For the Quarter Ending March 2025
North America
During the first quarter of 2025, the North American 2-Ethylhexanoic Acid (2-EHA) market exhibited a mixed pricing trajectory. Prices declined throughout January and February, primarily due to improved supply conditions, lower freight costs, and inconsistent demand from downstream sectors, particularly automotive coatings. The early-quarter downturn in demand was influenced by cautious market sentiment and subdued industrial activity.
However, a notable recovery in 2-EHA prices was observed in March, with values rising to approximately USD 2,254/MT by the end of the quarter. This rebound was largely attributed to the imposition of tariffs and heightened geopolitical tensions, which disrupted international trade flows and added to input costs.
Additionally, anticipatory buying activity emerged in the automotive industry ahead of a scheduled 25% tariff on imported vehicles, effective April 3, 2025. This strategic purchasing behavior tightened inventories across the value chain and contributed to a temporary uptick in 2-EHA demand. Overall, while the market faced headwinds early in the quarter, tightening supply and tariff-driven dynamics supported a price recovery toward the end.
APAC
During the first quarter of 2025, the Asian 2-Ethylhexanoic Acid (2-EHA) market exhibited a mixed pricing trajectory, with Japan, China, and Malaysia among the most affected regions due to interconnected global trade dynamics. Prices declined through January and February, largely attributed to improved supply conditions, reduced freight costs, and fluctuating demand from downstream sectors, particularly automotive coatings. The early-quarter softness was reflective of cautious procurement activity and weak export momentum. However, as the quarter progressed, a gradual recovery in international demand—especially from the United States—began to take shape. This revival was spurred by concerns surrounding the implementation of a 25% tariff on imported vehicles, which led to anticipatory buying and bolstered demand for 2-EHA, a key raw material in automotive applications. Additionally, the Malaysian government’s decision to impose port tariffs exerted further upward pressure on logistics and input costs. These combined factors contributed to a rebound in prices by March 2025, stabilizing the market after a weak start and highlighting the growing influence of trade policy and regional disruptions on chemical pricing.
Europe
During the first quarter of 2025, the European 2-Ethylhexanoic Acid (2-EHA) market exhibited a mixed pricing trajectory, with Germany and Belgium among the most impacted regions due to evolving global trade dynamics. Prices declined in January and February, primarily due to improved supply conditions, reduced freight rates, and fluctuating demand from downstream sectors such as automotive coatings. According to data from the German Federal Motor Vehicle Office (KBA), new passenger car registrations fell by 2.8% year-over-year in January 2024, totaling 207,640 units, with Tesla reporting a steep 59.5% drop, further dampening demand for 2-EHA. However, as the quarter progressed, recurring port strikes and labor shortages across key European logistics hubs disrupted the supply chain, driving prices upward. Additionally, the market experienced further cost pressure following price increases for 2-Ethylhexanol (2-EH)—a primary feedstock for 2-EHA—announced by major producers OQ Chemicals and Eastman. These hikes, combined with logistical uncertainties, contributed to a price rebound in March, underscoring the market’s sensitivity to upstream cost dynamics and regional supply chain disruptions.
South America
During the first quarter of 2025, the South American 2-Ethylhexanoic Acid (2-EHA) market exhibited a mixed pricing trajectory, with Brazil emerging as one of the most impacted regions amid shifting global trade dynamics. In January and February, prices trended downward, largely due to improved regional supply availability, lower freight costs, and inconsistent demand from key downstream sectors, particularly automotive coatings. However, this downward momentum was reversed in March as the market faced significant logistical disruptions. Recurring port strikes and persistent labor shortages across critical South American logistics corridors led to transportation delays and supply chain inefficiencies, exerting upward pressure on prices. Compounding these issues, major global producers—OQ Chemicals and Eastman—announced price increases for 2-Ethylhexanol (2-EH), the essential feedstock for 2-EHA, which intensified cost pressures across the value chain. As a result, 2-EHA prices rebounded toward the end of the quarter, highlighting the region’s vulnerability to both upstream input fluctuations and structural bottlenecks in logistics infrastructure.
For the Quarter Ending December 2024
North America
In Q4 2024, the North American 2-Ethylhexanoic Acid (2-EHA) market displayed notable price fluctuations, driven by a combination of supply chain disruptions, demand dynamics, and market adjustments.
