Quarterly Update on Global Acetylene Market
For the Quarter Ending September 2020
Asia
The Asian Acetylene sales showed volume improvement versus Q2 but maintained levels below the pre-COVID era. Higher margins due to pressured raw material could partially offset the decline in the producer’s margins. Resilient demand for the oxyacetylene cylinders as the construction activity clawed back from deep contractions faced in the previous quarter. However, major plant turnarounds heard at some Chinese Acetylene-based PVC plants pressured the demand patterns, meaning limited offtakes and subdued offers observed across the region. In China, FOB prices were well around USD 11000 per tonne in the second and third quarters and are expected to remain in this range in H2 2020 due to nearly stable market outlook.
North America
Acetylene demand in the America’s remained dampened during Q3 2020. Operations at the BASF's Geismar, Louisiana, petrochemical plant remained affected by the production outages caused due to Hurricane Laura, although with limited impact over the overall margins. The company’s Geismar Acetylene site holds the capacity of 130 tonnes per annum. The US industrial gas sector saw a mixed QoQ performance, driven by gradual shift in the demand for the medical gases such as Oxygen and Carbon Dioxide. However, demand for the dissolved Acetylene and other industrial gases remained subdued under the suppressed sales of welding hardgoods. Some anticipate the Acetylene growth to flatten out in both the Americas and Europe sequentially as surging COVID cases continue to weigh over the market activity.
Europe
COVID-19 pandemic hard hit the European Acetylene demand in Q2 and Q3 with a significant fall observed in the amount of in-person trade. As the majority population stayed at home under the pandemic-induced recession, limited Acetylene requirements were heard for metal cutting and construction projects. Players observed a pronounced drop in demands from the western Europe where the lockdown had been longer and more restrictive than in central, Eastern and Northern Europe. Demand for oxyacetylene from the civil infrastructure however remained a sweet spot in the eastern Europe. Some supply constraints surfaced as the leading producers announced maintenance turnarounds by the end of the third quarter to balance their inventories.
ChemAnalyst addresses the key problematic areas and risks associated with chemical and petrochemical business globally and enables the decision-maker to make smart choices. It identifies and analyses factors such as geopolitical risks, environmental risks, raw material availability, supply chain functionality, disruption in technology and so on. It targets market volatility and ensures clients navigate through challenges and pitfalls in an efficient and agile manner. Timeliness and accuracy of data has been the core competency of ChemAnalyst, benefitting domestic as well as global industry in tuning in to the real-time data points to execute multi-billion-dollar projects globally.
Company-wise installed capacity, production volume and plant operating efficiency is captured directly from manufacturers. Import and Export volume is captured from government sources and demand for Acrylonitrile is calculated considering the production, import, export and inventory-levels on the country and regional level markets.
Acrylonitrile price is correlated with the price trend of crude oil, demand-supply gap, Propylene and with movement across the downstream derivatives such as acrylonitrile-butadiene-styrene (ABS), styrene-acrylonitrile (SAN) etc.
Basic details and information on financial performance of leading global players in the Acrylonitrile market is presented in a visually captivating manner. Expansion plans and the company’s strategy is also captured to understand the vision and mission of the company to help understand the areas where companies need to focus more.
Daily updates on industry-specific and product-specific news, exclusive primary-based news capturing plant shutdowns/outages/closures, capacity expansions, operating rates, insights on demand-supply situation, awarding of technology licenses, new product launch and deals specifying mergers and acquisitions, strategic investments and disinvestments, to help players capitalize on market opportunity.
ChemAnalyst gathers information through primary research surveys conducted with various Acetylene manufacturers, spread across the domestic and international market, suppliers and dealers/distributors to gain insights into value-chains and demand-supply scenario to assess the market situation. Thorough study of company’s annual reports and secondary sources such as exhaustive search on credible paid databases, including our internal database is done to verify the information. All the collected information is analyzed, evaluated and presented in chronological order to depict a meaningful and clear picture of the concerned market.
Our dedicated team of industry experts comprehensively monitors and analyzes various aspects of the Global Acetylene market. The team analyzes various industrial segments, strategic viewpoints and provides an analysis of the industry’s performance in the long run. This would enable our clients in efficiently plan their future investments, mitigate risk, understand the cost dynamics and strike out a balance amidst market volatility.
Critical examination of the impact of COVID-19 pandemic on the global supply chains and shift in demand patterns with change in buying behavior of consumers across the globe.
Several ongoing development projects across industries are tracked, followed by the details of major projects in the development stage, which can positively or negatively influence Global Acetylene market.
Pricing is captured through exhaustive primary interviews with domestic and international manufacturers, traders and importers and customers on monthly and yearly basis.
Finally, region-specific markets for Acetylene are analyzed and region-wise demand pattern is tracked.
Possessing two hydrogen and two carbon atoms in its chemical formula, Acetylene (C2H2) is the simplest alkyne and is the hottest and most efficient of all fuel gases. It is a highly flammable gas, which decomposes explosively. The presence of commercial Acetylene, which is lighter than air, can be detected by a distinct garlic-like smell. It is generally transported by dissolving in Acetone or DMF (dimethylformamide) in specially designed cylinders to prevent decomposition. Traditionally, Acetylene was produced from the reaction of Calcium Carbide with water. But nowadays, it is also often produced as a by-product of Ethylene production. In the United States, this colorless gas is commonly made from Natural Gas and Oxygen. A low flame moisture content makes Acetylene a great choice for many critical heating applications. Typical applications include flame heating, flame gouging, welding, flame cleaning, flame straightening, spot-heating, brazing, profile-cutting, carbon coating. Because it is lighter than air, Acetylene is the only fuel gas recommended for underground working conditions. Acetylene is also used in atomic absorption flame spectroscopy, wherein it is combined with high-purity synthetic air or nitrous oxide as a fuel for producing flame. Apart from being used as a fuel gas, Acetylene has many less-popular applications such as production of plastics, pharmaceuticals, solvents, electrochemical and highly elastic textile fibers. It also plays a crucial role in laboratory synthesis. Acetylene gas is also used in the production of Polyvinyl Chloride (PVC), which is one of the most widely used polymers across the globe.
