In September 2025, the U.S. Propylene Glycol market had maintained its slow but guarded trend with modest gains in the early part of the month and a weakening in mid-September. The behavior in markets remained within firm ranges as supply and demand remained relatively balanced. Initial momentum was underpinned by level demand of Propylene Glycol in construction, pharmaceuticals, personal care, and coatings, as manufacturers kept production level and consumers purchasing in line with expectation. Prices eased towards mid-September as domestic supply gained momentum and market participants turned risk averse, expecting possible freight-related adjustments. Widening macroeconomic fundamentals, such as slowing factory growth, export headwinds, and weak demand, also led to risk-averse tactics in the market. Propylene oxide, the main feedstock, also exhibited such stability, further supporting firm pricing. Throughout the rest of September, prices will stabilize in a firm range, and in the fourth quarter can expect to see slow ascending pressures due to seasonality in antifreeze and heating uses, as well as possible supply constriction due to logistics and trade tensions.
Key Highlights:
The United States Propylene Glycol market in September 2025 was stable and conservative, posting modest gains during the first half of the period before softening slightly towards mid-September. The tone was overall balanced, with demand and supply closely matched, and movements into restricted ranges.
Early September experienced moderate upgradation as consistent demand from downstream industries like construction, pharmaceuticals, personal care, and coatings maintained market equilibrium. Manufacturers registered consistent output, and supply levels were adequate to support demand, backing marginal firmness without creating upward pressure. Active buying was done by buyers according to demand expectation, and consistent activity remained inside the value chain.
By the middle of September, the initial momentum was dissipating. Prices of Propylene Glycol eased softly as enhanced domestic availability was matched with prudent purchasing. Market players were more cautious and preferred to await any probable freight adjustments. This was enough to induce a soft correction in propylene glycol prices.
In addition to short-term market mood, the wider U.S. industrial landscape also contributed to forming attitude. Industrial expansion at factories in September eased, and the indicators registered only slight expansion. Though new orders rose modestly, losses on exports through tariffs dulled overall activity. Companies in most industries reported they were struggling to pass the higher costs on to buyers because of poor conditions and rising competition. This conservative macroeconomic climate played a role in the conservatism that was seen in the Propylene Glycol market, where competitors tended towards risk-avoidance strategies.
Moreover, propylene oxide, the major raw material used in Propylene Glycol, went through a similar experience this month with stable supply and minimal price fluctuations. This parallel trend also had an effect on Propylene Glycol prices, sustaining the overall stability of the market experienced in September.
Throughout the balance of September, the market is likely to settle in a strong range. Balanced supply and consistent pharmaceutical and personal care demand will keep prices anchored, though seasonal antifreeze demand is able to offer some additional support.
Bucking the trend of falling prices, market participants expect a modest up trend for Propylene Glycol prices in the winter months of 2025. Seasonal consumption of antifreeze and applications allied to heating is expected to pick up, and possible supply stringency with higher logistics expenses coupled with cross border trade tensions further supporting the Propylene Glycol prices.
