For the Quarter Ending March 2023
North America
In the North American region, the Di isopropyl Ether price trend remained stagnant during the 1st two months of the quarter. Initially price trend was stagnant amid stable demand-supply dynamics. Then, the production rates of the Isopropanol rose during the mid-quarter, which improved the supplies of DIPE. Simultaneously, the supply chain activities improved, which raised offtakes amid rising inflation and high-interest rates by Federal Reserve. However, in the final month of Q1, the price trend showcased bearish movement, and prices fell due to depressed demand for solvents in the downstream paint industries and conscious buying activities by producers, which raised the domestic inventory levels.
Asia
The Di isopropyl Ether price trend showcased mixed sentiments in the Asian region during Q1 of 2023. At the beginning of the quarter, the prices declined amid a reduction in upstream costs. During the mid-quarter, prices rose in China amid improved consumption with ease in covid restrictions and a rise in feedstock Propylene costs due to stressed availability and volatile upstream crude oil prices amid increased sanctions on Russian products. At the same time, prices fell in India due to depressed orders from downstream industries. In the final month of the quarter, prices rose in India amid weak production rates due to the plant shutdown at Deepak Phenolics. On the contrary, prices fell in China due to weak offtakes and surplus availability of supplies.
Europe
The DIPE price trend shifted sentiments in the European region during 1st quarter of 2023. In the initial month of Q1, prices were firm amid stable demand-supply dynamics and reduced run rates. However, in the mid-quarter, prices rebounded and rose slightly amid the stressed availability of feedstock Propylene supplies after increased sanctions on Russian Petroleum products, which affected the production rates. Then again, in the H2 of the quarter, the price trend showcased bearish movement due to surplus availability of supplies and sluggish offtakes. At the same time, the decrease in input costs due to the decline in Natural Gas prices further eased the cost support.
For the Quarter Ending December 2022
North America
The Diisopropyl Ether prices shifted sentiments during the final quarter of 2022. Initially, prices increased amid high inflation and moderate product supplies. Then the price trend shifted, and product prices decreased in the North American region. From the mid-quarter, feedstock Propylene prices decreased on the back of firm inventory levels and a reduction in WTI Crude oil prices. Production rates remained firm, and due to this, production costs of DIPE decreased noticeably in the H2 of the quarter. Towards the end of the quarter, feedstock IPA prices plunged again and negatively impacted the DIPE prices amid moderate to low consumption levels from the end-users.
Asia
In Asia, Diisopropyl Ether prices showcased mixed sentiments throughout quarter IV of 2022. In the first month of the quarter, prices soared in Asia amid a spike in feedstock Isopropanol prices and affected trade activities during the Golden Week holidays in China. Then during the mid-quarter, the Diisopropyl Ether price trend shifted, and prices decreased on the back of improved production and trade activities. Due to covid related restrictions, operational rates were hampered in the region. Towards the end of the quarter, global freight charges decreased, and DIPE prices remained stable to low amid moderate production rates and destocking practices by producers.
Europe
Diisopropyl Ether prices fluctuated in Europe during quarter IV of 2022. Initially, the product prices rose marginally due to increased production costs amid input supply shortages because of an explosion at the Beixi pipeline. During the mid-quarter, prices decreased due to weak offtakes by solvent industries. Simultaneously, DIPE production rates were hampered due to supply shortages of feedstock propylene and acetone and an increase in input prices. Towards the end of the quarter, DIPE prices decreased again due to a stabilization in upstream IPA and a contraction in the input costs due to weak Natural Gas demand than anticipated amid sluggish consumer offtakes for cleaning products during the latter half of the quarter.
For the Quarter Ending September 2022
North America
A shifting price trend of Diisopropyl Ether was observed in North America during Q3 of 2022. For the first two months, the product prices decreased in the region due to an ease in production costs after a decrease in the upstream propylene prices. However, in the quarter's final month, the price trend revived due to an improvement in demand sentiments by end-users. Additionally, a consistent reduction in feedstock Sulphuric acid costs further relieved the cost pressure on the production values earlier this quarter. After witnessing a decrease of 7.8% in the previous quarter's prices, USA's DIPE prices settled at USD 2820/MT at the end of Q3 of 2022.
Asia
Diisopropyl Ether (DIPE) prices fluctuated during the 3rd quarter of 2022 in the Asian region. Initially, the prices decreased, continuing the previous quarter's trend on the back of ample material availability amid no significant demand from the end-user industries. However, in the final month of the third quarter, the DIPE's price trend revived, and its prices inclined upward due to an increase in feedstock Sulphuric Acid costs which raised the product's production costs. At the same time, the demand increased for the solvent from the paint manufacturers. At the end of Q3, Diisopropyl Ether prices in China settled at USD 1935/MT after witnessing a significant quarterly decrease of almost 8%.
