For the Quarter Ending December 2022
North America
Ethyl Acetate prices declined consistently throughout the fourth quarter of 2022 as weak demand sentiment coupled with ample material available on the US shores resulted in weak pricing dynamics. Demand from downstream Paints & Coating sectors eased in Q4 as consumption from the construction industry eased owing to off-season dullness. Meanwhile, cost pressure from feedstock acetic acid remained soft throughout the quarter owing to easing upstream Methanol prices and a drop in demand. For the first time in 30 months, the US witnessed a contraction in manufacturing and industrial activity as consumer sentiment softened while Federal Reserve continued tightening the monetary policy to contain inflation rates. Hence, Ethyl Acetate prices were assessed at USD per MT on FOB 1340 basis in December 2022.
Asia Pacific
Despite the looming shadow of Covid in the Chinese market during the last quarter of 2022, Ethyl Acetate prices continue to remain subdued owing to weak demand dynamics. China witnessed severe lockdowns and protests against lockdowns which hampered the smooth functioning of logistics and eventually led to marginal price increases in the latter stages of the quarter. In Japan, Ethyl Acetate prices continued their decline into the penultimate week of the year as the weak demand dynamics from downstream paints & coatings, and other industries remained prominent in the domestic market, while the consumption rates from the international market have also been sluggish in the wake of the impending holiday season in the West and soft consumer sentiment which plagued demand dynamics throughout 2022. Buying sentiment in the market has been termed as muted due to snuck consumption rates and limited queries, as reported by several market participants. Additionally, feedstock Acetic acid prices have stabilized after a consistent fall in the last few weeks resulting in stable cost pressure on downstream Ethyl Acetate while upstream Naphtha and crude oil prices continue to relent in the Asia-Pacific. Thus, as of December 2022, Ethyl Acetate prices were assessed at USD 1010 per MT on a FOB basis.
Europe
Ethyl Acetate prices improved marginally at the very end of the quarter as import prices strengthened in Europe; however, bearish sentiment shrouded the market for a major part of the quarter, which resulted in a consistent decline in the prices. Meanwhile, import availability strengthened in Europe as weeks-long labor strikes in the UK and port congestions at ARA eased during the last quarter. Europe imported hefty quantities of Acetic acid from Asia as freight charges dropped sharply while demand in the Asian market remained subdued. Hence, after the conclusion of Q4, Ethyl Acetate prices were assessed at USD 1298 per MT on an FOB basis.
For the Quarter Ending September 2022
North America
Ethyl Acetate prices in the North American region constantly deteriorated throughout the third quarter of 2022 owing to weak demand dynamics and consistent fall in feedstock Acetic acid prices. The demand from downstream adhesives & sealants and the paints & coatings industry remained mostly stable, which amid ample inventory levels, resulted in weakened pricing dynamics. Meanwhile, the consumption rates in the US dropped, as confirmed by several institutions, due to the threat of a US recession looming large during the quarter. Thus, after the conclusion of September 2022, Ethyl Acetate prices were assessed at USD 1883 per MT on a FOB basis.
Asia Pacific
After a sharp drop in the first two months of the third quarter of 2022, the prices stabilized towards the end of the quarter in the Asia Pacific region. Ample supply and consistent fall in feedstock Acetic acid prices resulted in a sharp bearish trend during the first half of the quarter. The available supply outpaced the demand from the downstream as the Chinese market dealt with covid cases, which disrupted normal trading activities. While towards the end of the quarter, snug supply and limited availability of the product arrested the price slide as typhoons wreaked havoc on Japan, South Korea, and China, impacting and halting port activities. Thus, after the conclusion of Q3, Ethyl acetate prices were assessed at USD 1052 per MT on CFR basis in Japan.
Europe
In the third quarter of 2022, Ethyl Acetate prices dropped consistently in the European market owing to cheaper imports from Asia and North America and weak consumption from the downstream industries. A constant threat of recession loomed over the European region throughout the quarter, which depressed consumer demand as the inflation rates reached record highs during Q3. Supply dynamics remained under pressure owing to port congestions and labor strikes. Netherlands, Belgium, and Germany witnessed major port congestions, while the UK observed weeks of labor strikes which limited the availability of the material in the domestic market. However, weak dynamics ensured the limited impact of curtailed supply on the prices. Thus, as of September 2022, Ethyl acetate prices were assessed at USD 1327 per MT on a FOB basis.
