For the Quarter Ending March 2025
North America
The North American Diisopropyl Ether (DIPE) market displayed a stable yet cautious trend during the first quarter of 2025. Supply levels remained steady, supported by adequate inventory management, while demand from key downstream sectors such as pharmaceuticals and solvents showed signs of plateauing. Early-quarter market activity was subdued, influenced by weak industrial orders and logistical challenges. However, slight adjustments in feedstock costs and seasonal restocking helped bolster a modest upward trajectory in the latter half of the quarter. Despite economic uncertainties and fluctuating crude oil prices, the market-maintained equilibrium, with no significant disruptions to supply or demand dynamics.
In the United States, DIPE prices saw a modest increase of 0.67% compared to the previous quarter, averaging USD 1992.33/MT during Q1 2025. Intra-quarter price trends remained largely flat, driven by steady feedstock costs and cautious procurement practices by domestic buyers. Balanced inventories and normalized downstream demand further contributed to the market's stability. The overall sentiment within the DIPE market remained neutral, with participants adopting a measured approach to procurement. Looking ahead, the market is expected to experience continued price consolidation, supported by moderate seasonal demand and stable supply conditions, reinforcing the balanced dynamic observed in Q1.
APAC
In the first quarter of 2025, the Asia-Pacific (APAC) Diisopropyl Ether (DIPE) market faced subdued demand as cautious consumption trends dominated downstream sectors, particularly in pharmaceuticals and solvents. Elevated inventory levels persisted throughout the quarter as manufacturers and traders adopted conservative procurement strategies. This restraint was influenced by financial year-end adjustments and economic uncertainties, which further dampened buying interest. Despite limited demand, production levels remained stable, contributing to an oversupply scenario. The combination of ample stock and muted industrial activity fostered a bearish market sentiment, leading to restrained trading volumes and downward pressure on prices.
In China, DIPE prices experienced a marginal decline of 0.89% compared to Q4 2024, averaging $1488.33 USD/MT during Q1 2025. Monthly price trends remained relatively flat, indicating limited market movement due to weak demand and cautious buyer behavior. Market dynamics were shaped by the availability of sufficient inventories and reduced activity in downstream applications, maintaining a stable yet bearish environment. The near-term outlook points to continued price consolidation, with potential for a slight weakening trend as market participants adopt a wait-and-see approach amid ongoing economic uncertainties and subdued industrial activity. Producers and traders remain focused on aligning supply with market conditions to mitigate further price erosion.
Europe
In Germany, the Diisopropyl Ether (DIPE) market delivered mixed steady decline performance in the first quarter of 2025. Despite a noticeable increase in the feedstock prices compared to the fourth quarter of 2024, the cost pressure did not transit to the Diisopropyl Ether (DIPE). The primary reason for this stability was the persistently weak demand from downstream sectors.
Key industries that typically consume DIPE such as agrochemicals, and specialty solvents faced a period of off-season activity, leading to limited order volumes. Many buyers adopted a conservative procurement strategy, opting to draw down existing inventories rather than place new or bulk orders. This cautious approach helped balance the upward pressure from rising input costs, thereby preventing any substantial shifts in DIPE prices.
Market sentiment remained largely neutral, with suppliers maintaining stable output to align with modest demand levels. Inventory levels were reported as adequate, and no major supply disruptions occurred during the quarter. Overall, the German DIPE market was characterized by stability in pricing, moderate trading activity, and a cautious downstream environment influenced by seasonal trends and economic uncertainty.
For the Quarter Ending December 2024
North America
In the fourth quarter of 2024, Diisopropyl Ether (DIPE) prices in North America saw a slight decrease, primarily driven by a slowdown in demand from downstream industries and stable supply levels. As the year drew to a close, many sectors relying on DIPE, such as pharmaceuticals, coatings, and chemicals, reduced their activity in anticipation of the holiday season and New Year. This seasonal slowdown led to a drop in overall consumption of DIPE, putting downward pressure on prices.
The New Year sales period did not significantly impact DIPE demand, as downstream industries typically focus on inventory optimization during this time rather than bulk purchasing. Many businesses were cautious in replenishing stock, as they awaited clearer market trends for the coming year, further contributing to subdued demand. The cautious buying behavior from sectors like pharmaceuticals, automotive, and consumer goods reduced the urgency for raw material purchases, including DIPE.
On the supply side, production remained steady, with North American manufacturers and imports from global markets ensuring that the supply of DIPE met the reduced demand. As a result, the combination of stable supply and slower consumption led to a slight decrease in DIPE prices in North America during the fourth quarter of 2024.
