For the Quarter Ending September 2025
North America
• In the United States, Azodicarbonamide Price Index rose in Q3 2025, driven by increasing production costs.
• Azodicarbonamide production costs increased in Q3 2025, influenced by rising ammonia feedstock and natural gas prices.
• Demand for polymer foams, a key Azodicarbonamide application, experienced steady growth throughout Q3 2025.
• Retail sales increased 5.42% year-over-year in September 2025, positively impacting Azodicarbonamide demand in consumer goods.
• Industrial production grew only 0.1% year-over-year in September 2025, indicating very slow expansion in industrial sectors.
• The Producer Price Index rose 2.6% year-over-year in August 2025, indicating higher input costs for manufacturers.
• The Consumer Price Index rose 3.0% year-over-year in September 2025, contributing to higher raw material and energy costs.
• Consumer confidence declined in September 2025, potentially dampening future Azodicarbonamide demand in consumer applications.
• The unemployment rate was 4.3% in September 2025, suggesting some labor market slack and influencing consumer spending.
Why did the price of Azodicarbonamide change in September 2025 in North America?
• Rising ammonia feedstock and natural gas prices increased production costs in Q3 2025.
• Higher Producer Price Index (2.6% in August 2025) indicated increased manufacturing input costs.
• Robust retail sales (up 5.42% in September 2025) supported Azodicarbonamide demand in end products.
APAC
• In China, the Azodicarbonamide Price Index remained subdued quarter-over-quarter in Q3 2025, influenced by weak industrial demand.
• Azodicarbonamide production costs generally climbed in Q3 2025, while demand was bearish due to contracting manufacturing activity.
• Consumer Price Index decreased by 0.3% year-on-year in September 2025, indicating weakening consumer demand for end-products.
• Producer Price Index fell by 2.3% year-on-year in September 2025, reflecting lower producer prices and industrial deflationary pressures.
• China's Manufacturing Index was contracting in September 2025, directly reducing demand for raw materials like Azodicarbonamide.
• Industrial production grew by 6.5% year-on-year in September 2025, providing some support for overall industrial input demand.
• Ample urea inventories in Q3 2025, a key feedstock, contributed to increased export availability and stable supply.
• Subdued domestic demand for commodity plastics in Q3 2025 led to an export push, intensifying market competition.
Why did the price of Azodicarbonamide change in September 2025 in APAC?
• Weak industrial demand, with PPI down 2.3% in September 2025, pressured Azodicarbonamide selling prices.
• Contracting Manufacturing Index in September 2025 reduced new orders, lowering Azodicarbonamide demand.
• Subdued domestic commodity plastics demand in Q3 2025 intensified market competition via export push.
Europe
• In Germany, the Azodicarbonamide Price Index fell quarter-over-quarter in Q3 2025, driven by weakened overall industrial demand.
• Azodicarbonamide production costs saw mixed trends, with rising urea feedstock costs offsetting retreating natural gas prices.
• Demand faced headwinds in Q3 2025 due to a 1.0% decline in industrial production in September 2025.
• The Azodicarbonamide Price Index is forecast to remain stable to slightly bearish, influenced by subdued industrial activity.
• Automotive production fluctuated in Q3 2025, while construction remained subdued, impacting Azodicarbonamide consumption.
• Rising CPI by 2.4% in September 2025 indicated higher general costs; PPI fell 1.7% due to lower energy.
• Retail sales rose 0.2% in September 2025, offering modest support to consumer-driven Azodicarbonamide applications.
• Comfortable European urea inventories and new EU tariffs from July 2025 influenced trade flows.
Why did the price of Azodicarbonamide change in September 2025 in Europe?
• Weakened industrial demand in Q3 2025, with contracting manufacturing, pressured Azodicarbonamide prices.
• Producer prices fell 1.7% in September 2025, driven by lower energy costs, easing production expenses.
• Rising urea feedstock costs in Q3 2025 partially offset lower natural gas prices, impacting costs.