For the Quarter Ending June 2022
North America
Ethyl acetate prices consistently rose in North America during the second quarter of 2022 on the back of increased feedstock value. The market value of raw material Acetic Acid was growing throughout the quarter amidst supply shortages as major manufacturers announced force majeures on Acetic Acid and its derivatives production. Furthermore, strong demand from several downstream industries, such as paints, varnishes, and lacquers, contributed to the augmenting Ethyl Acetate prices. In addition, soared energy prices, elevated freight charges, and congested ports amidst Russia-Ukraine war tensions further propelled the Ethyl Acetate price upwards. In the USA, the price value of Ethyl Acetate inclined by almost 6% between April and June.
APAC
The Ethyl Acetate market showcased mixed sentiments in the Asia-Pacific region during quarter 2 of 2022. In India, the market value of Ethyl Acetate inclined in April, followed by a decline in May and a regain of upward momentum in June. Flickering supply and demand dynamics were the primary reason causing instability in Ethyl Acetate price value. The prices of Ethyl Acetate surged till May in the Chinese domestic market, and then it depicted a sudden fall in June. Ethyl Acetate price hike was backed by crippling supply rate and strong downstream demand from paints, lacquers, and varnishes industries. Furthermore, In June, the supply of Ethyl Acetate improved drastically owing to the overabundance of feedstock Acetic Acid, leading to a sharp fall in Ethyl Acetate market value.
Europe
In contrast to North America, Ethyl Acetate prices dropped continuously in Europe during the second quarter of the year 2022. The prime reason behind this drop was weak demand from end-user industries such as paints, lacquers, sealants, adhesives, etc. Furthermore, the slow consumer buying activities contributed to the de-escalating market value of Ethyl Acetate. In addition, the inventories were overflowing with surplus stocks, and the supply rate was consistent, which further exacerbated the prices of Ethyl Acetate in the European domestic market. In Germany, there was a fall of approximately 7% between April to June in the prices of Ethyl Acetate.
For the Quarter Ending March 2022
North America
In Q1 2022, the price of Ethyl Acetate slipped due to weak downstream demand and stockpiling of inventories among the downstream ventures. In the USA, the price of Ethyl Acetate towards the start of the quarter was observed to be USD 1682/ton DEL mid-west. The declining trend resulted from weak Acetic acid prices sufficient mid supply from the manufacturers. Volatile raw material cost challenged the industry profitability, affecting the ethyl acetate market. Major Ethyl Acetate producers in the USA had increased Ethyl Acetate prices for overseas suppliers. The demand of Ethyl Acetate in US market was reduced with the following months.
Asia Pacific
In this quarter, the prices of Ethyl Acetate in India slipped in the first half of the quarter as the market was stable to the lower end due to a weak trading atmosphere and saturation of products in the regional market. The supply was exceedingly abundant, but the demand was not strong. Also, the government had cut production tax on certain chemicals, namely Acetic acid and Methanol, which slowed down the prices in the domestic market. However, in the final half of the quarter, the increase in demand for its end-stream products in the pharmaceuticals and packaging enterprise resulted in escalating the prices of Ethyl Acetate. The Russian invasion of Ukraine was one of the major reasons for surging the prices of crude oil and natural gas, which affected the prices of other products, namely acetic acid and ethanol. In India, the price of Ethyl Acetate towards the end of the quarter was observed to be USD 1288/ton Ex-Depot Delhi. When compared to the previous quarter, the price slipped by 16% in Q1 2022.
Europe
In Q1 2022, the price of Ethyl Acetate in Germany towards the end was observed to be USD 2148/ton FD Karlsruhe. Feedstock Methanol market was seen to be steady, yet costs of Ethyl acetate surged from the strong interest from the downstream ventures. However, the market was observed to be revived after the price hit in the first half of the quarter with moderate demand. Impacted imports of the product from Belgium because of supply shortage hampered the domestic market of Germany. The utilization of Ethyl Acetate in the downstream Paint and coating ventures was robust as the interest from the customer's end was high, which created pressure on the endeavours to fulfil the buyer's interest.