APAC
In the fourth quarter of 2024, Diisopropyl Ether (DIPE) prices in India exhibited a mixed trend, with ex-Mumbai prices showing an initial period of stability followed by an increase in the final month. Throughout the first two months of the quarter, ex-Mumbai prices remained relatively stable, with limited fluctuations observed in the domestic market. This stability was largely due to balanced supply and demand dynamics, alongside steady availability of raw materials.
However, in the final month of the quarter, prices for Diisopropyl Ether saw a noticeable uptick. This increase can be attributed to a combination of factors, including rising global demand and supply chain constraints that affected availability. Additionally, higher CFR (Cost and Freight) prices for imports into India from key suppliers, such as China, contributed to the price escalation. Chinese prices for DIPE also experienced a rise in the last month of the quarter, adding pressure to Indian prices as the cost of imported products became more expensive.
The increase in the final month of the quarter reflected heightened market activity and a tightening of supply, driven by both global and domestic factors. In conclusion, the quarter saw a stable start, followed by a price increase, influenced by supply chain factors and global price movements.
Europe
In the fourth quarter of 2024, Diisopropyl Ether (DIPE) prices in Europe saw a decline, driven by trends in downstream industries and broader market dynamics. As the year wound down, downstream sectors like pharmaceuticals, chemicals, and coatings, which are significant consumers of DIPE, experienced a slowdown in production. Many of these industries reduced their activity heading into the New Year, as companies focused on inventory management and prepared for the holiday season. This reduced demand contributed to the softening of DIPE prices, as fewer orders were placed.
Additionally, downstream industries, particularly in the chemical and automotive sectors, faced uncertainty about their 2025 production schedules. Many companies were cautious about committing to large quantities of DIPE, leading to a more conservative purchasing strategy that further eased pricing pressure. This trend was particularly noticeable in the last month of the quarter, where the decrease in demand for DIPE became more pronounced.
On the supply side, steady production levels from European and global suppliers ensured a stable market. Imports from key countries remained consistent, which kept supply plentiful despite lower consumption from downstream industries. The combination of subdued demand from end-users, particularly in chemicals and pharmaceuticals, along with stable supply, led to a decrease in DIPE prices in Europe during the fourth quarter of 2024.
For the Quarter Ending September 2024
North America
Throughout Q3 2024, the Diisopropyl Ether pricing in the North American region remained stable, reflecting a balanced market with moderate supply and subdued demand. Various factors contributed to this stability, including weak buying interest, lackluster demand from downstream industries, and slow trading activities. The market saw a steady trajectory due to the existing stock levels meeting domestic requirements and the overall cautious approach of enterprises towards stocking the material. Despite some improvements in the construction sector and other solvent industries, the demand for Diisopropyl Ether remained muted, leading to a consistent pricing environment.
In the USA, which experienced the most significant price changes, the quarter saw no substantial price fluctuations. The pricing trends in the USA mirrored the overall stable market conditions, with a correlation in price changes evident between the first and second half of the quarter. The percentage change from the previous quarter in 2024 stood at 0%, indicating price consistency.
The quarter-ending price for Diisopropyl Ether in the USA was recorded at USD 1995/MT, highlighting the prevailing stable pricing environment.
APAC
In Q3 2024, the APAC region witnessed a notable decline in Diisopropyl Ether prices, influenced by several key factors. Weak demand from downstream industries, including construction and solvents, contributed to the overall decrease in market prices. Additionally, the ongoing global port congestion and logistical challenges led to an oversupply of Diisopropyl Ether, further dampening prices. China, in particular, experienced the most significant price changes in the region. The market saw a sharp -18% decline from the previous quarter in 2024. The first half of the quarter recorded a -5% price difference compared to the second half. This downward trend in pricing reflects a negative sentiment, with prices ending the quarter at USD 1480/MT of Diisopropyl Ether - FOB Qingdao in China. Overall, the pricing environment for Diisopropyl Ether in Q3 2024 has been characterized by a persistent decline, driven by subdued demand and supply dynamics.
Europe
In Q3 2024, the European region experienced a significant decline in Diisopropyl Ether prices, shaped by several critical factors. The overall trend was marked by decreasing prices, largely influenced by escalating global logistics costs. Disruptions in the Red Sea region were a key contributor to these rising expenses, as ongoing conflicts led to severe port congestion, equipment shortages, and increased operational costs. These logistical challenges had a cascading effect on supply chains, causing delays and interruptions that heightened market volatility. As shipping routes became less reliable, the availability of Diisopropyl Ether was constrained, further complicating the pricing landscape. In addition to logistics issues, market sentiment was affected by concerns over supply stability, which contributed to fluctuating prices. Manufacturers were compelled to navigate these complexities while managing their production schedules, leading to an overall bearish outlook in the market. This combination of geopolitical factors and logistical disruptions ultimately drove down Diisopropyl Ether prices in Europe during this period, reflecting the intricate interdependencies within global supply chains.
