USA n-Butanol market traded firmer through January 2026, then eased in early February as demand signals and supply dynamics shifted. On a monthly basis, spot prices rose by a little over 3% in January, aided by fresh stocking and cost pressures, while weekly assessments show a small pullback in early February. Early January conditions were balanced, mid-January saw firmer buying and constrained supplies, and late January activity cooled, underpinning January gains yet signaling a near-term correction. Demand from coatings, solvents and broader industrial users remained the core support, with coatings offtake remaining steady and contributing to tighter domestic balances. No weak downstream pockets were observed, with downstream demand broadly firm. Analysts note that higher input costs were transmitted into spot bids, reinforcing January's upward bias. Upstream factors—rising propylene and crude values—alongside force majeure events at major producers reduced available volumes and import cover, amplifying tightness of n-Butanol.
USA n-Butanol prices moved higher through January 2026 before a modest pullback in early February, reflecting a market that tightened mid-month and then eased slightly. On a monthly basis, spot n-Butanol in January increased by 3.41% per ChemAnalyst data as fresh stocking and cost pressures supported bids; however, per weekly assessment data prices declined by 0.55% in early February. Early January conditions were balanced, mid-January saw firmer buying and constrained supplies, and late January action was relatively calm—a sequence that underpinned gains in January even as the market showed a near-term correction into February.
n-Butanol Demand across coatings, solvents and industrial end users was the core supportive story in January. The coatings sector recorded steady offtake and prompted fresh stocking that tightened domestic balances, while solvents and broader industrial consumption maintained active procurement. The coatings segment remained strong and was a primary driver of tighter spot availability; in contrast, there were no identified weak downstream pockets in the reporting period, with downstream demand described as broadly firm.
Upstream and supply-side developments amplified the n-Butanol bullish momentum in January. Rising propylene and higher crude values elevated feedstock and production costs, helping to push spot n-Butanol sentiment higher. n-Butanol supply was further constrained mid-month by force majeure events at major producers, including Sasol Limited and The Dow Chemical Company, which reduced available volumes and limited import cover. Logistics and constrained import availability also reduced ready supply, while late-January conditions were calmer with inventories providing equilibrium. Overall, rising energy and feedstock costs combined with outage-driven tightness supported firmer n-Butanol pricing through the month.
Weekly trends showed a clear mid-month rally followed by stabilization and a modest early-February retreat. Per weekly assessment data, mid-January gains were notable—around a 3.95% jump in one reporting week and about a 2.21% increase the following week—as downstream restocking and outage-driven tightness tightened balances. Activity slowed toward the final week of January with muted movement, and in early February n-Butanol prices eased modestly, falling 0.55% as some immediate buying interest cooled and short-term supply caught up.
Looking ahead, our analysts see near-term n-Butanol price direction as firm but contingent on evolving demand and supply signals. Continued steady coatings offtake and limited import cover should keep upward pressure possible, while the persistence of higher propylene and crude values and any further force majeure or technical outages would reinforce gains. Analyst noted, the early-February dip illustrates that short-term corrections can occur if buying eases or imports improve.