Early in the quarter, prices surged sharply due to significant supply shortages caused by logistical challenges, including low water levels in the Panama Canal and Mississippi River, which delayed shipments and constrained imports. The Elevated freight rates from Asia to USA, driven by increased container spot rates and the anticipation of labor strikes on U.S. coasts, added to the upward price pressure. Despite subdued demand from the key automotive sector, where vehicle sales reflected year-on-year declines, supply constraints sustained the price surge.
However, as the quarter progressed, competitive imports from Asia, coupled with year-end pricing strategies, led to a gradual decline in prices. By December, market conditions stabilized, supported by adequate inventory levels and consistent demand from automotive and coatings sectors, with robust vehicle sales, such as Ford’s 15% growth, underpinning steady consumption.
APAC
In Q4 2024, the price of 2-EHA in the Asian market increased due to supply constraints and rising production costs, despite stable feedstock prices like 2-EH. Buyer interest was steady, but the underperformance of the automotive sector limited price growth. Manufacturing units faced challenges with raw material availability, leading to upward price adjustments. Meanwhile, the price of 2-Ethylhexanoic Acid (2-EHA) declined due to reduced production rates and sufficient inventories of essential feedstock, ensuring adequate supply levels. The demand for 2-EHA remained stable, supported by growth in the automotive sector, especially electric vehicles, although the anticipated year-end surge in demand did not fully materialize. Retail vehicle sales grew by 11.21% in November, driven by two-wheeler demand, but market activity among traders and consumers remained subdued. In summary, 2-EHA prices rose due to supply issues, while 2-EHA prices fell due to stable supply and reduced production rates, with automotive sector demand playing a key role in both markets.
Europe
The price of 2-Ethylhexanoic Acid (2-EHA) in the European market remained subdued during the final quarter of 2024, reflecting a stable balance between supply and demand. Inventories were sufficiently stocked to meet consistent consumption needs, particularly from the automotive sector, which remains the primary end-user of 2-EHA in paints, coatings, and lubricants. Although global automotive production has shown signs of growth, European and North American markets have been constrained by slower vehicle sales and production challenges, partly driven by the ongoing transition toward electrification. Germany emerged as an exception, maintaining steady automotive production, supported by its strategic push toward electric vehicle manufacturing. This steady demand has helped stabilize the German 2-EHA market, allowing it to absorb minor cost fluctuations without significant disruption. Nevertheless, European manufacturers continued to face challenges, including a prolonged destocking cycle, geopolitical uncertainties, and a challenging economic climate, all of which led to reduced production activity. Despite these headwinds, stable inventories and steady automotive demand have provided a favourable outlook for the European 2-EHA market.
For the Quarter Ending September 2024
North America
In the third quarter of 2024, the North American market experienced a notable surge in prices for 2-Ethylhexanoic Acid (2-EHA), particularly in the USA, where price fluctuations were most pronounced. This increase can be attributed to several key factors impacting market dynamics, including elevated import costs and reported material shortages.
In July 2024, a significant rise in freight charges was recorded, contributing to the increased expense of imports. Although freight rates began to decline in the latter half of August, persistent port congestion in the global market continued to prolong supply times, further exacerbating the material shortages within the market.
During this period, demand remained somewhat subdued, particularly from the prominent automotive sector, which typically drives consumption of 2-EHA. As the quarter came to a close, the price of 2-Ethylhexanoic Acid stood at USD 3,102 per metric tonne (MT) on a cost and freight (CFR) basis in New York. This pricing underscores a stable yet upward trend in the regional market, reflecting ongoing supply challenges and fluctuating demand dynamics.