Europe
Following the trend of other regional markets, the Diisopropyl Ether price trend fluctuated in the European region during the 3rd quarter of 2022. Initially, the product's costs decreased due to a reduction in the production cost and stable demand sentiments by the consumers after the inflation caused by high commodity and input values. However, towards the end of the third quarter, the DIPE's price trend fluctuated, and its prices increased due to an escalation in its feedstock Sulphuric acid prices. While there was no significant improvement in the domestic demand, the international orders were firm. At the end of quarter 3 of 2022, Diisopropyl Ether prices in the Netherlands settled at USD 3120/MT.
For the Quarter Ending June 2022
North America
In the North American region, the price of Di isopropyl Ether contracted throughout quarter 2 of 2022. In the H1 of the quarter, the price of the DIPE decreased marginally due to stable feedstock petrochemical propylene costs. Then the prices dropped significantly during mid-quarter, and till the end of the quarter, the prices were dropping only. However, the region's energy and fuel costs rose, which supported the cost pressure. The demand for DIPE remained consistent from the domestic pharma sector but was average from solvent industries due to which product offtakes were average from the market during Q2 of 2022.
Asia
The Asian region witnessed a bearish price trend of Di isopropyl Ether throughout quarter 2. Consistently contracted feedstock Propylene prices in the region due to Russian Crude Oil imports at lower costs negatively impacted the product's production costs. The demand for the product remained slow from end-user industries of the paint and pharma sector. Also, after the three months hiatus and the ease of lockdown in China at the end of Q2, stock inventories were excessively available because it is a petrochemical by-product. So, product prices plummeted by almost 12.6% from the previous quarter as the product offtakes remained average in the regional market.
Europe
Di isopropyl Ether's price movement remained sluggish in the European region, and prices slummed throughout the Q2. At the beginning of the quarter, feed prices surged, boosting the production cost of the product. Then feedstock Propylene costs stabilized and started decreasing until the end of the quarter, negatively impacting the product's prices. Energy and gas costs rose significantly due to post-war supply shortages from Russia and America and induced cost pressure. Additionally, the demand sentiments from Oxo-alcohol producers slackened in the region towards the end of the quarter, due to which product offtakes remained moderate in the market. Product supplies also remained affected due to container shortages at the European ports.
For the Quarter Ending March 2022
North America
Diisopropyl Ether prices surged in the North American market during the 1st quarter of 2022, backed by firm demand from end-user industries and firm upstream costs. Enquiries for Diisopropyl Ether from fuel additive, paint, and textile industry surged throughout the entire quarter, consequently leading to its enhanced price value. Besides, fuelled prices of upstream propene further propelled the prices of Diisopropyl Ether. Furthermore, volatile crude prices, surged freight charges, continued labour shortage, and ports congestions readily contributed to the price hike of Diisopropyl Ether in the domestic market. Hence, the prices of Diisopropyl Ether in the USA assembled at USD 2300/MT CFR Texas during March.
Asia Pacific
The Asia-Pacific region followed the pricing trend of North America and showcased an upward trajectory in the prices of Diisopropyl Ether during the 1st quarter of 2022. The prime factors behind this price surge were strong demand from the fuel additive and paint industry which exacerbated the price value of Diisopropyl Ether in the considered period. Furthermore, increment in feedstock propene prices was another factor that contributed to the price rise of Diisopropyl ether in the region. Moreover, skyrocketed crude oil prices and continued port congestions further pushed the already augmented Diisopropyl Ether Prices. In India, Diisopropyl Ether Ex-Depot Mumbai prices escalated from USD 3001.43/MT in January to USD 3132.78/MT during March.
Europe
The European countries witnessed a price hike in the prices of Diisopropyl Ether during the quarter 1st of 2022, on the back of robust demand from end-user industries and higher upstream costs. The demand for Diisopropyl Ether, which majorly comes from the Fuel additive and Paint industry, surged in the 1st quarter, escalating the prices of Diisopropyl Ether. Meanwhile, the enhanced propene prices in the regional market increased the production cost, leading to volatile Diisopropyl Ether prices. Furthermore, Continued port congestion, shipping containers shortages, incremented crude prices, and raised freight charges pushed the Diisopropyl Ether prices upwards. Conclusively, In Germany, the assessed prices of Diisopropyl Ether were USD 2050/MT FOB Hamburg during March.
