For the Quarter Ending June 2021
Benzoyl Chloride prices-maintained firmness during this quarter across North America region. The demand for the product from the downstream pharma, perfume and other derivatives segments remained sturdy. In the meantime, rapid economic growth also increased the consumption from the personal care products of the country, supported by improved global demand. Therefore, global offtakes also increased for USA during this quarter, which also supported the Benzoyl Chloride market of the country.
Asian market showcased mixed sentiments for Benzoyl Chloride this quarter. In China, demand for Benzoyl Chloride remained firm during this timeframe, as the sharp rebound in economic activities bolstered the demand from the domestic market, while ensuring high production activities. Therefore, prices-maintained firmness throughout the quarter in China, supported by ample offtakes from the personal care and pharma segment. Meanwhile in India, prices dropped during the month of May, due to crippled demand under pandemic mayhem in the country. These prices rebounded in June under expectations of market recovery, which eventually hovered around USD 2933.6/MT.
Market sentiments of Benzoyl Chloride remained firm in Europe during this quarter, supported by ample offtakes from the regional buyers. Major European economies recovered from the pandemic devastation and pushed up their industrial activities. Therefore, a steep recovery in demand and consumption was observed for Benzoyl Chloride during Q2 2021 across the region. In addition, European personal care market is one of the richest markets of the Europe, and significant quantity of Benzoyl Chloride was consumed by this segment of the region during this quarter as well.
For the Quarter Ending March 2021
Demand for Benzoyl Chloride remained modest to firm in the North American market during Q1-2021, as the demand fluctuated with segment over segment during this quarter. Pharmaceutical segment of overall North America remained firm and thus the demand for Benzoyl Chloride for downstream Peroxide derivatives manifested recovery. However, the demand for Benzoyl Chloride from dye and surfactant segment remained lower than expected, which reduced the overall imports of USA during this timeframe across the region.
Despite of sufficient market recovery post COVID by several countries, Asian market encountered lower demand from downstream segments for Benzoyl Chloride However, Exports remained ideally stable throughout the quarter, regardless of trade route congestions and halted trading activities in some international ports. In the Indian market, demand from domestic surfactant and pharmaceutical segments remained firm, however the prices remained stable throughout this timeframe.
European market encountered low demand for Benzoyl Chloride from domestic downstream segments. Second wave of COVID 19 and movement restrictions across some areas reduced the demand from dye and fragrance segments. However, pharmaceutical sector remained stable and production by major players remained consistent. In addition, major players of Sweden, revealed that they evoked optimum production rate for Benzoyl Chloride under stable demand from international market.
For the Quarter Ending December 2020
Demand for Benzoyl Chloride in the Asian markets prevailed as various countries like China, Japan and India were heard ramping up their plant capacities to make up for the losses incurred in H1 2020. Steady hike in the prices of feedstock, Thionyl Chloride backed by low product availability across Southeast Asia provided an upward push to the prices of several Acid Chlorides during the quarter. In some southeast Asian countries, such as Malaysia and the Philippines, re-imposition of national lockdowns further pressured the possible signs of demand recovery and added to the inventory pressure.
The revival of Europe from the pandemic-induced slowdown and increased exports of organic & inorganic chemicals led to increase in production rates, pushing forward the prices of Benzoyl Chloride in the regional market. In early December, the availability of the European Benzoyl Chloride increased as feedstock problems in the upstream market had mostly been fixed because of ease in lockdown restrictions along with relaxed supply chains. However, the plant utilization rates gradually improved since pharmaceutical industry, the key end user of Benzoyl Chloride under prevailed from the consistent upward push in domestic demand.
With the uniform growth in prices of the Thionyl Chloride, Benzoyl Chloride prices in the US took an uptrend later in the quarter. Prices revived towards the end of the quarter due to increased utilization in agrochemicals, pharmaceuticals, etc. With the news of vaccine roll out towards the end of the quarter, there seemed increasing pressure on companies to increase capacity utilizations to maintain profit margins. Benzoyl Chloride is widely used reagent in production of various pharma and dye intermediates. Reopening of several consuming sectors boosted the price curve towards the end of the quarter.