For the Quarter Ending June 2025
North America
• The Bentonite Price Index (DEL Wyoming) had a bit of a mixed story during the second quarter of 2025: prices decreased by 2.82% in May to USD 207/tonne followed by a positive gain of 1.45% in June to USD 210/tonne as oilfield service activity picked back up and summer construction projects loomed.
• Why did the price of Bentonite change in July 2025? Price changes were limited as June’s recovery momentum plateaued. Supply resumed post-maintenance, but demand from drilling and HDD held steady rather than improving, capping further price upside.
• Bentonite spot price movements were shaped by shifts in U.S. rig count (up 3.2% in June), and stable imports from China, despite minor West Coast port congestion.
• Infrastructure projects under the U.S. Infrastructure Investment and Jobs Act will likely sustain Bentonite consumption in civil engineering and HDD. However, foundry demand may stay muted.
• While mining remained cost-stable, labor and inland freight rates exerted mild inflationary pressure. Rail logistics helped mitigate broader transport issues.
• Prices are expected to remain steady to slightly firm, with forecast range around USD 210–215/tonne DEL Wyoming, assuming no drilling slowdown or major transport disruptions.
Europe
• The Bentonite Price Index (FOB Mersin) rose steadily across Q2 2025, up by 2.78% in May and 1.08% in June, closing the quarter at USD 187/tonne.
• Why did the price of Bentonite change in July 2025? Price stability was observed as exporters fulfilled prior contracts while new inquiries slowed. Domestic infrastructure works continued but did not accelerate further, leading to plateaued pricing.
• Strong exports to Germany, Italy, and Romania and urban redevelopment in Istanbul and Izmir underpinned price firmness. Turkey benefited from lower vessel wait times at Mersin and shorter EU freight lanes.
• Expected to stay firm, especially in Eastern and Central Europe, where tunneling, rail, and landfill sealing projects continue.
• Input prices for soda ash and fuel stayed steady; no major cost surges were reported. Operational efficiency improved post-port modernization at Mersin.
• Expected to remain in the USD 185–190/tonne FOB Mersin range, supported by active EU demand and efficient logistics.
Asia-Pacific
• The Bentonite Price Index (FOB Tianjin) rose 0.98% in June, following a 2.50% increase in May, closing Q2 2025 at USD 207/tonne, reflecting strong export interest and a mild domestic infrastructure rebound.
• Why did the price of Bentonite change in July 2025? Price growth softened as export momentum into the U.S. and Southeast Asia cooled and domestic offtake plateaued after Q2 infrastructure stimulus waned.
• Bentonite spot price pressure remained low due to stable supply from Inner Mongolia and Xinjiang. Port operations at Tianjin and Ningbo normalized, supporting timely export flows.
• Chinese infrastructure activity may decelerate mildly; however, demand from Belt & Road countries (e.g., Vietnam, Malaysia) is expected to stay supportive.
• Costs stayed flat; however, thin margins and low domestic pricing discouraged aggressive production expansion. Capacity utilization remained conservative.
• Expected to hover around USD 205–208/tonne FOB Tianjin, with upside risks tied to overseas demand and potential domestic stimulus.
For the Quarter Ending March 2025
North America
Bentonite prices in North America showed consistent upward movement in Q1 2025. In the U.S., prices rose by 8.54% in January, 6.74% in February, and 2.11% in March with USD 194/Tonne. This growth was fueled by rising drilling costs, strong demand from the oil & gas sector, and increased mining expenses. Despite a decline in non-residential construction, drilling activities in Texas drove demand. Compared to Q4 2024, when prices dropped due to weak demand and oversupply, Q1 2025 saw stronger market conditions, with steady demand from drilling and infrastructure projects.
Bentonite supply in the U.S. was constrained due to rising operational costs and transportation expenses linked to crude oil prices. Canada saw increased exploration but faced regulatory challenges. Supply conditions were tighter in Q1 2025 compared to Q4 2024, where oversupply and lower drilling activity led to price declines.
Demand in the U.S. remained strong, supported by robust drilling and infrastructure activity. Canada’s demand was stable, while Mexico’s construction sector faced a downturn. Unlike Q4 2024, where weak demand and oversupply dampened prices, Q1 2025 saw steady growth, particularly in the U.S., reinforcing a bullish market outlook.
APAC
In Q1 2025, Bentonite prices in APAC showed significant volatility, influenced by supply constraints and varying demand from key sectors. A +6.72% price rise in China was driven by increased energy sector demand and rising production costs. February followed with a +10.49% increase due to supply bottlenecks and consistent demand from drilling and construction. And at the end of Q1 saw a sharper 12.66% rise with USD 178/Tonne, fueled by strong demand from industrial and energy sectors, along with regulatory constraints. Overall, the market sentiment remained bullish.
