For the Quarter Ending September 2023
The Aniline prices shifted movement in the North American region during the 3rd Quarter of 2023. Initially, prices fell amid low offtakes from downstream MDI producers due to sluggish manufacturing activities in the end-user Polyurethane segment. However, during the mid-quarter, the price trend fluctuated and showcased bullish movement as the freight rates were affected amid the decline in Mississippi and Ohio river water levels and delayed shipping routes activities through the Panama Canal. Meanwhile, the stressed inventory levels and the simultaneous decline in production rates by Asian exporters due to weak upstream Benzene availability because of upstream Crude Oil production cuts by OPEC+ negatively impacted the freight rates and availability of supplies in the regional market. At the same time, the occurrence of Hurricane Idalia on August 30, 2023, made landfall and caused a hindrance in operational and supply rates. Due to this, the Aniline prices surged noticeably during the final month of Q3. Towards the end of the quarter, dye makers' consumption rates were firm amid consistent offtakes from the textile sector. Conclusively, the Aniline prices in the USA witnessed USD 2115/MT at the end of Q3 of 2023.
In the Asian region, the Aniline prices showcased oscillated during the 3rd quarter of 2023. Initially, prices decreased due to the availability of previous stocks and simultaneous contraction in cost support on feedstock Nitric Acid due to a decline in upstream Ammonia prices. During the mid-quarter, the occurrence of regional storms and typhoons like Doksuri, Saola, and heavy rains stressed the production and supply rates. Simultaneously, the petrochemical manufacturers suppressed their feedstock Benzene supplies because of upstream Crude Oil production cuts by OPEC+. It reduced the Aniline's production rates and negatively impacted the availability of Aniline supplies in the regional market. Towards the end of the quarter, the cost support was firm on feedstock Nitric Acid due to high feedstock Ammonia prices amid increased demand from fertilizer and pesticide manufacturers. Consequently, Aniline prices remained firm and surged noticeably amid tightened supplies from suppliers. At the end of Q3, 2023, Aniline prices in South Korea and Taiwan hovered at USD 1865/MT and 1862/MT, respectively.
Like the North American region, the Aniline prices fluctuated in Europe during the Q3 of 2023. Initially, production costs were low due to the reduction in upstream Natural Gas costs from Dutch TTF. Simultaneously, the procurement activities declined from downstream MDI producers due to sluggish offtakes from Polyurethane buyers amid moderately low orders from the construction sector and electronic appliances manufacturers. The high energy prices and hike in bank interest rates by European banks resulted in a decline in demand from buyers, causing a slowdown in the Eurozone growth. Consequently, the Eurozone manufacturing Purchasing Manager's Index dropped gradually during the 3rd quarter, indicating contractions in manufacturing sector activities. The price trend was revamped during the mid-quarter due to the regional summer holidays' effect on production and supply rates. The feedstock Nitric Acid prices escalated due to affected upstream Natural Gas supplies from Norwegian suppliers amid speculations around the Australian LNG facility strike. It suppressed the inventory levels towards the end of the quarter. Conclusively, Aniline prices in the Netherlands and Belgium hovered at USD 1642/MT and USD 1570/MT, respectively, at the end of the quarter.
For the Quarter Ending June 2023
The Aniline prices shifted movement in the North American region during the Quarter 2 of 2023. Initially, the price trend was firm, and prices rose marginally amid increased cost support from feedstock Benzene and volatile upstream Crude Oil prices. Meanwhile, cost pressure was decreased during mid-Q2 due to the contraction in upstream prices and reduced consumption rates amid a drop in fuel demand with the temperature rise. Simultaneously, the feedstock Nitric Acid prices fell consistently due to contraction in upstream Ammonia prices and declined offtakes from fertilizer industries. It decreased the production cost of Aniline. During the mid-quarter, the price trend remained stable due to moderate supplies from the exporters and an increase in container freight costs. The offtakes remained sluggish from the downstream MDI producers due to sluggish inquiries for Polyurethane coatings from the construction sector during Q2 of 2023. Towards the end of the quarter, inventory levels rose amid weak consumption rates, and the exporters decreased their quotations amid destocking practices. At the end of the quarter, Aniline prices in the USA witnessed USD 1630/MT.
