For the Quarter Ending March 2023
North America
In the US market, Ethyl Vinyl Alcohol (EVOH) Copolymer prices have increased dramatically as the demand fundamentals outpaced the available supply in the first quarter of 2023. The material availability remained mostly snug in the US, with limited inventories to cater to the available demand from downstream packaging and other industries. Meanwhile, there were no plant shutdowns reported during the first quarter, and operating rates remained under check. Furthermore, import flow was also weak on the US shores while the US Ports of Long Beach and Los Angeles witnessed a shortage of labor and dockworkers, which eventually led to the temporary shutdown of the ports.
APAC
In the first quarter of 2023, Ethyl Vinyl Alcohol (EVOH) Copolymer prices increased dramatically after an initial bearish rally as the demand fundamentals outpaced the available supply, and market participants looked to secure the material. Market participants reported deteriorating inventory levels while production rates remained under pressure, and material availability in the domestic market was largely snug in Q1 2023. Import flow was also weak in the Chinese market. Meanwhile, the demand from downstream food packaging increased sharply while the consumption from automotive and other industries maintained stable volume intakes.
Europe
The European market witnessed a sharp rise in the Ethyl Vinyl Alcohol Copolymer (EVOH) prices in the first quarter after a sluggish start in January 2023. EVOH prices declined in the backdrop of weak demand sentiment in the first month of the quarter. However, market sentiment improved into the quarter, and prices showed substantial increases in the next two months as market participants looked out of sorts in order to secure the material. There were limited imports on the European shores, and material availability remained snug owing to weak production rates and logistics issues observed throughout Europe. Meanwhile, freight charges and shipping costs to and from the European nations remained sluggish throughout the quarter.
For the Quarter Ending December 2022
North America
The prices of Ethyl Vinyl Alcohol Copolymer have retained their downward trajectory in the US market throughout the fourth quarter of 2022. The decline in Crude Oil costs has deteriorated the operational costs of EVOH Copolymer in the domestic region. The demand from the downstream food packaging industries was relatively low, and the market shipments were general. There was a regular flow of the material in the market as no supply constraints have been reported. Furthermore, the low-demand season in December, combined with declining freight costs, has further pressured the market growth of EVOH Copolymer. Prices of Ethyl Vinyl Alcohol Copolymer FOB Texas were assessed at USD 6690 per ton at the end of the fourth quarter.
APAC
The drop in procurement, coupled with fluctuating upstream raw materials costs, has pressured the market sentiments for EVOH Copolymer in the Chinese market. The resurgence of COVID cases has impacted transportation and logistics across the country. The demand from the downstream packaging industries has remained on the lower end in the domestic region. The market players have reported that on-demand purchases were not sufficient to support the market rise of EVOH Copolymer. In December, the destocking season culminated in slashed offers of EVOH Copolymer for the end-use industries. The procurement from the overseas market has also remained lackluster, and the EVOH Copolymer prices have tumbled. Consequently, Ethyl Vinyl Alcohol Copolymer CFR Qingdao was settled at USD 5940 per ton in December.
Europe
In the fourth quarter of 2022, the prices of EVOH Copolymer have demonstrated mixed market sentiments. The prices of EVOH Copolymer first improved and then gained a downward momentum in November in the Netherlands. The downward shift in the market values of Brent Crude Oil has impacted the price realizations of EVOH Copolymer. The market players have informed that the supply challenges have been eased, and the operative rate of the manufacturing units was regular in the domestic region. The offtakes from the downstream food and beverage industries have remained weak. The sluggish procurement has been attributed to a drop in the end-use industries' purchasing power amid the European region's inflationary pressures. The ChemAnalyst database has shown that Ethyl Vinyl Alcohol Copolymer CFR Rotterdam prices concluded at USD 6630 per ton in Q4-end.
