For the Quarter Ending March 2023
North America
The drop in demand from the downstream packaging and printing industries weakened the market growth of Hydrogen Peroxide in early Q1 in the US market. The supply-side pressure has increased, which has led to a decrement in the manufacturer's quotations. High inflationary pressures and volatile energy prices have hampered the market fundamentals, and as a result, trade activities have been weakened. In February, the inquiries from the downstream packaging and printing firms escalated. Amidst the global economic turmoil, the prices of WTI Crude Oil have been observed to be on the lower end, as the demand from the Chinese market remained subdued. Furthermore, in March, the release of the inventories expanded amidst sufficient inquiries from the end-use industries. However, the financial sector worries amidst the failure of two banks have exacerbated the price concerns. The ChemAnalayst database shows that Hydrogen Peroxide FOB Illinois prices were concluded at USD 692 per ton at the end of the first quarter.
APAC
Throughout the first quarter of 2023, the prices of Hydrogen Peroxide have demonstrated a volatile trend in China. In early Q1, the weak demand from the downstream printing and packaging sector resulted in the price cut of Hydrogen Peroxide. However, with the improvement in manufacturing activities after the rollback of COVID restrictions, the market sentiments have been boosted. As a result, the prices of Hydrogen Peroxide have gained momentum and escalated in the domestic region of China. In March, the inquiries from the downstream printing and packaging industries rose and strengthened the market fundamentals of Hydrogen Peroxide. However, with the slowdown in demand in the Western market has resulted in an over availability of containers across the Chinese ports. The freight charges were also on the lower end. Consequently, Hydrogen Peroxide Spot Ex-Shanghai prices were settled at USD 582 per ton at Q1-end.
Europe
In the German market, the prices of Hydrogen Peroxide have demonstrated mixed market sentiments. Despite a drop in production costs brought on by falling TTF natural gas prices, the demand from the downstream packaging and printing industries has remained lackluster, owing to high inflationary pressures. To combat the spiraling inflation, the European Central Bank has tightened its monetary policies and increased the rising rates, which in turn inflicted the purchasing sentiments of downstream industries to remain bearish. In mid-Q1, an improvement has been observed in the Hydrogen Peroxide prices as the demand from the end-use industries has edged higher. The market transactions have been settled higher, and inventory levels were sufficient, reported by market participants. However, with the replenishment of stocks in mid-Q1, the demand declined in late Q1. Thus, the manufacturers have adjusted their price offers to maintain market balance. Thus, Hydrogen Peroxide FOB Hamburg prices averaged USD 490 per ton in March.
For the Quarter Ending December 2022
North America
The prices of Hydrogen Peroxide in the American market were dropping throughout the fourth quarter of 2022. The main reason behind the easing of Hydrogen Peroxide cost was mainly due to easing prices of feedstock natural gas in the US. The increased production of natural gas in the American market to meet Europe demand along with limited exporting levels due to the maintenance work in the freeport, have caused an oversupply situation in the American market. The rising inflation rates brought down the demand from the downstream sectors. The cost of Hydrogen Peroxide during the end of Q4 was recorded at USD 682/MT Hydrogen Peroxide FOB Illinois (USA).
APAC
Due to a decline in purchasing sentiment brought on by the bad economies in Asian markets throughout the fourth quarter of 2022, the price of hydrogen peroxide fell in the Chinese market. The cost of upstream anthraquinone during Q4 of 2022 was reduced by the steady Russian supply of natural gas to China. Throughout Q4 2022, the pricing trend for hydrogen peroxide in Japan and India was reflective of that of the Chinese market. At the conclusion of the fourth quarter of 2022, the cost of hydrogen peroxide in Japan was estimated to be around USD 581/MT Hydrogen Peroxide CFR Tokyo.
Europe
During the entire fourth quarter of 2022, hydrogen peroxide prices were falling in the European markets. Due to inadequate operation rates brought on by high energy prices in Europe, demand in the downstream paper and pulp industry was extremely low in the European markets. Due to reduced bleaching requirements in the downstream lumbering industries as a result of subpar run rates, buying sentiments were not good in Europe. At the end of the fourth quarter in Germany, the destocking of the commodity along with the holiday season further eased the prices of hydrogen peroxide and was approximately recorded at USD 510/MT Hydrogen Peroxide FOB Hamburg.
