For the Quarter Ending March 2025
North America
In Q1 2025, the U.S. Glycine market experienced significant volatility, with prices surging in January and February before sharply correcting in March. January marked a strong price rebound following earlier declines, as key manufacturers curtailed output to boost margins amid rising inquiries and limited inventory availability. Severe winter weather temporarily closed the Port of Houston, disrupting supply chains and delaying shipments. Logistics bottlenecks, higher trucking costs, and seasonal demand from China ahead of the Spring Festival added further pressure, tightening availability and supporting price escalation.
February saw continued price increases, driven by higher U.S. tariffs on Chinese imports and elevated production costs overseas. As Chinese suppliers raised export prices due to costlier feedstocks, U.S. importers—heavily reliant on Asian sources—faced mounting procurement challenges. Proactive inventory buildup and tariff-related uncertainty intensified competition, reinforcing upward pricing momentum. Expansion in U.S. manufacturing activity further strengthened downstream demand, particularly in the nutraceutical, food, and feed sectors.
However, in March, the market reversed course. Ample inventories, lower Chinese freight rates, and softened import costs led to price declines amid oversupply. Heightened trade tensions and retaliatory tariffs weakened buyer sentiment, while a drop in the U.S. Manufacturing PMI signaled reduced industrial activity. Cooling inflation and cautious procurement behavior sustained downward pressure on Glycine prices, resulting in a subdued close to the quarter.
Asia Pacific
Glycine export prices from China followed an upward trajectory throughout Q1 2025, fueled by strong demand across pharmaceuticals, food, agrochemicals, and nutraceuticals, alongside escalating production costs and trade-related disruptions. In January, prices increased steadily due to rising consumption in amino acid-based formulations, intravenous solutions, dietary supplements, and herbicides. Demand was bolstered by health-focused consumer behavior and intensified usage in processed foods. Simultaneously, environmental regulations, constrained production capacity, and inflation-driven cost hikes limited supply, supporting price gains despite a contraction in manufacturing activity.
In February, the market saw further price escalation driven by rising feedstock prices—particularly ammonia, acetic acid, and methanol—combined with sustained demand. The Chinese PMI rebounded to 50.2%, indicating a recovery in industrial activity that reinforced downstream consumption. However, the imposition of a 10% U.S. tariff on Chinese goods compounded trade uncertainty, prompting stronger preemptive buying activity. Increased output, aimed at capitalizing on rising prices, failed to ease market tightness, maintaining upward pressure.
March continued this trend, with prices rising sharply due to supply constraints and rising raw material costs. The PMI climbed to a 12-month high at 50.5, reflecting strong industrial momentum. Lower inventories accelerated procurement by international buyers amid tariff concerns, and robust demand from the pharmaceutical sector reinforced market tightness. Despite a marginal decline in consumer inflation, glycine prices remained elevated due to persistent input cost pressures and firm global demand.
Europe
In Q1 2025, the German Glycine market experienced fluctuating prices, influenced by shifting trade dynamics, raw material costs, and downstream demand variations. In January, prices moved marginally amid steady procurement from food, pharmaceutical, and animal nutrition sectors. Anticipated delays due to the Lunar New Year prompted forward buying from some end-users, while others relied on existing inventories, keeping the market balanced. Stable supply from major producers in Asia ensured that fluctuations remained modest, although port congestion and currency depreciation added to landed cost variability.
February saw more noticeable pricing movement, shaped by tightening supply and elevated import costs. A weaker Euro relative to the U.S. Dollar led to higher conversion costs for German buyers. Concurrently, Chinese suppliers raised export offers in response to higher production costs and environmental compliance expenses, influencing CIF values into Europe. Despite softer logistics rates, the combined impact of currency trends and firm export offers kept prices fluid. Buyers responded cautiously, adopting short-term procurement strategies to mitigate volatility, even as demand from the food and feed industries remained firm.
In March, prices showed further variation, reflecting easing logistics costs and partial normalization of supply flows from Asia. However, strong upstream raw material pricing and an uptick in German industrial activity, as indicated by the Manufacturing PMI, sustained moderate pricing momentum. The market remained sensitive to geopolitical risks, trade policy uncertainties, and fluctuating freight rates. Nonetheless, steady consumption from key application segments supported a relatively stable demand environment.
Overall, Q1 2025 in the German Glycine market was marked by price fluctuations tied to external cost drivers, exchange rate movements, and procurement behaviors shaped by global trade patterns. While supply remained largely stable, variations in import economics and sector-specific demand created a dynamic pricing landscape across the quarter.
For the Quarter Ending December 2024
North America
Quarter four for glycine in us market started on a pessimistic side which ended up witnessing an positive trend. The glycine market initially faced a downward trend, driven by an oversaturated market and mounting inventory pressures. Manufacturers struggled to maintain price levels, while end-users exhibited cautious purchasing behaviour after stocking up in previous quarters. Major food and beverage companies postponed procurement, relying on existing stocks.
