For the Quarter Ending March 2025
North America
Throughout Q1 2025, the benzoyl chloride market in North America followed a fluctuating path. In January, prices rose slightly as restocking efforts gained momentum ahead of the spring season. Severe winter conditions caused supply disruptions, impacting chemical operations and prompting cautious inventory management. However, downstream demand, particularly from agrochemical formulation remained muted due to weather-related delays in agricultural activities and conservative procurement strategies.
February brought a moderate price increase, driven by tighter domestic inventories and improved purchasing activity as growers prepared for early spring planting. Steady agrochemical demand, especially for herbicides and pesticides tied to corn and soybean acreage, contributed to firmer sentiment. The market gained additional traction from a recovery in industrial activity, though buyers remained selective amid persistent economic caution.
In March, prices corrected slightly, reflecting softer procurement momentum. Field applications for crops such as rice and sorghum were delayed by adverse weather, limiting near-term demand. Despite stable domestic availability and manufacturing rates, broader sentiment turned cautious due to trade policy concerns. Overall, the quarter closed on a stable note with balanced supply and seasonally influenced demand.
APAC
Throughout Q1 2025, the benzoyl chloride market in APAC followed a generally bullish path before easing slightly in March. January saw a modest price increase as producers ramped up operations ahead of the Lunar New Year, with strong restocking demand from Southeast Asia and stable domestic consumption in China’s agrochemical sector. Cold weather in key regions like Guangdong impacted crop conditions, supporting pesticide-related demand. In February, prices rose sharply on the back of strong feedstock benzene costs and rising consumption in herbicide and insecticide production. Seasonal agricultural activities—especially in North China—boosted fertilizer-linked demand, with wheat greening and topdressing increasing usage of benzoyl chloride intermediates. However, March saw a slight correction in prices as feedstock benzene values declined amid weak downstream polymer demand and a sluggish construction sector. Market competition intensified due to uneven offtake and high inventories. Export operations faced delays due to congestion at Shanghai Port, compounding supply chain pressure. Despite steady agrochemical demand, overall market sentiment softened, leading to a cautious close to the quarter.
Europe
Throughout Q1 2025, the benzoyl chloride market in Europe followed a mixed trajectory, starting with a slight price rise in January as restocking activity picked up ahead of the spring planting season. Demand from the agrochemical sector, particularly herbicide intermediates, provided early support amid preparations for crop treatment across Western Europe. Pharmaceutical and dye intermediate applications saw limited movement, but consistent procurement for pre-season formulations helped maintain a firm tone. In February, prices softened modestly due to high inventory levels and subdued downstream consumption in the specialty chemicals and coatings sectors. While agrochemical usage remained steady, buyers across other industries adopted a cautious stance, delaying bulk purchases amid economic uncertainty. By March, prices experienced a marginal decline as market sentiment weakened further. Demand from pharmaceuticals remained low, and industrial consumption stayed constrained due to reduced construction and export-related activity. Although seasonal agricultural demand offered some stability, it was insufficient to counter broader demand headwinds. With steady supply and restrained downstream pull, the European benzoyl chloride market ended the quarter on a slightly weaker footing.
For the Quarter Ending December 2024
North America
The benzoyl chloride market in North America experienced a steady decline throughout Q4 2024, driven by reduced import prices, oversupply, and subdued demand from key downstream sectors. In October, prices decreased as weak demand from agrochemicals and polymers coincided with cheaper imports and cautious procurement strategies from buyers. Seasonal factors and reduced activity in agriculture and construction further limited market momentum. Although domestic production remained stable, elevated inventory levels and increased global supply from APAC producers weighed heavily on market sentiment.
In November, the downward trend accelerated due to significant pressure from high stock levels, minimal downstream consumption, and declining feedstock benzene costs, which offered limited production cost support. Agrochemical demand remained subdued post-harvest, with fertilizer consumption slowing, while the polymer sector struggled with weak construction activity and restrained industrial investments. Manufacturers implemented aggressive destocking measures, including discounts, to manage excess inventories, but transactional activity remained minimal.
By December, benzoyl chloride prices in North America continued to decline. Oversupply, stagnant feedstock costs, and weak demand from agrochemical and polymer industries compounded the bearish sentiment.