Supply challenges were prominent, particularly in China, where logistical delays and regulatory measures limited export availability. Production in India and South Korea remained stable, but local disruptions and rising operational costs added pressure on supply, driving prices higher. Southeast Asia, especially Thailand and Malaysia, faced moderate supply constraints due to mining regulations and trade tensions. Demand was strongest in energy and infrastructure sectors, particularly in China, Malaysia, and Vietnam. Despite setbacks in South Korea's construction sector, India's and Thailand's steady demand helped sustain overall price increases in Q1 2025.
In contrast to Q4 2024, where prices fluctuated, Q1 2025 saw consistent price increases driven by supply constraints and strong demand, particularly from energy and industrial sectors.
Europe
Bentonite prices saw a significant upward trend in Q1 2025, especially in Turkey, where strong domestic demand in oil drilling and construction led to a price rise of 9.09% in January and 20.00% in March with USD 150/Tonne. Global markets experienced mixed demand dynamics, with oil drilling and industrial applications driving the bullish market in Turkey. However, Europe faced challenges, with Germany and Italy showing weak demand in construction and high operational costs, leading to a stable-to-bearish market in key European regions. Compared to Q4 2024, which had a contrasting price shift from slight dips to surges in Turkey, Q1 2025 demonstrated more consistent growth driven by strong domestic demand in Turkey and regional variations in Europe.
Production in Turkey remained stable, although supply tightened due to increased local consumption. Europe faced logistical disruptions, including strikes and port delays, affecting supply chains, while Saudi Arabia’s Vision 2030 ensured a high Bentonite supply. The previous quarter saw stronger supply conditions with Turkey benefiting from stable export levels, while Q1 2025 experienced tightening exports amid growing domestic demand. In Turkey, oil drilling and construction activities fueled a significant surge in demand, driving the market higher. Spain saw moderate demand growth from mining, while Germany and Italy experienced weak construction sector performance. In comparison to Q4 2024, where Turkish demand was fueled by a boost in production and oil drilling, Q1 2025 showed continued strength in domestic demand, although European markets showed signs of stagnation and declining demand.
For the Quarter Ending December 2024
North America
The Sodium Bentonite market in Q4 2024, specifically USA, experienced a decline in prices, primarily due to subdued demand and increased supply. The first half of the quarter saw a price drop fueled by increased oil supply, reduced drilling activity (in response to moderate demand), and weak global economic conditions. The latter half continued to witness the same trend in the US, mirroring India's experience. Conversely, China and Turkey witnessed significant price increases due to strong demand in construction and drilling.
The decline in US Bentonite prices stemmed from a confluence of factors. Reduced drilling activity, driven by stable oil production and high inventories, significantly lowered demand for Bentonite-based drilling fluids. Simultaneously, consistent domestic production, primarily from Wyoming, created an oversupply situation. Weak global economic conditions further dampened demand, while competition from lower-priced international sources, particularly Turkey, impacted US export volumes. Although the resolution of the US east coast port strike improved logistics, the overall effect of these factors resulted in a downward pressure on prices.
Producers faced challenges from oversupply, reduced demand from the energy sector, and competition from lower-cost international suppliers. Maintaining profitability amidst weak demand required cost optimization and exploration of alternative market segments.
APAC
In Q4 2024, the Bentonite market in the APAC region, particularly in China demonstrated significant volatility. October saw a slight price decrease due to increased domestic energy production leading to higher supply and moderate demand across key sectors. Increased natural gas and power generation further reduced reliance on drilling additives, a major Bentonite consumer. Although post-Golden Week logistics improved, global shipping oversupply and lower crude oil imports contributed to the price dip.
November presented a contrasting picture with a sharp price increase driven by robust domestic demand from drilling and construction activities. This surge was fueled by government stimulus, increased crude oil imports, and heightened mining and production in key regions like Inner Mongolia and Shandong. Despite the increased production, export activity remained low as domestic needs took priority. Challenges included higher input costs, stringent environmental regulations, and rising labor expenses, resulting in tighter stock availability. Increased seasonal demand for coal-fired power generation further boosted Bentonite consumption.
In nutshell, Q4 2024 showed a market influenced by the interplay of increased domestic energy production, government policy, and global market trends. While October experienced a slight price decline due to surplus supply, November saw a sharp price increase driven by strong domestic demand. Market participants faced challenges related to fluctuating global prices, higher input costs, environmental regulations, and labor expenses.
Europe
The European Bentonite market, particularly in Turkey in Q4 2024 presented a contrasting picture compared to other global regions. While the first half of the quarter saw a slight price dip, the latter half experienced a significant surge, driven by robust domestic demand and increased production.