For the Quarter Ending September 2022
North America
In the USA, the pricing trend of EVOH Copolymer has witnessed a fluctuating trajectory in the third quarter. On the upstream cost front, the prices of Ethylene have retained their downward trajectory throughout the third quarter. The tight monetary policies imposed by US Federal Reserve to combat the rising inflation have offset the market sentiments of EVOH Copolymer in the regional market. The increased stockpile amid the weak demand from the downstream packaging industries has decelerated the market growth of EVOH Copolymer. Furthermore, in late Q3, stable consumption rates have kept the production rates regular in the domestic market, and the logistics constraints, along with port congestions on US Gulf Coast and East Coast, have pressured the supply dynamics. Thus, Ethyl Vinyl Alcohol Copolymer FOB Texas prices were concluded at USD 6805 per ton in September.
Asia-Pacific
Ethyl Vinyl Alcohol (EVOH) Copolymer's prices have demonstrated mixed sentiments in China's domestic market throughout Q3. The resurgence of covid cases hampered the production capacities of manufacturing firms in July. The market participants were reluctant to clear their existing inventories instead of ordering newer stocks. The cost support from upstream Ethylene was not strong among the manufacturers. Furthermore, a drop has been observed in manufacturers' quotations, foreseeing a bearish demand outlook and plummeting energy material prices. In the late-Q3, the offtakes from the downstream packaging industries were insufficient to raise EVOH copolymer prices in the regional market. The market players have also reported that the reduction in freight charges has resulted in weak prices of EVOH Copolymer in the international market. Therefore, Ethyl Vinyl Alcohol Copolymer CFR Qingdao was settled at USD 7865 per ton in September.
Europe
In the third quarter, the pricing dynamics of EVOH Copolymer declined in the Dutch market. The adequate availability of the product in the downstream packaging industries has resulted in reduced offtakes for the EVOH Copolymer. The retaliatory actions resulting from the Russia-Ukraine war have reduced natural gas supplies to European nations. As a result, the rising cost of input materials has seeded inflationary pressure in Europe's major economies and deterred the end-use consumer purchasing power. During the mid-third quarter, the market transactions have remained average, and the domestic market has observed a softer pricing trend in the quoted offers. The manufacturers were forced to slash their quotations as the downstream demand showcased no significant growth. Ethyl Vinyl Alcohol Copolymer CFR Rotterdam Prices were assessed at USD 6670 per ton in Q3-end.
For the Quarter Ending June 2022
North America
The EVOH market during the second quarter of 2022 showcased growth in the North American region on the back of surging feedstock, Vinyl Acetate Monomer prices in the regional market. The demand from the food packaging industry remained active in the regional market as EVOH provides barriers for many gases such as oxygen and nitrogen. As the demand from end users remained active, EVOH buys frequently enquired about the product. This inquiry led to a high operational rate of Ethyl Vinyl Alcohol Copolymer in the domestic market. As compared with the previous quarter, the market prices slowed down as the automotive sector was sluggish in the regional market, influencing the market prices of EVOH in North America.
Asia Pacific
In the Asia Pacific region, Ethyl Vinyl Alcohol Copolymer prices have followed an upward trajectory throughout the second quarter of 2022. The Asian market remained quiet throughout the quarter as China implemented a lockdown in some of the country's commercial hubs. Crude oil prices remained tight, influencing the feedstock and ethylene prices in the regional market. Inclination in feedstock prices led to the high production cost of the product in the Asian market. Major manufacturers faced tight product supply from European countries, leading to supply shortages to cater to domestic demand. The demand from downstream sectors such as food packaging and automotive sectors was firm in India, Japan, and other Asian countries.
Europe
During the second quarter of 2022, Ethyl Vinyl Alcohol Copolymer market sentiments followed the uptrend in the European market because of commodity inflation. As compared with the previous quarter, the market prices weren't declined despite the active downstream demand in the regional market. Furthermore, the shortage of feedstock, mainly Vinyl Acetate monomer, was faced by the regional EVOH manufacturers from primary due to port congestion. Crude oil prices also remained high, leading to less transportation on the road, creating a gap between supply and demand frequency. The demand from food packaging sectors remained stable as the demand for packed food items elevated in the domestic market. Moreover, the automotive and construction industries were sluggish in the regional market.