For the Quarter Ending June 2024
North America
In Q2 2024, the North American Diisopropyl Ether (DIPE) market exhibited a stable pricing environment, largely shaped by consistent supply-demand dynamics and moderate economic conditions. Throughout this quarter, prices remained steady, influenced by several critical factors. The stabilization can be attributed to ample inventory levels and moderate production rates, which balanced the market despite fluctuations in upstream costs. The consistent availability of raw materials and steady procurement activities from downstream industries contributed further to this equilibrium. The market saw minimal disruptions, and the steadying effect of these conditions was reflective of a broader stabilization in the chemical sector.
The overall trend showed a stable sentiment, with prices exhibiting only slight fluctuations. Seasonality played a role, with moderate demand from downstream industries such as paints and coatings, which traditionally see consistent consumption patterns. The correlation in price changes was observed with upstream raw materials like Propylene, although their impact was mitigated by the steady supply levels.
However, when comparing Q2 2024 to the previous quarter, prices recorded only a -3% decrease, further emphasizing a stable pricing trajectory. Interestingly, the price comparison between the first and second halves of the quarter showed no variation, reinforcing the stable market conditions.
The latest quarter-ending price for DIPE in the USA stood at USD 1995/MT, underscoring the stable sentiment that characterized the market. Overall, the pricing environment for DIPE in North America during Q2 2024 was marked by stability, driven by balanced supply-demand dynamics and moderate economic influences, reflecting a neutral to slightly positive market outlook.
APAC
In Q2 2024, the pricing environment for Diisopropyl Ether (DIPE) in the APAC region experienced a pronounced bearish trend, significantly influenced by various market dynamics. Key factors contributing to the decrease in DIPE prices included oversupply in the market, sluggish demand from downstream industries, and volatile feedstock prices. With upstream feedstocks like Isopropyl Alcohol (IPA) and Propylene experiencing price fluctuations, the cost pressures trickled down to DIPE production. Additionally, logistical challenges and disruptions in the supply chain further exacerbated the downward price movement.
Focusing on China, the country witnessed the most substantial price changes within the region. The overall trend for DIPE in China during Q2 2024 was predominantly negative. Seasonality played a crucial role, as the anticipated summer demand did not materialize, leading to a surplus in supply and driving prices down. The price of DIPE fell by 26% compared to the same quarter last year, reflecting a significant long-term decline. From the previous quarter in 2024, prices decreased by 2%, indicating a persistent but more gradual downward trend. Furthermore, a comparative analysis between the first and second halves of the quarter revealed an 8% decline, underscoring the ongoing pricing pressure.
By the end of Q2 2024, the price of Diisopropyl Ether in China settled at USD 1620/MT, FOB Qingdao. This consistent price decline throughout the quarter points towards a decidedly negative pricing environment, with market sentiment reflecting oversupply and weak demand. The trajectory suggests that unless there is a substantial uptick in industrial demand or a reduction in production rates, the bearish trend may continue into subsequent quarters.
Europe
In the second quarter of 2024, the Diisopropyl Ether market in Europe faced a challenging environment, characterized by a consistent downward trend in prices. Several key factors contributed to this decline, notably the subdued demand from major end-user sectors such as construction and automotive. The construction industry experienced a downturn, largely due to a combination of economic and geopolitical uncertainties. High financing costs and unfavorable weather conditions further exacerbated the situation, leading to a reduction in demand for Diisopropyl Ether, an essential component in construction-related paints and coatings. As a result, the decreased activity in the construction sector significantly impacted the consumption of Diisopropyl Ether. Similarly, the automotive sector witnessed a decline, particularly in the sales of electric vehicles (EVs) and passenger cars. This slump was partly due to the withdrawal of government incentives for battery-powered electric vehicles, which resulted in a noticeable decrease in new registrations. The reduction in demand for Diisopropyl Ether, crucial for the production of automotive coatings and other related products, added to the challenges faced by the Diisopropyl Ether market. Overall, these factors collectively contributed to the persistent downward pressure on Diisopropyl Ether prices in Europe during the second quarter of 2024. The market continues to navigate these challenges amid a complex and evolving economic landscape.