Turkey's Bentonite market in Q4 2024 saw a dramatic shift from October's slight price dip to November's surge. Record domestic oil and gas production, coupled with increased mining output and government infrastructure projects, fueled strong domestic demand. High-quality Turkish Bentonite's strategic location attracted significant export orders. While stable global crude oil prices initially supported drilling activity, the potential for future price increases further strengthens the market outlook. This interplay of domestic growth and strong international demand created the contrasting market performance between October and November.
While the strong domestic market presents opportunities, maintaining this momentum requires careful management of supply chains to meet both domestic and international demand. Continued investment in exploration and efficient mining practices will be crucial. Vulnerability to fluctuations in global energy prices and international demand remains a challenge for Turkish Bentonite producers.
For the Quarter Ending September 2024
North America
In Q3 2024, the North American Bentonite market experienced a notable decline in prices, with the USA witnessing the most significant changes. Various factors influenced this downward trend, including weakening demand from key industrial sectors like Oil & Gas and other drilling applications.
The overall economic environment, characterized by softening manufacturing activities and stagnant demand, played a crucial role in shaping market dynamics. Additionally, challenges in the global supply chain and fluctuations in energy input costs contributed to the price decrease. In the USA specifically, Bentonite prices saw a substantial decrease of -20% from the previous quarter, with a notable -10% drop between the first and second half of the quarter.
This downward trend culminated in a quarter-ending price of USD 178/MT for Sodium Bentonite DEL Wyoming. The overall sentiment in the pricing environment for Bentonite in Q3 2024 remained negative, reflecting the challenging market conditions and subdued demand across the region. Meanwhile, no major supply chain disruptions were observed, supporting this overall price downtrend in the country.
Asia
In Q3 2024, Bentonite pricing in the APAC region witnessed an overall decline, with China experiencing the most significant price changes. The market was influenced by various factors leading to frequent fluctuations in prices. Supply chain disruptions, geopolitical tensions, and reduced industrial activities contributed to the downward pressure on Bentonite prices. The global trade routes faced challenges, impacting shipping costs and overall supply dynamics. Additionally, weakened demand in key sectors such as construction and drilling further exacerbated the price decline. In China specifically, the market showed a bearish trend with high supply levels and low demand, resulting in moderate price fluctuations. The economic slowdown and ongoing trade tensions played a significant role in shaping the pricing environment. Seasonal factors like the Golden September and Silver October peak season in the auto industry did little to offset the overall negative trend in demand. The quarter recorded a 6% decrease from the previous quarter, with a -3% price comparison between the first and second half of the quarter. The quarter-ending price for Sodium Bentonite (Drilling Grade) FOB Tianjin in China stood at USD 126/MT, reflecting the prevailing decreasing sentiment in the Bentonite market.
Europe
As per the data, Bentonite prices kept on fluctuating in a narrow range in the European market during the third quarter of 2024. The key factor behind these fluctuations were uncertainties hovering around the economy due to ongoing war in the west Asia coupled with prolonged dullness in economic momentum of not Europe but also USA. Europe’s freight market in Q3 2024 was marked by rising costs, container shortages, and logistical challenges. Major carriers like MSC and CMA CGM raised FAK rates to as high as $6,500 per container due to space constraints and operational surcharges. Red Sea disruptions and port congestion in Singapore further delayed shipments. Air freight rates from Northeast Asia to Europe surged due to e-commerce growth and semiconductor demand, with spot rates up 40% year-on-year. Despite increased capacity, imbalances between outbound and return loads persist, complicating logistics. As geopolitical tensions and seasonal demand rise, freight markets are expected to remain volatile into Q4 2024. On the economic perspective, Europe’s economic landscape in Q3 2024 was marked by stagnation and challenges, with Germany, the largest economy in the eurozone, grappling with a prolonged industrial recession. The Bundesbank reported weak industrial output, high energy costs, and declining export demand. Germany’s economy showed little to no growth and might contract again this quarter, negatively impacting the broader eurozone.
FAQs
1. What are the key applications driving Bentonite demand in 2025?
Drilling fluids for oil & gas, HDD (horizontal directional drilling), tunneling, foundation sealing, landfill liners, and iron ore pelletizing are the main drivers across North America, Europe, and Asia.
2. Who are the top Bentonite producers in the United States?
Leading producers include Bentonite Performance Minerals (BPM), CETCO (Minerals Technologies), Black Hills Bentonite, and Wyo-Ben Inc.
3. What is driving Bentonite demand in Q3 2025?
Key drivers include HDD and civil tunneling projects in North America, tunneling and geotechnical applications in Europe, and infrastructure-driven demand in Asia (India, Vietnam, and China).
4. Is Bentonite affected by tariffs in international trade?
Bentonite itself isn't tariff-targeted, but U.S.–China trade tensions and logistical costs may indirectly influence price volatility and supply chain planning.