APAC
In Q4 2024, benzoyl chloride prices in APAC exhibited fluctuating trends, driven by oversupply and variable demand across downstream sectors. In October, prices declined due to weak cost support from feedstock benzene and insufficient demand from agrochemical and polymer industries. China's real estate challenges significantly impacted the demand for downstream chemicals, with construction activity remaining subdued. High inventory levels further pressured the market, despite slight increases in export activity following earlier port disruptions. In November, prices continued to soften as persistent oversupply and sluggish procurement activity prevailed. Domestic and international demand for agrochemical intermediates like herbicides and pesticides remained weak, compounded by cautious purchasing behavior and limited follow-through on transactions. By December, the bearish sentiment persisted, with benzoyl chloride prices experiencing another slight decline. Manufacturers faced challenges in clearing excess inventory, while buyers restricted purchases to essential needs. Seasonal slowdowns in construction and the off-season for agricultural applications further curbed demand. Despite marginal support from feedstock benzene prices, the market remained under pressure.
Europe
The benzoyl chloride market in Europe experienced a consistent decline throughout Q4 2024, driven by weak downstream demand, oversupply, and low feedstock benzene prices. In October, prices dropped moderately as demand from the agrochemical and polymer sectors weakened due to seasonal slowdowns and reduced project activity. Limited procurement activity and elevated inventory levels further pressured the market. Although production rates remained stable, the bearish sentiment persisted, with manufacturers facing challenges in balancing supply and demand. In November, the downward trend intensified, as reduced downstream consumption and weak trading activity compounded market challenges. Low benzene costs provided minimal production cost support, while excess inventory levels forced manufacturers to implement aggressive destocking strategies, including discounts, to clear stock. Seasonal slowdowns in agriculture and cautious purchasing behaviors underscored broader market constraints, further weakening sentiment. By December, benzoyl chloride prices in Europe saw a continued decline as reduced demand persisted across key sectors. The agrochemical market exhibited minimal buying activity during the winter season, and subdued construction projects impacted demand for polymers. Manufacturers focused on inventory management amid limited procurement, reflecting the ongoing struggles of an oversupplied and demand-constrained market.
For the Quarter Ending September 2024
North America
The Benzoyl Chloride pricing landscape in North America during Q3 2024 has been defined by a sustained downward trend, with prices declining significantly compared to the same quarter last year. This decrease can be linked to various factors shaping market dynamics. Notably, fluctuations in production costs, variations in demand levels, and challenges within the supply chain have all played critical roles in driving prices lower. The weak demand from essential end-use sectors, particularly the agrochemical industry, combined with limited cost support from feedstock benzene—a crucial component for Benzoyl Chloride production—has exerted considerable downward pressure on prices.
Focusing specifically on the USA, which experienced the most substantial price changes, the quarter marked a notable decline from the previous quarter in 2024. Furthermore, both halves of the quarter exhibited a similar downward trend in prices, reinforcing the pervasive bearish sentiment in the market.
Overall, the pricing environment in Q3 2024 has been characterized by a consistent downward trajectory in the Benzoyl Chloride market, reflecting the numerous challenges faced throughout this period.
APAC
In Q3 2024, the APAC region witnessed a significant decline in Benzoyl Chloride prices, with China experiencing the most substantial price changes. The market was influenced by various factors such as oversupply, weakened demand, adverse weather conditions, and decreased global trade orders. The overall trend was characterized by a bearish sentiment, as prices consistently decreased throughout the quarter. The market momentum was weakening, and the demand side was providing enough support for the market. Seasonal variations, particularly in the agrochemical sector, played a role in the subdued demand, further impacting prices. Additionally, disruptions in the supply chain and logistical challenges added to the downward pressure on Benzoyl Chloride prices. China, specifically, saw a notable -16% decrease in prices from the previous quarter and 5% decrease from the same quarter last year, with a further significant drop between the first and second half of the quarter. The quarter-ending price stood at USD 1030/MT FOB Shanghai, reflecting the challenging pricing environment prevalent in the region.
Europe
In Q3 2024, the European Benzoyl Chloride market experienced a significant price decline, driven by several factors affecting the market landscape. One of the primary influences was the ongoing drop in feedstock prices, particularly Benzoyl Chloride, a crucial raw material in its production. This downward trend in feedstock costs, combined with global geopolitical tensions, high local inventories, and diminished demand from key downstream sectors, collectively applied substantial downward pressure on prices. The oversupply of feedstock further aggravated the situation, directly impacting the production costs of Benzoyl Chloride across the region. In the Netherlands, which saw the most pronounced price changes, the overall trend in Benzoyl Chloride pricing reflected a persistent negative sentiment. The market experienced a significant percentage decline compared to the same quarter in 2023, and the downward momentum continued with a further decrease from the previous quarter in 2024, highlighting a consistent bearish trajectory. Comparing the first and second halves of the quarter revealed a marked decrease in prices, underscoring the ongoing challenges within the pricing environment throughout the region.