Additionally, reduced demand from the animal feed sector, particularly in economically weakened regions, further suppressed market activity. Despite stable production costs, the combination of oversupply and weak trading kept prices low. However, by November, a market reversal occurred with rising prices, driven by global supply chain disruptions and increased production costs. Heavy reliance on imports, particularly from China, contributed to higher prices, as Chinese suppliers raised export prices due to increased feedstock ammonia and manufacturing costs.
Furthermore, the volatility of the dollar-yuan exchange rate and eased logistics charges also added upward pressure. Proactive buying behaviour, influenced by concerns over potential regulatory and tariff changes, led to heightened competition for available inventory. Supply chain challenges, including port strikes and constrained inventories, created a cycle of escalating prices. This market vulnerability highlighted the need for strategic investments and diversified sourcing to mitigate future risks.
APAC
In the fourth quarter of 2024, China underwent notable fluctuations driven by supply-demand imbalances and production constraints. After a period of rising prices, the market saw a price correction due to weakening demand and oversaturated inventories from pre-seasonal accumulation. Winter logistical challenges prompted manufacturers to adopt aggressive price optimization strategies to manage inventory. However, in November 2024, glycine prices rebounded, driven by strong demand across pharmaceutical, food, and feed sectors, alongside tight global supply. Production slowdowns and rising feed prices exacerbated supply constraints, keeping costs high. Improved logistics and seasonal demand bolstered market activity, creating a positive outlook. In December 2024, prices continued to rise due to sustained supply constraints, rising production costs, and limited manufacturing capacity. Key feedstocks such as acetic acid, ammonia, and methanol saw price hikes, intensifying cost-push inflation. Despite these challenges, demand from downstream sectors like glyphosate remained strong, further fueling the demand-supply imbalance. Producers focused on ramping up production, anticipating further price hikes. These ongoing pressures suggest that the glycine export market will remain tight, with prices continuing to rise in near future as well.
Europe
Similar to that of other importing nations, even in the European region, in the fourth quarter of 2024, Germany's glycine market initially faced a challenging start, characterized by an oversaturated supply and increasing inventory pressures. Suppliers struggled to maintain price stability, while cautious end-user purchasing behaviour, particularly in the food and beverage sectors, led to postponed procurement. This was compounded by reduced demand from the animal feed sector, especially in economically weaker regions, which further suppressed market activity. Despite stable production costs, the combination of weak trading and oversupply resulted in low prices. However, by November, the market saw a reversal, with prices rising due to global supply chain disruptions and higher production costs. The increased reliance on glycine imports, particularly from China, contributed to the price surge as Chinese suppliers raised export prices in response to higher feedstock ammonia and manufacturing costs. The volatility of the dollar-yuan exchange rate and lower logistics charges also added upward pressure. Additionally, proactive buying, driven by concerns over regulatory and tariff changes, intensified competition for available inventory. Supply chain disruptions, including port strikes and limited inventories, further escalated prices, highlighting the need for strategic investments and diversified sourcing to mitigate future risks.
For the Quarter Ending September 2024
North America
In Q3 2024, the North American Glycine market, particularly in the USA, experienced a significant upward pricing trend, driven by various supply-demand dynamics. Key factors influencing this surge included robust demand across major sectors, disruptions in the supply chain caused by ongoing trade disputes, increasing freight costs, and fluctuations in feedstock prices. Suppliers struggled to maintain adequate inventory levels due to a surge in bulk procurement orders, especially from prominent exporting regions. This intensified pressure on the already constrained supply chain, resulting in tighter availability and driving prices higher.
On the production side, while feedstock costs remained relatively low, reducing overall production costs, the depreciation of the U.S. dollar against the Chinese yuan and other currencies led to higher import prices. Despite these cost advantages, the ramp-up in production was slower than anticipated, limiting the influx of new inventory and maintaining a tight market. Additionally, the anticipation of potential tariffs on Chinese goods ahead of the U.S. presidential election caused importers to stockpile Glycine in an effort to mitigate potential price increases, further straining supply chains.
Although shipments gradually resumed in the end of the quarter, the inventory inflow remained modest, and market volatility persisted. The convergence of bulk purchasing, inflationary pressures, and supply chain disruptions created a challenging market environment, reflecting a continued upward pricing trend amidst a volatile market backdrop.
APAC
In Q3 2024, the Glycine market in the APAC region experienced a marked uptrend in prices across both feed and food grades, driven by several key factors. Global demand surged, particularly from sectors such as food, nutraceuticals, and pharmaceuticals, significantly influencing price increases. This demand spike was further amplified by seasonal preparations for winter, prompting manufacturers to adjust prices upward while meeting the needs of international buyers. Enhanced logistical operations and improvements in supply chain efficiency supported export activities, contributing indirectly to price escalations. Despite efforts by the downstream producers to stabilize the market by raising quotations, the supply-demand imbalance persisted, exerting upward pressure on prices. In China, where the most pronounced price movements were recorded, the combination of reduced production sentiment, lower manufacturing volumes, and increased unit costs contributed to substantial price hikes. The market, however, showed volatility, with prices declining at the start of the quarter. Nonetheless, overall market sentiment remained optimistic, as active trading of higher-priced goods continued throughout the period. By the end of Q3, the Glycine FOB Shanghai price was settled at USD 1600 /MT, reflecting a consistent upward pricing environment despite periodic fluctuations, driven by strong international demand and supply-side constraints.