Asia
In the third quarter of 2024, the Asian market for 2-Ethylhexanoic Acid (2-EHA) experienced a decline in prices, with China, Japan, and Malaysia being the most affected regions. This downward trend can be primarily attributed to an oversupply of 2-EHA in the Asian market. Key manufacturers, including BASF in Malaysia and KH Neochem in Japan, reported stable manufacturing operations, contributing to a well-supplied market. Compounding the situation, the automotive sector—one of the principal end-users of 2-EHA—exhibited moderately low performance during this period. Additionally, port congestion significantly impacted logistics, leading to increased inventory levels across the region. This accumulation of stock, in conjunction with the weakened demand, resulted in a narrowed disparity between supply and demand, further exacerbating the price decline. The combination of these factors created a challenging environment for 2-EHA pricing, reinforcing the downward trend observed throughout the quarter. As a result, the market is positioned to monitor any shifts in supply dynamics or demand recovery, which could influence future price movements in the Asian 2-EHA landscape. As per ChemAnalyst, the latest quarter ending price of 2-EHA (( FOB Tokyo) Japan) , 2-EHA (( FOB Qingdao) China), 2-EHA (( FOB Tanjung Pelepas) Malaysia), were hovering at USD 1580/MT, USD 1657/MT and 1560/MT.
Europe
In the third quarter of 2024, the European market for 2-Ethylhexanoic Acid (2-EHA) experienced a notable decline in prices, driven by several key factors. A primary contributor to this downward trend was the subdued demand from the automotive sector, which is a significant consumer of 2-EHA. The automotive industry faced challenges marked by sluggish sales and increasing competition from Chinese electric vehicles, resulting in a diminished need for 2-EHA in manufacturing processes. Additionally, prices of essential feedstocks, such as Propylene, did not provide the necessary support to reverse the overall market trend. Germany, in particular, experienced the most significant price fluctuations, reflecting the difficult outlook for traditional automotive manufacturers in the region. Throughout the quarter, the market observed a 5% decrease in prices compared to the same period in the previous year, alongside a 1% decline from the prior quarter in 2024. Notably, the price changes between the first and second halves of the quarter also reflected a decrease of 1%. By the end of the quarter, the price of 2-Ethylhexanoic Acid reached USD 2,637 per metric tonne (MT) on a free on board (FOB) basis in Hamburg, underscoring the prevailing negative sentiment in the pricing environment.
South America
The third quarter of 2024 marked a significant period of price increases for 2-Ethylhexanoic Acid (2-EHA) in the South American market, particularly in Brazil, where the most notable changes occurred. Several factors contributed to this upward price trend, primarily driven by heightened demand from downstream industries, especially the paints and coatings sector. This sector's robust activity significantly influenced the overall demand for 2-EHA. While the automotive industry exhibited modest performance during this period, it nonetheless contributed to the increased demand for 2-EHA. The stable supply dynamics in the market further reinforced the upward pricing pressure, enabling prices to rise steadily throughout the quarter. The quarter-on-quarter increase of 3% underscores the positive momentum in pricing, reflecting a healthy market environment. By the end of the quarter, the price of 2-Ethylhexanoic Acid reached USD 3,033 per metric tonne (MT) on a free on board (FOB) basis in Manaus, Brazil. This closing price highlights the overall positive pricing environment characterized by consistent price increases, positioning 2-EHA favourably within the South American market.
For the Quarter Ending June 2024
North America
The second quarter of 2024 has witnessed a notable upward trend in the pricing of 2-Ethylhexanoic Acid (2-EHA) within the North American market. This trend has been influenced by several key factors that have collectively shaped the market dynamics. Foremost among these is the strong demand from the automotive sector, particularly in the realm of automotive paints and coatings. The revival of the automotive industry has resulted in increased consumption of 2-EHA, which plays a critical role in automotive coatings. According to insights from various market sources, U.S. auto sales experienced an 11% increase throughout this quarter, driven by robust demand for SUVs, pickup trucks, and hybrid vehicles.
In addition to rising demand, the market has been confronted with supply constraints primarily attributed to logistical challenges and trade uncertainties, which have exacerbated the scarcity of imported materials. These supply chain disruptions, alongside a shortage of truck drivers, have further tightened the market, contributing to upward pressure on prices. Surveys conducted in the industry reported a material shortage within the North American market, compounded by the limited availability of essential raw materials such as Propylene.
Notable market participants, such as OQ Chemicals, are capitalizing on these conditions by increasing the price of 2-EHA. As a leading global entity in oxo products, OQ Chemicals has strategically adjusted their pricing in response to favorable market conditions, thereby reinforcing the upward trajectory of 2-EHA prices in the forthcoming months. The quarter-ending price for 2-EHA CFR New York was reported at USD 2,956 per metric ton, underscoring the positive pricing environment observed during this period.
