For the Quarter Ending September 2023
North America
Amlodipine Besylate prices declined by 19.44% in September 2023 when compared to July levels. Business activity in the United States declined in the third quarter due to lower demand from both domestic and international markets. In the United States, inflation climbed to 3.7% in August for the first time since June 2022, as a strong rise in energy prices pushed prices higher near the end of the summer, impacting even more on consumer confidence. Inflationary pressures suggest that the US economy is moving away from the Federal Reserve's 2% target rate, pushing officials to contemplate hiking interest rates later this year. The Federal Reserve hiked its key policy interest rate by 0.25 percent in July, the eleventh time in 17 months, to combat persistent inflation in the US economy, which has resulted in lower market demand. In September, inflation remained high, owing mostly to higher gas and rental prices, which put further strain on consumers. New orders fell for the sixth consecutive month, albeit at a slower pace, resulting in a drop in Amlodipine besylate pricing. Prices concluded at USD 76290/MT CFR Los Angeles at the end of Q3.
Asia Pacific
Amlodipine Besylate prices in China declined 19.05 percent in September compared to July levels. The Chinese economy was confronted with new impediments and challenges, which slowed economic development. According to the National Bureau of Statistics (NBS), the official manufacturing PMI (Purchasing Managers' Index) was 49.3 in July. This value, however, remained below 50, indicating contraction rather than expansion. Business and production activity has slowed down because of lower international orders and sales. Inflation and rising interest rates in the United States, Europe, and key export markets continue to weigh on Chinese demand, with the new export order sub-index falling in August for the sixth month in a row. China's manufacturing purchasing managers' index (PMI) was 50.2 in September, returning to the expansion zone. This data reveals that manufacturing market demand has gradually improved, and business operations have increased at a faster rate. However, Chinese exporters have continued to face political difficulties and a concerted international push to reduce reliance on China, resulting in a drop in demand from overseas markets. Prices stabilized at USD 75000/MT USP FOB Shanghai at the end of Q3.
Europe
Since the beginning of the third quarter, the price of Amlodipine Besylate in Germany has reduced by 18.95% in September. In Germany, the purchasing managers' index (PMI) dipped to 41 in July, showing a sustained fall in new orders from both domestic and foreign markets despite adequate stocks among market players. Furthermore, as a result of repeated rate rises, rising inflation, the oil crisis, and geopolitical factors, consumer confidence remained low in August. The continuation of high inflation, fueled by high energy and oil prices, harmed consumer spending power and aided the decline in Amlodipine Besylate prices. The industrial sector in Germany, which accounts for roughly one-fifth of the country's economy, remained in a slump in September owing to sluggish demand and rapidly declining output, which also resulted in a drop in Amlodipine Besylate prices. Consumer uncertainty, significant stock reduction measures, and a drop in business activity all contributed to weaker demand. With the termination of Q3, the prices settled at USD 75820/MT CFR Hamburg.
For the Quarter Ending June 2023
North America
Amlodipine besylate prices dropped by 3.41% in June 2023 from levels seen in April. The US Manufacturing PMI (Purchasing Managers Index) fell to 46.3 in June, from 48.4 in May and 47.1 in April, suggesting the decline in end consumer purchases. Due to lower demand in the market, traders and suppliers have reduced the price of Amlodipine Besylate to liquidate existing inventory in order to maintain their profitability. The consumer price index (CPI), an indicator of inflation, inclined just 0.2% in June from 0.1% in May, indicating a slower pace of inflation in more than two years as the Federal Reserve raised interest rates sharply to bring inflation down. This lowered the end-user demand in the market, putting downward pressure on prices. In addition, the US dollar strengthened against the Chinese yuan in the second quarter, making imports cheaper, leading to an increased supply of APIs (active pharmaceutical ingredients), including amlodipine besylate in the US market, supporting the downward trend of prices.
Asia Pacific
The prices of Amlodipine besylate decreased by 3.65 percent in June 2023 compared to the levels observed in April. The factors responsible for this trend include increased supply, weaker demand, and weaker trade activity. As per the National Bureau of Statistics (NBS), China's manufacturing PMI (Purchasing Managers' Index) settled at 49 in June, compared to 48.8 in May and 49.2 in April, demonstrating the contraction in the manufacturing sector. The production activity declined in the second quarter because of weakened demand from end-consumers with declining purchasing activity and a fall in new orders indicating China's post-pandemic slowed down. The supply chain continued to disrupt as a result of the war in Ukraine, which affected the exporting activity that increased the supply in the Chinese domestic market, putting downward pressure on prices. Apart from this, China's consumer price index (CPI), a key indicator of inflation, remained flat year-on-year in June compared to a 0.2% annual increase in May, according to the National Bureau of Statistics, that further explains lower Amlodipine besylate prices.
Europe
In Germany, a 4.25% downward trend in the Amlodipine Besylate price was observed in June since the beginning of the second quarter. Increased supply, decreased downstream demand, and currency fluctuation supported this downward trend. The euro strengthened against the US dollar, increasing the supply of amlodipine besylate in the German market by making imports cheaper. Manufacturers, suppliers, and merchants are focusing on clearing inventory, which has caused prices to continue to fall. Additionally, the manufacturing PMI (Purchasing Managers Index) fell to 41 in June, from 43.2 in May and 44.5 in April, indicating a contraction in the manufacturing sector with purchasing activity falling. Increased supply of generic version of Amlodipine besylate due to ease of regulation also contributed to decreased prices. The German economy is being hit by high inflation and interest rate hikes by the European Central Bank, pushing up food and energy prices. This has increased the cost of living, reduced the purchasing power of consumers, and put downward pressure on prices.
In the first quarter of 2023, Amlodipine Besylate showed stable appreciation in the price trajectory. Prices rose at the start of Q1 2023 and stayed up through the end of February thanks to merchant supplies to satisfy demand and ongoing purchases from the pharmaceutical end-user business. The settlement price of Amlodipine Besylate API was reported at USD 51520/MT CFR New York, with an average quarterly inclination of 0.70%. Additionally, the market position was favorably impacted by improved trade flow and simpler logistic charges than the previous quarter. On the other hand, prices stabilize from the beginning of February till the termination of March due to sufficient stocks, low-end-user sector offtakes, and a decrease in freight costs.
Amlodipine Besylate prices witnessed a positive trajectory in the APAC region in the first quarter of 2023. The prices surged considerably at the commencement of Q1 2023, with the demand from both the domestic and international markets for the replenishment of their inventories with fresh stock. Also, increased production activities kept the market situation strong. With the commencement of February 2023, After the Lunar New Year break, the Chinese pharmaceutical markets technically returned on a positive note with consistent orders from both the domestic and the international market. As the market was reopened, factory and port operations resumed. At the termination of Q1 2023, the settlement price of Amlodipine Besylate API accessed at USD 34100/MT FOB Shanghai with an average quarterly inclination of 1.24%.
Amlodipine Besylate's price trajectory showed consistent appreciation in the first quarter of 2023. Due to merchant supply to meet demand and continued purchases from the pharmaceutical end-user sector, prices increased at the beginning of Q1 2023 and remained up until the end of February. Amlodipine Besylate API's settlement price was reported to be USD 54560/MT CFR Hamburg, with a quarterly average inclination of 1.05%. The market position also benefited from an increase in trade flow and simpler logistic costs compared to the previous quarter. On the other hand, prices stabilize from the start of February to the end of March as a result of adequate stocks, offtakes from the low-end consumer sector, and a decline in freight costs.
