market sources, regarding Nonylphenol Ethoxylates production, manufacturing firms' operational capacity has been steadily recovering to levels seen before the pandemic. This is due to the improving demand from the downstream surfactant industries. Additionally, the recent incident at Dow's Plaquemine, Louisiana facility has already caused disruptions in the supply of upstream Ethylene oxide, sparking supply-side fears for Nonylphenol Ethoxylates production.

On the other hand, unforeseen weather events caused by Hurricane Hilary disrupted the loading and unloading of finished goods at the Long Beach and Los Angeles ports. Meanwhile, an intense drought threatens Nonylphenol Ethoxylates shipping operations in the vital Panama Canal, which serves as a primary route for 40% of global cargo ship traffic. This issue cascades through supply chains, exacerbating the demand for port berths. Consequently, there were difficulties in efficiently transporting goods, leading to extended transit times.

According to the pricing intelligence of ChemAnalyst,  the pricing dynamics of Nonylphenol Ethoxylates might witness an upward trajectory. The rise in costs of upstream raw materials, such as Ethylene Oxide and Crude Oil, is likely to put upward pressure on the price realizations of Nonylphenol Ethoxylates. The demand from the downstream Surfactant and Detergent industries is also expected to improve, strengthening the market fundamentals of Nonylphenol Ethoxylates. In addition, if the drought conditions across the Panama Canal are sustained further, there is a possibility of increased transit times for Nonylphenol Ethoxylates in the forthcoming weeks.