Europe
Throughout Q3 2024, the European Glycine market witnessed a significant uptrend in prices concerning both feed and food grade, with Germany experiencing the most pronounced changes. Several key factors influenced the market dynamics during this period. A continuous surge in demand from various industries, coupled with limited supply due to disruptions and plant shutdowns and maintenance within the key producing nations created a tight market environment for the global market including the European region. Sportingly, rising production costs, supported by the limited availability of the feedstock ammonia, further pushed prices upwards, keeping the overall import cost on the northerly side. Moreover, the appreciation of the Euro against the dollar added to the cost pressure, impacting import prices. Seasonal trends also played a role, with the approaching holiday season driving bulk procurement activities and increasing international demand across the feed and food including nutraceuticals sectors additional continued to support this upward trend. Overall, The correlation between these factors led to a continuous increase in prices.
For the Quarter Ending June 2024
North America
The second quarter of 2024 has seen a notable rise in Glycine prices across North America, largely driven by a confluence of market dynamics and external factors. Elevated costs in key producing regions significantly influenced the North American market, as importers grappled with higher input prices and increased freight rates.
Disruptions in global supply chains, particularly due to ongoing shipping constraints and logistical challenges, have exacerbated the scarcity of containers, thereby inflating transportation costs. The effect of these disruptions has been compounded by the strategic inventory management of market players, who sought to capitalize on arbitrage opportunities amid dwindling supply and robust demand. In the USA, the impact was particularly pronounced.
The US market experienced a surge in Glycine prices, driven by a mix of domestic consumption pressures and international shipping complexities. The consistent demand from industries such as nutraceuticals, feed, and food additives contributed to the bullish sentiment, despite challenges in maintaining adequate inventories. Seasonal fluctuations also played a role, with increased consumption during certain periods intensifying the upward pressure on prices. Compared to the previous quarter, the market trend remained stable, with a recorded price increment of 0.10%, highlighting a predominantly positive pricing environment driven by heightened demand and constrained supply. This increasing sentiment underscores the market's resilience amid external disruptions and strategic adjustments by stakeholders.
APAC
In Q2 2024, the pricing environment for Glycine within the APAC region exhibited a discernible upward trend. The quarter was marked by a confluence of factors significantly influencing the market prices. A notable increase in demand, primarily driven by downstream sectors, played a pivotal role. This surge was compounded by proactive inventory restocking efforts ahead of anticipated supply constraints, further intensified by an appreciation in local currencies against major trading denominations, which rendered exports more costly. Additionally, logistical challenges and higher feedstock costs, particularly ammonia, sustained the price momentum. Moreover, the General Rate Increases (GRIs) in ocean freight rates from Asia added to the supply chain costs, exacerbating the upward price pressure. Focusing on China, which registered the most significant price changes, the market mirrored these broader trends. Chinese Glycine prices experienced notable fluctuations due to heightened production activities and strategic inventory management by suppliers. The influence of seasonality was evident as suppliers sought to capitalize on the robust demand during peak periods. The correlation between feedstock price hikes and glycine costs was pronounced, leading to an increasingly optimistic market sentiment. Overall, the price for Glycine in China saw a substantial uplift in the first half of the quarter compared to the latter, reflecting a 3% increase, indicative of the ongoing positive trajectory, contributing to the price volatility signaling a consistently increasing sentiment in the market. The combination of strong demand, strategic inventory management, and external cost pressures underscored a positive pricing environment throughout the quarter.
Europe
Glycine prices in Europe showed an overall upward trend in Q2 2024 following the market trajectory of other importing nations, with some fluctuations. Germany experienced the most significant price movements, reflecting the regional sentiment of key producing nations. The quarter saw rising prices for Glycine, driven by increased demand from downstream sectors like nutraceuticals and supplements. Cost support from the corn market and logistical challenges, including higher freight charges and Red Sea shipping disruptions, contributed to price hikes. Supply constraints due to temporary plant shutdowns and seasonal factors, such as inventory buildup ahead of potential summer shortages, influenced pricing dynamics. While the quarter started witnessing a steady drop, marked by weakening than anticipated inquiries arriving from the end-users. However, the market resurged as mid-quarter began with spot inquiries rising yet at a steady rate, with traders holding significant stockpiles. By June 2024, the prices remain uplifted considerably, resulting in a persistent arrival of end-users and regional inquiries. This was further attributed to currency fluctuations, resulting in a higher import cost for regional buyers, thereby benefitting the downstream suppliers in terms of higher profit margins. Purchasing remained on an as-needed basis. Overall, despite some variations, overall market sentiment for Glycine remained optimistic throughout the quarter.