For the Quarter Ending March 2022
North America
The EVOH market during Q1 of 2022 demonstrated signs of bullishness driven by the strong feedstock - Vinyl Acetate Monomer market upon falling upstream Ethylene supplies in the region after the fire accident in ExxonMobil's Baytown refinery. The demand from the food packaging industry showed headwinds, with downstream buyers posing ample enquiries for the product under the market optimism during this quarter. However, the construction and automotive sectors could not exert significant pressure on the EVOH market due to these sectors' slowdown. The spot prices also showed firmness with significant shipping challenges and rising demand from the international market. Climbing up by 10% from the last quarter's prices, EVOH prices surged to USD 6443/MT FOB Texas in March.
Asia Pacific
In Asia, prices of Ethyl Vinyl Alcohol Copolymer have continued to trace upwards throughout the first quarter of 2022 under the impact of inflationary pressure from the skyrocketing upstream Crude Oil. Imports from South Korea and Japan remained scarce for the rest of the quarter on the Russia-Ukrainian conflict. EVOH market experienced the most profitable sales during this timeframe with the increased consumption from the food-packaging sector. A surge in feedstock Ethylene and VAM comonomer prices also led to escalating costs of Ethyl Vinyl Alcohol Copolymer. In India, the price of EVOH Copolymer towards the end of the quarter was observed to be USD 7776/MT Ex-Mumbai.
Europe
During Q1, the Ethyl Vinyl Alcohol Copolymer market in the Netherlands showcased a strong inclination, roughly about 13% in prices compared to the last quarter. Due to the lingering shortage in feedstock, mainly Vinyl Acetate monomer imports from the USA, strengthened import costs led to this escalation of EVOH prices. The continued energy crisis in the region also impacted the EVOH market. Mitsubishi’s (UK) positive base price revisions on its EVOH product lines caused insufficient product supplies for the end-user consumption across the region. Thereby increased the demand fundamentals from the highly consuming downstream industries like food packaging, automotive, construction, and water treatment plants, which brought about the prices to reach USD 7070/MT for Ethyl Vinyl Alcohol Copolymer CFR Rotterdam towards the quarter ending March.
For the Quarter Ending December 2021
North America
The North American EVOH market seesawed during Q4-2021 under the influence of vulnerability in feedstock supplies, production rates and demand fundamentals. The EVOH prices, upon retraction from record levels achieved in Q3-2021, demonstrated bearish trends during October, on account of slowly improving vinyl acetate monomer (VAM) feedstock supplies with resumption of productions in the Ida hurricane-hit facilities. The easing supply-chain constraints and stable downstream demand further pacified the EVOH prices during November. However, the prices in December hit higher with positive revisions implemented by Mitsubishi’s specialty chemical subsidiary Nippon Gohsei Co., Ltd. The inexorable increase in demand from the packaging sector under market optimism during Covid resurgence also supported the price rise of EVOH, causing it to settle at USD 5880/MT FOB Texas.
Asia
The Asian EVOH market bore the cost pressures from stronger ethylene and VAM feedstock market performance and their supply uncertainties owing to the globally dominant container crisis. The sluggish demand prospects during the initial weeks of the quarter propelled traders in China to adopt a wait-and-see policy causing the imports from Taiwan to decline due to low buying interest. However, the prices kicked off during December with gradually increasing demand from the food packaging sector causing the CFR prices to turn on the upside settling at USD 5197/MT. In India, the demand continued to stride upwards with enquiries becoming more frequent towards the closing weeks of the quarter with increasing consumer preferences for packaged food during Covid restrictions. Taking support from the inflationary pressure exerted by the global market coupled with consistent offtakes from the downstream sectors the traded EVOH prices in India went on an unabated rise throughout the quarter with the Ex-Mumbai offers trading around USD 7570/MT during December.