For the Quarter Ending June 2024
North America
In Q2 2024, the North American benzoyl chloride market experienced a consistent decline in prices, driven by several significant factors. The quarter began with an oversupply situation exacerbated. This surge in supply, combined with weakened cost support from feedstock benzene due to declining aromatic naphtha prices, continually exerted downward pressure on benzoyl chloride prices. Furthermore, the North American market was also affected by a severe shortage of containers and vessel space, which kept freight rates high despite the overall weak demand.
Focusing on the USA, the price changes were most pronounced, driven by low import prices from exporting regions and persistent adverse weather conditions that suppressed domestic demand. Tornadoes, thunderstorms, and heavy rains led to a significant reduction in agrochemical buying enthusiasm, further dampening market sentiment. This seasonality and adverse weather created a bearish environment, with the price for benzoyl chloride falling steadily throughout the quarter.
The overall market trend for Q2 2024 reflected a negative pricing environment, with a notable 6% decrease in prices from the first to the second half of the quarter. This decline underscores the substantial influence of supply-demand imbalances and external disruptions on the benzoyl chloride market.
APAC
In Q2 2024, the pricing environment for Benzoyl Chloride in the APAC region has been predominantly bearish, driven by multiple significant factors. The quarter witnessed a notable decline in market prices, primarily due to an oversupply situation and weakening cost support from feedstock benzene, which saw reduced demand from end-use manufacturing units. This was further exacerbated by a continuous decline in naphtha prices, a key raw material in the Asian market, leading to lower production costs and enabling companies to reduce their prices. Additionally, adverse weather conditions and subdued global demand, especially from the downstream agrochemical and pharmaceutical sectors, have further suppressed market sentiment.
China, in particular, has experienced the most pronounced price changes. The market saw a continuous decline, influenced by high inventory levels and supply outpacing demand. Seasonal weather disruptions contributed to low procurement activities, while the persistent drop in aromatic naphtha prices and weak demand for benzene exerted downward pressure on benzoyl chloride prices. The overall trend reflected a negative price environment, with the second half of the quarter showing an 8% decrease compared to the first half. Additionally, the price decline from the previous quarter in 2024 was recorded at 2%.
Moreover, plant shutdowns, such as those at Valtris Specialty Chemicals in Belgium and Danyang Wanlong Chemical Co., Ltd. in China, contributed to supply disruptions but failed to stabilize prices due to the overwhelming supply surplus. The quarter ended with the price of Benzoyl Chloride 98% FOB Shanghai in China recorded at USD 1270/MT, underscoring a consistent decline in market prices. Overall, the pricing environment has been negative, reflecting weakened demand and oversupply in the market.
Europe
In Q2 2024, the pricing environment for Benzoyl Chloride in the European region has experienced a notable decline, driven by a confluence of factors that have exerted downward pressure on market prices. The quarter has been characterized by an oversupply of Benzoyl Chloride. The resurgence in production capacity led to a significant increase in supply, which outpaced demand and caused prices to fall. Additionally, lower feedstock costs, particularly benzene, due to decreasing aromatic naphtha prices, further contributed to the downward trend. Weak demand from downstream sectors, especially agrochemicals, exacerbated by unfavorable weather conditions across Europe, led to a reduced need for agricultural inputs, including Benzoyl Chloride.
Germany witnessed the most pronounced price changes. The overall trend in the German market has been bearish, with prices showing a sharp decline throughout the quarter. Seasonal factors, such as persistent wet and waterlogged fields, disrupted agricultural activities, significantly impacting demand. This seasonal disruption, coupled with an oversupply situation, resulted in substantial price reductions. The price of Benzoyl Chloride in Germany saw a significant decrease from the first half to the second half of the quarter.
The pricing environment for Benzoyl Chloride during Q2 2024 has been predominantly negative, with market dynamics heavily favoring a decline. Reduced demand, oversupply, and lower production costs have collectively driven prices down, reflecting a challenging quarter for producers.