The Aniline price trend showcased bearish movement in the Asian region, and prices decreased throughout quarter 2 of 2023. The demand was low from regional and international importers because of inadequate consumption rates in downstream MDI industries due to the sluggish demand for PU foam in the manufacturing sector amid firm availability of supplies. Simultaneously, the consumption rates from Polyurethane elastomer and coating producers remained inadequate throughout the quarter due to the inactive construction sector. Meanwhile, the strengthening of the US Dollar and the weakening of the other currencies impacted the contracted product prices in the international markets. Meanwhile, Aniline prices decreased slightly towards the end of the quarter amid intensified buying activities before the Dragon boat festival in China. At the same time, the feedstock Benzene prices decreased, especially from the mid-quarter, due to a reduction in cost pressure from upstream amid the drop in fuel consumption with the temperature rise. Simultaneously, the decrease in feedstock Nitric Acid prices during Q2 due to the depressed demand from the fertilizers manufacturers reduced the production costs of Aniline. Conclusively, at the end of Q2, 2023, Aniline prices in China witnessed USD 1530/MT.
In the European region, the price trend of Aniline shifted movement during the Q2 of 2023. Initially, the price trend was firm, and prices rose marginally amid increased cost support from feedstock Benzene and volatile upstream Crude Oil prices. Meanwhile, cost pressure reduced during mid-Q2 due to the contraction in upstream Crude Oil because of reduced consumption rates from refineries and a drop in fuel demand with the temperature rise. Simultaneously, the consistent decreases in the feedstock Nitric Acid prices throughout the quarter amid sluggish consumption from fertilizer industries and depressed orders for agrochemicals in the agriculture sector reduced the production costs of Aniline. Furthermore, the reduction in Natural Gas prices decreased the variable costs during quarter 2 of 2023. Aniline demand remained moderately low from the downstream MDI producers due to feeble consumption rates of Polyurethane sealants and coatings in the construction and electronics industries. At the end of the quarter, the decline in the price intensified amid firm availability of supplies from Asia and reduced buying and manufacturing activities in the region. The hike in bank interest rates by the European Central Bank and the Bank of England to curb rising inflation made the buyers conscious while making purchases, and they avoided any unnecessary trading activities. Conclusively, the Aniline prices in the Netherlands and Belgium witnessed USD 1575/MT and USD 1539/MT, respectively, at the end of Q2.
Aniline’s price trend remained firm during the 1st quarter of 2023, and prices rose marginally throughout the quarter. The orders were stable for MDI from Polyurethane industries due to sufficient availability of supplies amid moderate production rates and reduced activities in the manufacturing sector. At the same time, increases in Federal Reserve Interest rates throughout the quarter to curb rising inflation made the buyers conscious while making purchases. Due to an increase in upstream cost pressure amid volatile upstream costs, Aniline prices rose in the final month of Q1. At the end of the quarter, Aniline prices in the USA settled at USD 1765/MT.
Aniline price trend shifted sentiments in the Asian region during Q1 of 2023. Initially, prices witnessed a fall due to declined orders from MDI producers amid the new year holidays. Then the price trend shifted, and prices rose during the mid-quarter amid improved demand for MDI in the manufacturing sector due to increased demand for furniture in the retail sector. In the final month, the prices rose noticeably due to increased inquiries and market trading activities and stressed the availability of supplies due to plant shutdowns. At the same time, shifting upstream costs amid volatile crude oil prices raised the upstream cost pressure. At the end of the quarter, Aniline prices in China witnessed USD 1974/MT.
The Aniline price trend shifted sentiments during the Q1 of 2023. Initially, the prices continued to decline due to depressed orders from MDI producers due to sufficient availability of supplies. Due to the further depreciation in orders from the downstream amid weak demand from the manufacturing sector, Aniline prices plunged noticeably during the mid-quarter. Simultaneously, feedstock Nitric Acid prices fell throughout the quarter due to depressed demand from fertilizer producers and a significant reduction in the upstream Dutch TTF natural gas futures, which eased the cost support. However, towards the end of the quarter price trend rebounded, and prices rose due to volatile upstream costs and an increase in production costs. At the end of Q1, 2023, the Aniline price in the Netherlands settled at USD 1827/MT.