Europe
The European EVOH market witnessed a steady rise in prices with the lingering shortage in VAM imports from the USA which improved gradually upon inventory buildup in the exporting country. However, the input costs gained strength from feedstock vessel delays and the continuing energy crisis in the region, both of which got relaxed to a certain extent during the November end. However, the price hike of EUR 500/Ton made by Mitsubishi (UK) effective from December 1st for its EVOH product lines sent ripples to the prices across all the European countries. The demand from the packaging sector also showed an uptick during the last month of the quarter causing the domestic and spot prices to stay firm. The discussions for EVOH settled at USD 5898/MT FD South Hampton UK and USD 6192/MT FOB Antwerpen Belgium in December month.
For the Quarter Ending September 2021
North America
In Q3 of 2021, the EVOH market outlook experienced an upward rally in the North American region backed by the tightened supplies and firm demand from the downstream packaging industry. Scarcity of the upstream Vinyl Acetate monomer impacted the production rate of the product and consequently pushed up its prices in this timeframe. Moreover, many manufacturers were compelled to shut down their manufacturing units ahead of the Ida hurricane in the Gulf Coast of the USA in August end as a contingency plan. It resulted in the supply chain disruption as well as impacted the overall production rates in the region in Q3 which further contributed to the hike in the prices of EVOH in this quarter.
Asia Pacific
In the Asian markets, EVOH prices reported an upward trend in the third quarter of 2021. Several factors such as constrained supply of the raw materials along with the firm demand from the downstream packaging sector contributed to the inflation in the prices of EVOH in this timeframe. In China, congestion at several ports followed by the corona virus zero tolerance policy led to the supply chain disruption that consequently impacted the EVOH regional market and resulted into the hike in its values in this quarter. Likewise in India, a steep climb in the values of EVOH was observed throughout the quarter backed by the squeezed supply of the feedstocks coupled with the improved demand from the domestic packaging sector and continuous growth in E commerce in this timeframe. Thus, EVOH copolymer (Blow Moulding) Ex-Depot Mumbai prices rose from USD 6709.85 per MT to USD 6973 per MT during July to September.
Europe
In Europe, EVOH market witnessed an upward trend backed by the improved offtakes from the downstream packaging sector during the third quarter of 2021. Lower imports of the feedstock VAM from USA as an impact of Ida hurricane coupled with the delayed imports from Asia due to congestion on several ports of China led to the hike in the values of EVOH in the region in this timeframe. Moreover, soaring freight charges across the US-Europe and Europe-Asia interoceanic trade routes and shortages of shipping containers further sent ripples to the price in Europe during this quarter.
For the Quarter Ending June 2021
North America
EVOH supplies continued to stay impacted in the North American region due to shortage of the key feedstock Vinyl Acetate monomer (VAM). Some market observers reported strong sentiments to replenish the inventories of the raw material which raised procurement costs. Several manufacturing facilities were observed operating at reduced efficiencies due to limited availability of the raw material which further supported the upward price trajectory. Soaring container freight added to the supply pressure. Kuraray, the leading Asian Ethylene Vinyl Alcohol polymer (EVOH) producer announced positive revision in the prices for the market. Demand remained firm from the downstream packaging industry.
Asia Pacific
EVOH supplies in the Asia pacific region were tight in the first half of the second quarter as several upstream Acetic Acid and VAM plants were on a planned turnaround in several parts of Asia which caused hinderance to the production of EVOH. In May, Labour day holidays in China curtailed the supplies to some extent adding further pressure to the EVOH market outlook. Demand witnessed improvement due to pick up in commercial activities in China which increased the offtakes from the packaging industry. Affected with the surging prices of the key feedstock chemicals, the prices of EVOH in India witnessed a slight improvement taking Ex-Works prices to settle around USD 7800 per tonne in June.
