Prices for Tetrahydrofuran (THF) in the US continued to be weak in December 2025 as a result of excess supply and reduced downstream demand. In the Gulf Coast region, producers were able to maintain ongoing production levels due to continuous availability of raw materials and raw materials' overall availability, allowing producers to have significant THF stock and thus ample opportunity to sell to customers. Buyers have been cautious with their buying habits, only purchasing what they need over the next few months, because they believe that prices will be lower in the future. The current feedstock situation does not help THF sellers because the smaller increases experienced in butanediol's price will not offset the significant excess supply available for THF on the market today. Furthermore, energy, utility cost and therefore production costs continue to remain steady for producers, allowing them to sustain their current production rate of THF. Demand for THF from downstream users such as PTMEG, Polyurethanes, Coatings, and Specialty Solvents remain weak, with limited exports or new orders, thus creating a negative immediate outlook for THF.
