For the quarter ending March 2022
PTFE prices increased consistently in the North American market throughout the first quarter. Values of feed Propylene rose during Q1, but Ethylene prices decreased in the region. Demand from electrical insulation, automotive & aerospace industries remained consistent in Q1. During March, the prices of PTFE increased due to weak supply of raw materials from Asian countries amidst the high demand for fluoropolymers from the automotive sector. Fluoropolymers prices settled at USD 11420 per tonne in March, with a consistent increase of 3% in values throughout the period.
Prices of Fluoropolymer remained stable and increased in China during Q1. In January, PTFE values decreased due to subdued demand from downstream textile and automotive sectors but rose after January when the demand for Fluoropolymer increased from importing countries. The feed Ethylene and Propylene values rose throughout the quarter. The estimated values of Fluoropolymer were USD 9656.5 per tonne in the Chinese market at the end of Q1. High demand from the automotive sector in March and disrupted supply chains further pushed up PTFE prices in Asian Market.
The European market witnessed an uptrend in the prices of Fluoropolymer in Q1 of 2022. Significantly increased feed Ethylene and Propylene values influenced Fluoropolymers production cost. Manufacturing industries in Europe import PTFE from Asian countries like India, China & South Korea. Thus, the increased values in Asia influenced the market prices of Fluoropolymer in the European region. Demand remained high from the downstream automotive & aviation sector towards the end of the quarter. Consequently, PTFE prices fluctuated in a firm range showcasing a revision between USD 250-300 per MT in Q1.
For the Quarter Ending December 2021
Production disruptions in China and India worsened the supply dynamics of Fluoropolymers in USA throughout the last quarter. Supply chain further weakened on the back of resolutely high freight charges from Asia to both US East Coast and US West Coast. USA, which depends majorly on exports of Fluoropolymers from Asia and Europe. On demand side, consumption of Fluoropolymers remained strong throughout the quarter as fluoropolymers forms staple for several key industries including electrical and electronics. Consequently, on the back of aforementioned factors prices of fluoropolymers rose incessantly during Q4.
Fluoropolymers prices kept its upward trajectory for first two months of the quarter on the back of stable demand from the domestic market. China, being largest consumer and producer of PTFE, production halts in the country during October affected the overall market dynamics of Asian market. PTFE prices in India rose consistently till November and hovered around INR 807380/MT PTFE General Moulding 610 Ex-location. However, market observed stagnancy in later stages of Q4 and consequently Fluoropolymer prices stabilized in December. In China, producers faced production disruption in H1 of Q4 in lieu of dual energy control policy which increased inflationary pressure on the available material and consequently prices of PTFE climbed up in early parts of the quarter. However, production levels improved towards later stages of Q4 which led to drop in PTFE prices amid declining demand during second half of the last quarter.
European Fluoropolymer market followed the trend of previous quarters where demand remained firm throughout while snug supply fundamentals increased inflationary pressure over the available material. Several key European countries rely heavily on exports of Fluoropolymers from Asia mainly from India, China and Taiwan. Production disruptions in Asia exacerbated the weakened supply fundamentals where Fluoropolymers reaching European shores remained limited as strong freight charges further discouraged Asian manufacturers. Therefore, prices of Fluoropolymers increased consistently throughout the last quarter.
For the Quarter Ending September 2021
In Q3 2021, Fluoropolymers market witnessed an upward trajectory backed by the upsurge in the values of its raw materials during this period in North America. Shortage in the supply of feedstock Ethylene, Tetrafluoroethylene and Propylene was caused as the industrial infrastructure in the US Gulf Coast remained shut due to the impact of Ida hurricane. Furthermore, recovery in the automotive, electronics, construction and other downstream sectors also kept the market sentiments of various polymers high in this quarter. Polytetrafluoroethylene and Fluoroelastomer experienced improvement in the offtakes from the downstream sectors in the US region in this quarter. Thus, sturdy demand and constrained availability pushed the prices of Fluoropolymers in North America. PTFE Fine Cut grade prices reached INR 988120 per MT during September in US.
In Asia, an exponential rise in the demand for Fluoropolymers was registered during the third quarter of 2021. Surge in the values of PTFE was supported by the spike in the values of feedstock Ethylene, Propylene and other petrochemical derivatives along with the growth in the downstream market scenario in Asian markets. In China, Fluoropolymers market witnessed an upward rally due to the supply chain disruption following the shut-down of the Ningbo-Zhoushan port for around 12-14 days in August. In India, inflation in the prices of PTFE was observed supported by the constant hike in values of petrochemical like Ethylene, Tetrafluoroethylene & Propylene which are the key raw materials involved in Fluoropolymer production. Therefore, PFTE general Moulding 610 EX-Vadodara prices settled at USD 9903.88 per MT in September showcasing a spike by USD 1515.7 /MT since July.
In Q3 2021, European market witnessed an upsurge in the prices of PFTE during this period backed by the constant increase in values of feedstocks including Ethylene. Besides, an improvement in the offtakes from the downstream manufacturers in this timeframe after the resurgence in the industrial and the commercial activities also contributed to the surge in its prices. Moreover, high energy rates kept the prices high in this timeframe. Additionally, hike in the freight charges and shortage of shipping containers further sent ripples to the prices of PFTE in this quarter.