For the Quarter Ending December 2021
North America
The Diisopropyl Ether market continued to project an unabated rise in prices throughout Q4-2021. The supply starved propylene feedstock market, resulting from production facilities that still carried the dents from Ida hurricane damage in Q3, exerted the cost pressures on the Diisopropyl Ether productions. Supply disruptions and scarcity of vessels on ports hampered the export frequencies thereby impacting the profits margins of the manufacturers. However, the fall in the feedstock prices following the USA government’s strategic release of upstream crude oil, and dullness in demand from industries apart from the pharma sector after the mid-quarter, imparted bearishness in the Diisopropyl Ether price trends there onwards. The prices of Diisopropyl Ether during December settled around USD 2830/MT DEL USA.
Asia
Pressurized with uncertainties in propylene feedstock availability, the Asian Diisopropyl Ether market exhibited fluctuations in price trends under the impact of local factors that varied region wise. China’s Diisopropyl Ether prices seesawed in Q4-2021, trending higher during October owing to the production constraints on strict compliance with the government’s “Dual Control Policy”. The prices cooled a little during November with improvement in feedstocks supplies, notching high again to USD 820/MT FOB Qingdao in December. The reinstated gains came from surging demand from the pharmaceuticals and paints industry coupled with delayed feedstock shipments due to tightening zero-covid policy on ports. In India, the Diisopropyl Ether prices recorded week-on-week improvement till mid-quarter owing to the demand driving fundamentals in the festive period. However, the sudden drop in paints sector demand post-festive period, as well as restricted market movements towards the quarter-end prompted the traders to roll back their offered prices which settled around USD 2329/ MT Ex-Mumbai during December.
Europe
The supply deficiency of propylene feedstocks and critically short energy inventories during Q4-2021 exerted upward pressure on the manufacturing cost of Diisopropyl Ether in Europe. The clogged intra-Europe, US-Europe and Asia-Europe arbitrage routes owing to container shortage mayhem hampered the export activities thereby exacerbating the tightness in the Diisopropyl Ether market. On the other hand, the demand fundamentals in downstream paints and coatings, as well as pharmaceutical industries showed optimism, encouraging the buyers to procure volumes at premium prices. Despite the indications of normalization in supplies of feedstocks after the mid-quarter, the offered Diisopropyl Ether prices reached the year’s highest value of USD 3175/MT FOB Hamburg during December with a boom in pharmaceutical applications amid the resurgence of Covid cases.
For the Quarter Ending September 2021
North America
The market outlook of Diisopropyl Ether witnessed an upward trajectory in the North American region during the third quarter of 2021. The demand for Diisopropyl Ether has remained strong from downstream sectors like the paints, waxes, dyes, and resins industry. An improvement was observed for refinery utilization in the US during Q3 2021. Supply of upstream feedstock like propylene with isopropyl alcohol was sufficient for the production of DIPE, hence the supply of DIPE remained healthy throughout this quarter. Average FOB price of DIPE in the Americas was assessed around $2130 per MT during Q3 2021.
Asia Pacific
The prices of Diisopropyl Ether (DIPE) rose effectively across the Asia Pacific region in the 3rd quarter of 2021. In the Indian market, the pricing trend of Diisopropyl Ether kept its upward trajectory during the first week of July. Demand for solvents in the Indian market was heard improving w-o-w, as the industrial activities rebounded after an ease in COVID-related restrictions in the country. In addition, tight supply, high freight costs, and reduction in demand for co-product IPA also influenced the availability of the product in the Asian market. Thus, prices of DIPE in India climbed up again and settled at USD 2621 per MT during the final week of September 2021.
Europe
In the European region, the domestic market strengthened in the Q3 2021 as the crackers and refineries improved across the European region. The price of Diisopropyl Ether (DIPE) witnessed a significant rise in the European market backed by the increased demand and supply shortages in Q3. Shipments from the US were disrupted after the occurrence of Hurricane Ida landfall which caused the shutdown of several manufacturing units during the 3rd quarter. Demand remained firm from the downstream solvents sector in this quarter as well.
For the Quarter Ending June 2021
North America
In the second quarter of 2021, supplies of Diisopropyl Ether (DIPE) improved along with better feedstock availability due to improved operational rates at all Propane Dehydrogenation plants in the Gulf coast region which supported the production of DIPE. The availability of key upstream Propylene surged with the supply chains recovering from the impact of polar winter storm Uri. Market outlook also improved compared to the previous quarter and stabilized by May. Demand outlook in the North American region was buoyed by piled-up demand as a solvent from the paints, waxes, dyes, and resins industries to cope up with the rising enquiries from the building and construction sector.
