For The Quarter Ending September 2022
Aniline price trend oscillated during the Q3 of 2022. The prices plunged from the beginning of the quarter until the mid-quarter because of reduced demand sentiments from the downstream MDI producers. At the same time, the production costs of Aniline decreased due to a decrease in feedstock Benzene prices due to the availability of excess supplies. However, the price trend revived in the final month towards the end of Q3, and prices increased due to increased production costs caused by disrupted feedstock supplies. Consequently, after witnessing a plunge of almost 8% against the previous quarter's prices, Aniline prices in the USA settled at USD 1502/MT at the end of Q3.
Aniline prices decreased during the 3rd quarter of 2022 due to weak demand sentiments from the downstream industries. Major MDI producers in China decreased their operational rates on Government's instructions due to constant heat waves in the summer. Additionally, the depreciation in the currency values of major producers like China due to the economic slowdown amid frequent lockdowns negatively impacted the product's prices. However, towards the end, the price trend revived in India on the back of increased product offtakes but remained the same in China. At the end of Q3, Aniline prices in China and India settled at USD 1753/MT and USD 2295/MT, respectively.
A shifting price trend of Aniline was observed in the European region during Q3 of 2022. The product prices decreased until the quarter's final month due to reduced offtakes due to no significant demand from downstream MDI producers. In the last month, the price trend shifted, and Aniline prices inclined upward on the back of decreased inventory levels caused by production curtailment amid high energy prices and rationing of input supplies by the exporters. Additionally, the high inflation depreciated the Euro values against the US Dollar, more significantly towards the end of the quarter. After witnessing a decrease of 6.6% against the Q2 values, Aniline's prices in Germany settled at USD 2104/MT.
For the Quarter Ending June 2022
During the second quarter of 2022, the price of Aniline in the US market showcased an oscillating price trend. In the early Q2, the cost of Aniline rose following the raw material price trend. The upstream Crude and the feedstock nitrobenzene prices were inflating, due to the limited availability of the product, triggering the Aniline price hike. Moreover, the domestic market demand was also increasing, ushering in the Aniline price rise. Whereas, in June, there was a drop in the Aniline pricing due to the weak purchasing activity from the downstream derivative Methylene Diphenyl Diisocyanate market. The high inventories in the previous month resulted in the ample availability of the product. Furthermore, the fear of recession took place, pulling down the upstream crude prices and negatively impacting the Aniline pricing.
Aniline market fell in India in the second quarter ending June 2022. The price drop was supported by the poor demand from the domestic market. The drop in imported cargoes and the weak buying sentiments also led to the Aniline price fall. Despite the western sanctions, India and China imported a large quantity of upstream Crude from Russia at a discounted price. Thus, the huge availability of Crude led to the price drop of feedstock Benzene and Nitrobenzene. Following the raw material prices, the Aniline price trend also showcased a downward movement in the Indian market. Moreover, the reduced requirement from the downstream derivative MDI manufacturers further decreased Aniline prices.
For the second quarter of 2022, the Aniline market witnessed a see-saw price trend in the European region. At the beginning of the second quarter, the surge in the raw material values influenced the price trend of Aniline in the German market. After the sanction on importing Russian Crude oil, there was a tight supply of the product in the domestic market, resulting in the inflated Crude prices. Moreover, the healthy buying sentiments in the domestic market also triggered the Aniline values. Later, in June Aniline market dropped slightly due to the increased production in the previous months leading to the piling up of the product forcing the manufacturers to revise their offers.
For the Quarter Ending March 2022
Aniline market showcased an uptrend in North America during the first quarter of 2022. Soaring feedstocks and energy costs backed the quarterly growth of Aniline due to the Russian invasion of Ukraine. The economic growth rate influenced regional demand predictions in transportation and manufacturing, and crude oil market sentiments fluctuated dramatically in response to changes in economic fundamentals. Also, the growing freight charges influenced by the skyrocketing fuel costs and shipping halt to Russia have negatively impacted the Aniline values. As a result, in the USA, prices for Aniline settled at USD 1470 per MT CFR Texas in March.
During the first quarter of 2022, Aniline prices witnessed a drastic upward trend in India with a growth of 36.6%. Limited supply from China caused the price hike as the production remained halted on account of Lunar holidays and winter Olympics. Firm demand and shortage of supply from the regional market resulted in an upward trend in the Aniline market. In addition, increased COVID cases and lockdown implementation affected the trade, and the disruption caused by the geopolitical tension led to skyrocketing upstream crude and feedstock prices which influenced the price of Aniline. Thus, the Aniline price in India was observed at USD 2651 per MT CFR JNPT in March 2022.
In Europe, Aniline prices showcased an upward trajectory during the first quarter of 2022 due to strong market sentiments and insufficient supply of raw materials. The recovering market sentiments in Germany after the rising COVID cases and lockdown restrictions have also influenced the price hike. Prices rose due to increased consumption from the downstream sector, which includes drugs, dyes, and rubber chemicals. Aniline prices in Europe rose by nearly 4% in the month of March 2022.
For the Quarter Ending December 2021
Aniline prices showcased mixed emotions in the US market during the fourth quarter of 2021 depending upon the demand outlook. Aniline prices appeared to bullish in October backed by the tight supplies and high demand. Moreover, strong values of upstream Benzene also supported the prices. In November, Aniline prices relatively eased off backed by reduction in freight charges coupled with the ample availability. However, Aniline fundamentals rebounded back again in December due to firm demand from downstream MDI manufacturers and volatility in crude oil values.
In Asia Pacific, Aniline market sentiments differ from country to country during the fourth quarter of 2021. In China, Aniline prices witnessed an overall increment in this quarter backed by the sturdy demand from the downstream industries including PU foams, Synthetic Dyes, Agrochemicals etc. Moreover, firm prices of raw material Benzene also aided pricing trend of Aniline. Thus, FOB Qingdao Aniline prices assessed at USD 1655/MT in December. In India, Aniline market sentiments remained bearish, and a substantial decline was seen in its prices in effect of ample supplies and lower buying momentum from downstream manufacturers. Hence, Ex-Mumbai Aniline prices tumbled down to USD 2025.45/MT from USD 2132.16/MT in the timeframe of October to
Aniline prices witnessed an upward trajectory across the European region during the fourth quarter of 2021. Firm values of feedstock Benzene owing to the volatile upstream crude oil fundamentals supported the prices of Aniline in this timeframe. Additionally, Aniline price rise was also prompted by the strong demand from downstream MDI manufacturers. Moreover, many local manufacturers were forced to curtail their production levels due to acute energy crises that led to supply shortage and consequently fumed Aniline prices in this quarter.