For the quarter ending December 2021
North America
Overall, the market was stable in North American region during Q4. The prices of Ethyl Acetate peaked due to increase in methanol prices, in mid Q4 and felled to 1625 USD/tonne by the end of Dec, on FOB basis in USA. The observed fall was 4% in the prices since Q3. The prices in November rose due to high demand from the importing countries. Though there was surge in the prices of feed Ethanol in USA but that didn’t impact much of the prices in the domestic market. Prices to exporting countries remained on the higher side because of their demand.
Asia
The demand from downstream industries rose in mid of Q4 in Asian countries because of festive season. There was an increase of 10% in mid Q4 and overall increase of 7% in prices since Q3 in China. The increment in the prices of feed Ethanol was observed but the prices of Acetic acid were decreased during the period. Due to the expected demand from downstream industries during peak festive season, prices remained on a higher side by industries to increase the profit. The prices were assessed at 1494 USD per tonne in China and 1372.61 USD/tonne Ex- Mumbai India.
Europe
The prices showed a steep rise in the European region, with an overall 32% surge in the prices since Q3, due to increase in the prices of raw material from importing countries. The freight charges showcased historic high throughout the quarter, which induced additional cost support to the Ethyl Acetate in the European market. Higher energy values also impacted the prices and production rates were curtailed in European region because of increased energy use in non – commercial / domestic sector during winter season. Ethyl Acetate accessed at 1995 USD/ tonne on CFR basis in Germany, at the end of December.
For the Quarter Ending September 2021
North America
In Q3 2021, Ethyl Acetate prices witnessed a proliferative trajectory in US during the third quarter backed by the upsurge in the feedstock Ethylene and Acetic Acid values in the region. The hike in the pricing trend of Ethyl Acetate was also aided by the robust demand for Ethyl Acetate and its downstream products during this quarter. Additionally, many manufacturers were compelled to shut down their production plants as a repercussion of Ida hurricane in August that further exerted pressure on the Ethyl Acetate market. Hence, improvement in the offtakes from the construction sector along with the tight supplies of feedstock kept the prices of Ethyl Acetate in the upward trend throughout the quarter.
Asia
Asian market of Ethyl Acetate appeared bullish during Q3 due to the robust demand and tight fundamentals that kept the prices of Ethyl Acetate in the upward trend. In China, hike in the prices of Ethyl Acetate was witnessed backed by the supply chain disruption due to the congestion on several ports in China. Moreover, curtailment in the production rates followed by the energy crisis in China further sent ripples to the prices of Ethyl Acetate in this timeframe. In India, spike in the values of Ethyl Acetate was observed supported by the firm demand from the downstream manufacturers and hike in the prices of feedstock. Besides, high freight charges and unavailability of shipping containers further sent ripples to the values of Ethyl Acetate. The prices of Ethyl Acetate in India raised to USD 1396.64/MT in September witnessed an increment of USD 119.02 since July.
Europe
In Europe, prices of Ethyl Acetate witnessed an upward trend backed by its limited availability amid sturdy demand from downstream sectors. Moreover, spike in the prices of feedstock Ethanol and Acetic Acid because of freight charges and lower imports further sent ripples to the values of Ethyl Acetate in this quarter. In addition, promising profit margins were fetched by the manufacturers owing to the strong demand from downstream sectors. For instance, two key suppliers of Ethyl Acetate raised their prices up to 9% during this timeframe backed by the declining import volumes.
For the Quarter Ending June 2021
North America
During the second quarter of 2021, the North American Ethyl Acetate market seemed tight amidst limited availability of the upstream Ethanol and Acetic Acid. Raw material availability was the key issue as Ethanol supplies were majorly diverted towards high prioritized commodities such as hand sanitizers while some turnarounds were reported in the Acetic Acid production facilities. However, demand from the pharma industries remained high, keeping the offtakes of Ethyl Acetate largely uplifted. Pricing trend observed a marginal fall during the start of the quarter but later improved. FOB Texas Ethyl Acetate price in June was assessed at USD 1030 per tonne.