Asia Pacific
Supplies of DIPE were tight in the second quarter of 2021 due to limited availability of key upstream Propylene, as several refineries and PDH units in China were on a turnaround in the first half of the quarter. Amidst rising inflation rate in China, the prices of raw material continued to maintain pressure over the producer’s margins till May which imparted wait and see sentiments among the DIPE buyers in China. Tight supplies and logistic constraints continued to maintain upwards pressure over Diisopropyl Ether prices in India. Prices of DIPE rose in the first half of the quarter and then attained a stagnancy with Ex-Depot Mumbai discussions settling at USD 2471 per tonne in June.
Europe
DIPE supplies in the European region showcased mixed sentiments as several PDH units, crackers and refineries were on a maintenance turnaround during the first half of the second quarter which limited the availability of key upstream chemicals and operational delays of DIPE. However, imported shipments from the US increased after the industrial infrastructure recovered from the impacts of the winter storm Uri. Demand outlook remained firm from the solvents sector strong with rising enquiries from the downstream producers as the contractual volumes recovered until May ending. Due to better demand and restricted supplies, DIPE pricing trend continued to stay firm in the European market.
For the Quarter Ending March 2021
North America
During Q1 2021, the supplies of Diisopropyl Ether (DIPE) were tight in the region, as the stocks were bounded by the margins from the upstream markets. Supply tightened as shutdown of several petrochemicals production units due to deep freeze weather in the US gulf region disrupted production levels. Major upstream plants such as LyondellBasell, ExxonMobil and INEOS olefins declared shutdown in mid-February amid the extreme weather conditions further resulting in multi-fold surge in the prices of DIPE in the North American markets. After mid-March, traders saw increment in demand from the pharmaceutical, textile and several other downstream sectors.
Asia-Pacific (APAC)
The supply of DIPE remained balanced in the Asian region during the first quarter, owing to the addition of new propylene facilities in China, followed by the resumption of LG Chemicals facilities in the South Korea including the upstream producer Yeochun NCC (YNCC) which restarted its Propylene unit during the second half of Q1 2021. However, some Asian shipments were diverted to fulfill the western demand for better netbacks curtailed the supplies to other region. Ex-Works prices of DIPE in China were assessed at USD 1505 per tonne in March.
Europe
The supply of DIPE in the European region remained tight throughout the first quarter, as a repercussion of reduced production from northwest regional plants amid the shortage of key feedstock due to transportation lag. The situation got aggravated, as BASF declared planned turnaround in its ether facility. However, the demand persisted a healthy trend throughout the quarter from the pharmaceutical sector. The export trend shifted from the US to Asian suppliers, due to the extreme weather conditions in the US declined the transport of cargoes. In terms of prices, Europe remained to be the most feasible region.
For the Quarter Ending December 2020
North America
With the consistent increment in the prices of feedstock Propene amidst its tight supply in Q4 2020, the prices of Diisopropyl Ether also surged in the concerned quarter. Its demand increased in comparison to the supply as most of the manufacturing companies restrained to operate their plant at full capacities under the fears of demand uncertainty. Amidst the regional supply crunch and rising demand, imports of the products for fulfilling the demand in the pharmaceuticals and fuel additive considerably increased.
Asia
Demand for Diisopropyl Ether in the Asian market regained stability due to ease in lockdown in most of the countries in Asia like China, South Korea, and India. Following the ease in lockdown, the demand for automotive increased due to which the demand for Diisopropyl Ether as an anti-knocking agent revived in Q4 2020 in comparison to the rest of the year. The demand-supply gap of the product remained balanced throughout the year as the supply of Diisopropyl Ether was stable following the resumption in activities of various manufacturing facilities across the region. As 2021 is expected to be a positive year for the automobile industry, the demand for Diisopropyl Ether is expected to boom in Asia.
Europe
Both demand and supply for Diisopropyl remained stagnant in Q4 2020 following a partial lockdown in the region following the fears of new strain of Coronavirus. Although the demand for petrochemical and automotive industry remained low, its consumption from pharmaceutical Industry for research and development appreciably revived. Since various industries went off stream under concerns of losses, majority of the demand in the region was fulfilled by the imports from Asian countries like China. The prices of the product were surged due to minimal supply from domestic players.