Europe
During Q2 2021, the supplies of EVOH in the European region were gradually improved owing to the increment in the feedstock VAM from USA as the petrochemical producers in the gulf region restarted after the disruptions caused by winter storm Uri. Whereas the Asian cargoes were delayed due to the Suez Canal blockage in quarter starting. The market sentiments were strengthened throughout the quarter as buyers stocked up material before the upcoming hurricane season in the US. Demand was consistent from the downstream plasticizers industry which showed mixed sentiments due to lockdown restrictions in some importing countries.
For the Quarter Ending March 2021
North America
During the first quarter of 2021, the EVOH market fundamentals were weighed under strong values of feedstock VAM, followed by the series of plant outages in US Gulf coast and nearby area including Kuraray America Inc. due to winter polar storm. In the first half, kuraray hiked the prices of EVOH throughout the region. Demand surged as the enquiries and competition among the spot buyers surged to procure the EVOH consignments for the food packaging and medical sector. The supply demand gap widened amid high demand and shortage of material in the North American region which led to multifold surge in the prices of EVOH during the first quarter.
Asia-Pacific (APAC)
The supplies of EVOH in Asia Pacific remained tight owing to the shortage of feedstock VAM throughout the region. During the Chinese Lunar New Year holidays, the inventory levels of EVOH diminished, followed by turnarounds in several upstream plants in the Northeast Asian region. It was observed that China's export volume of key feedstock VAM declined by 95% y-o-y to 1302 MT. Shortage of feedstock prompted key Asian producers to raise their EVOH offers. Japan's Kuraray hiked the prices of EVOH by USD 180 per ton for the domestic market and USD 200 per tonne for the overseas supplies within the APAC region. Demand surge from the downstream food packaging and medical sector. It was noted that several Indian buyers started to replenish their inventories in the second half of the quarter.
Europe
As major economies in Europe revoked the COVID restrictions by imposing lockdown, it limited the region’s production levels due to sluggish commercial and industrial activities. Reduced operations further led to tight supplies of EVOH in the European market during the first quarter. The import shipments from the USA declined amid bad weather conditions. Prices took a leap as limited to null availability hiked the desperation among the buyers to procure large volume ahead of further hike on the prices. Demand fundamentals were strong as offtakes from the downstream food and packaging sector were high.
For the Quarter Ending December 2020
North America
The North American EVOH supply was hampered during October by the seasonal storms and Hurricane Laura in the Gulf coast regions which affected the overall product availability across the region. Prices remained high supported by stable feedstock and uniform demand from the food packaging sector majorly in the US, one of the largest consumers of packaged food globally. Certain manufacturers remained under pressure due to limited stocks and healthy demand fundamentals across the region enabling them to focus on revamping the production levels.
Asia
EVOH market price in Southeast Asia rallied upwards keeping strong accord with the global price trend which mounted on the back of firming crude oil during first half of 4th quarter. While on the feedstock front, stability in the Ethylene Vinyl Acetate (EVA) supply was witnessed which helped in uplifting the total availability of product in the region. However, the projections remained high amidst uncertainty associated to the demand from downstream industries such as automotive, food and others. On the demand front, sentiments have been lit by the news of vaccine rollout and a sharp pickup in the manufacturing sector towards the year end. Some Indian consumers stated that shortage of import containers which started after mid-November exacerbated the overall market tightness. The average price of EVOH in the region were assessed to be around USD 7900 per MT.
Europe
The supply of EVOH remained affected due to plant turnarounds in some regions due to COVID-19 pandemic which capped the market supply across the region. Steady improvement in demand was seen during November as lockdowns were eased and operations resumed in several end-user industries. The demand curve took an uptrend towards the end of December after weeks of persistent dullness. Prices rose to fresh highs due to firming feedstock and supply tightness due to soaring container freight.