Asia Pacific
The Asian Ethyl Acetate market observed mixed sentiments due to imbalance in the supply and demand of the upstream Acetic Acid because of plant turnarounds at several facilities across the Asia Pacific region. However, the overall supply scenario improved compared to the previous quarter with some tightness observed during the Labour Day holidays in China and global inflationary trend in the upstream crude oil. Prices in India observed an ease initially during the quarter followed by continuous uptrend, taking Ex-Works Mumbai (India) prices in June to USD 1659 per tonne, up by about USD 135 per tonne from the prices seen in late March. Demand from the downstream paints and coatings industries surged in China as the ease in COVID restrictions and improved construction activities supported the enquiries from spot buyers.
Europe
During Q2 2021, the European Ethyl Acetate suppliers reported gradual replenishment in the market supplies. However, some production-related constraints were witnessed due to the curtailed Acetic Acid availability as a major producer was on a turnaround since the last quarter. Market sentiments were raised after backward integration plans of major European producers INEOS and Celanese were revealed. Furthermore, demand was bolstered exponentially due to better material offtakes as enquiries surged from the paints and coating industries to support the recovering automotive sector.
For the Quarter Ending March 2021
North America
Ethyl Acetate supplies in the region remained tight for a larger part of the first quarter as the supplies of feedstock Acetic Acid were limited due to unplanned turnarounds heard across the US Gulf Coast. With its strong diversion towards the pharmaceutical sector, the demand outlook remained firm despite lingering uncertainties in the supply dynamics. The plant outages caused amid the unprecedented freeze weather conditions in the US Gulf region crippled the inventory levels the demand surged as the inventories were running low and the consumption from the downstream sector remained upbeat. The widened supply-demand gap resulted in spiked prices of Ethyl Acetate in the US market, which further forced the local buyers to extend their flexibility towards the Asian stocks.
Asia-Pacific (APAC)
Limited availability of the feedstock Acetic acid pushed up the production cost of several downstream Acetyl producers amid planned shutdowns during the Chinese Lunar New year holidays. The demand however surged from the downstream sector. the supply-demand gap difference followed by the global supply shortages resulted in price uptrend. Inflated shipping costs and container shortages additionally impacted the material movement on the global scale. Exports of Ethyl Acetate from India jumped substantially due to its high global demand, exceeding 8110 KT in February with majority volumes shipped to European countries especially Italy, Belgium and Russia. In India, Ethyl Acetate prices gained by USD 615/tonne within the quarter.
Europe
The European market of Ethyl Acetate improved during the quarter and attained a balanced status, as a major player ended its turnaround and improved the domestic regional supplies, However, some constraints were addressed as Celanese announced a planned turnaround in March, followed by the reduced supplies from the US. The demand however improved as the buying activities improved from the pharma sector amid tightened market conditions due to COVID lockdown in various parts of the region.
For the Quarter Ending September 2020
Asia
Ethyl Acetate supply across Asia was observed getting tighter by the end of the Q3 with the prices gradually increasing due to restricted supply. The spot prices of Ethyl Acetate were observed to be hovering around USD 725/tonne FOB China. Key Chinese producer Jiangmen Handsome Chemical Development shut its 200 KTPA Ethyl Acetate plant in Taixing, Jiangsu in September. In South Korea, Korea Alcohol Industrial also shut its plant for scheduled maintenance. The price of Ethyl Acetate were observed to be steady due to stable demand-supply gap. Exports from China to other Asian countries increased due to increased demand in cleaning and sanitizing industry. Brisk trades pushed up the price of Ethyl Acetate to a seven-month high in September.
North America
North America’s Ethyl Acetate supply continued to fall due to rise in demand of upstream ethanol in hand sanitizer production. With the surge in the number in coronavirus cases, the demand of single use plastics increased that subsequently led to upstream supply concerns. The growing demand coupled with stiff supply pressured the dynamics. The prices of Ethyl Acetate took an all time high due to disrupted demand-supply issues during Q3. In Q4, the demand is expected to regain stability and the supply of the product is also anticipated to reach high levels.
Europe
The European demand of Ethyl Acetate was low due to limited offtakes by the end-users. Extended lockdowns disrupted the demand of the Ethyl Acetate in majorly all the countries of Europe. The prices of raw material were comparatively higher than observed in Q1 and Q2. Due to unattractive prices offered by the overseas nations like India and Brazil, buyers turned favorable towards domestic players. Demand jumped in September but remained shrouded with uncertainties amid looming economy as fears of second coronavirus wave pressured the overall activity.