APAC
During Q2 2024 the Asian 2-EHA market experienced mixed market sentiments with China and Thailand being the most affected areas. The prices surged during the initial two months of the quarter however dipped during the final month 5.1%. This upward trend has been influenced by several key factors that have collectively shaped the market dynamics. Foremost among these is the strong demand from the automotive sector, particularly in the realm of automotive paints and coatings. The revival of the automotive industry has resulted in increased consumption of 2-EHA, which plays a critical role in automotive coatings. Further, Surveys conducted in the industry reported a material shortage within the Asian market, compounded by the limited availability of essential raw materials such as Propylene. Notable market participants, such as OQ Chemicals, are capitalizing on these conditions by increasing the price of 2-EHA. As a leading global entity in oxo products, OQ Chemicals has strategically adjusted their pricing in response to favorable market conditions, thereby reinforcing the upward trajectory of 2-EHA prices in the forthcoming months. However, prices dipped during June owing to subdued demand from the downstream industry. The number of new vehicles sold dropped to 41,587 units in June 2024, compared to 42,379 units in the same month of the previous year, as per the registration data compiled by Taiwan’s Ministry of Transportation. The quarter-ending price for 2-EHA CFR Kaohsiung was reported at USD 1612 per metric ton, underscoring the positive pricing environment observed during this period.
Europe
In the second quarter of 2024, the European market for 2-Ethylhexanoic Acid (2-EHA) experienced a significant increase in prices due to several key factors. A primary driver was robust demand from the automotive sector, which relies heavily on 2-EHA for paints and coatings. According to the European Automobile Manufacturers Association (ACEA), new car sales in the European Union saw a 13.7% year-on-year increase in April, marking the largest rise since October. This growth was propelled by strong performances in major markets, including Spain, Germany, France, and Italy. In May 2024, Germany alone registered 236,425 new cars, with petrol-powered vehicles accounting for 38% of the market and increasing by 2.1%. This surge in automotive sales has directly influenced the demand for 2-EHA, a crucial component in manufacturing automotive paints and coatings. Additionally, the demand resurgence was further bolstered by increased industrial activity across Europe, alongside supply constraints caused by raw material shortages, especially Propylene. Production disruptions due to labor shortages and logistical challenges further contributed to the price increase. Notable market participants, such as OQ Chemicals, have capitalized on these conditions by raising the price of 2-EHA. As a leading global entity in oxo products, OQ Chemicals strategically adjusted their pricing to reinforce the upward price trajectory. The pricing environment in Belgium remained positive, with a quarter-ending price of USD 2,922 per metric ton FOB Antwerp, indicating a strong market outlook supported by resilient demand and constrained supply.
South America
In the second quarter of 2024, the South American region experienced a significant increase in 2-Ethylhexanoic Acid (2-EHA) prices, with Brazil serving as a central point for notable price fluctuations. This upward trend was driven by several key factors that influenced market dynamics during this period. Robust demand from various industries, particularly the automotive and construction sectors, played a crucial role in driving price increases. The strong performance of these sectors, along with supply chain disruptions and logistical challenges, created a scenario where demand exceeded supply, leading to heightened price pressure. The Brazilian new car market demonstrated significant growth, with a year-on-year increase of 10.2% in May, totaling 183,214 sales. Fiat emerged as a standout performer in Brazil, surpassing the overall growth rate with a 12.3% increase in sales. Fiat's market share in Brazil (21.1%) significantly exceeded its share in Italy (9.3%), highlighting its strong presence and popularity in the Brazilian automotive landscape. This strong performance of automotive brands reflects the overall vibrancy of the Brazilian market and its positive impact on the demand for 2-EHA, which is a key component in automotive paints and coatings. Furthermore, industry surveys reported a material shortage in the global market, exacerbated by limited availability of essential raw materials such as Propylene. Notable market participants, including OQ Chemicals, have capitalized on these conditions by increasing the price of 2-EHA. As a leading global entity in oxo products, OQ Chemicals has strategically adjusted their pricing in response to favorable market conditions, thereby reinforcing the upward trajectory of 2-EHA prices in the coming months. The pricing environment in Brazil remained positive, with a quarter-ending price of USD 2,917 per metric ton FOB Manaus.