For the Quarter Ending September 2022
North America
The prices of Hydrogen Peroxide in the American market decreased at the start of the third quarter of 2022 due to the declining nature of downstream paper and pulp industries. The increase in the production of natural gas in the USA abetted the Hydrogen Peroxide price drop by decreasing the cost of upstream anthraquinone in the domestic market. The prices started to increase in the latter half of the third quarter owing to rising demand from the paper and pulp industry. The high production of Natural Gas in the domestic market could not bring down the prices of upstream anthraquinone due to high export rates to Europe. The prices of Hydrogen Peroxide in the US during the end of Q3 were recorded at around USD 693/MT.
APAC
The price of Hydrogen Peroxide in the Chinese market dropped during the start of the third quarter of 2022 due to weak economic conditions and decreased buying sentiments. The steady Natural gas supply from Russia helped in easing the cost of upstream anthraquinone. The prices rise during the latter half of Q3 on the back of rising demand for paper in the downstream packaging sector. In Japan, the price trend of Hydrogen Peroxide throughout Q3 was the same as that of the Chinese market. The price of Hydrogen peroxide in Japan at the end of Q3 2022 was recorded at around USD 612/MT Hydrogen Peroxide CFR Tokyo.
Europe
The price of Hydrogen Peroxide in the European market decreased during the first half of the third quarter of 2022. The demand in the downstream paper and pulp industry was very poor in the European markets due to weak operation rates caused by high energy prices in Europe. Since buying sentiments were poor in Europe as requirements for bleaching in industries were low on the back of poor run rates. In the latter half of Q3, the prices of Hydrogen Peroxide increased because of demand hikes for paper in the downstream packaging sector. The price of Hydrogen Peroxide in Germany during the end of Q3 was recorded at around USD 554/MT.
For the Quarter Ending June 2022
North America
The Hydrogen Peroxide price in the American market witnessed a fluctuating price with decreasing price trend at mid of second quarter of 2022. The prices dropped in May, and the trend turned around its head in June 2022. In the American market, the inventories were substantial during MAY leading to lower prices in the local market. However, due to steady offtakes of the commodity, the prices started to soar at the end of Q2 2022. The disrupted supply of upstream anthraquinone from China and Catalyst' Palladium' shortage in America abetted the price hike. Strong demand for disinfectants in industries and hospitals assisted the price increase in Q2 2022.
APAC
In the Chinese market, the resurgence of covid-19 cases increased the demand for disinfectants in the second quarter of 2022, contributing to the demand rise of hydrogen peroxide in the market. In the first months of Q2 2022, the prices dropped due to covid restriction, causing a drop in demand from the end-users. In June, the Chinese market lifted various regulations, and the price peaked due to the rising demand for improved cleansing habits. Meanwhile, the prices in the Indian market the price rose due to supply disruption of upstream anthraquinone from China and the shortage of Palladium from Russia because of the ongoing conflict between Russia and Ukraine.
Europe
In Europe, the second quarter of 2022 had a falling price trend at the mid-quarter and fluctuating hydrogen peroxide prices like the American market. Prices started to decline in May, and in June 2022, the trend began to reverse itself. Strong upstream anthraquinone inventory in the domestic market and excessive hydrogen peroxide stockpiles contributed to Europe's price decline in May. In June, prices increased due to the high feedstock crude oil prices and poor upstream anthraquinone supply from China. High energy prices contributed to Hydrogen peroxide's price hike as operation prices rose in manufacturing units and the transportation price also rose in the continent, contributing to the price hike of hydrogen peroxide in Europe.
For the Quarter Ending March 2022
North America
The US market for Hydrogen Peroxide have showcased increase in prices throughout the first quarter of 2022 as the cleaning practices from end consumers improved which increased the demand for Hydrogen Peroxide as a cleaning agent. Prices during Q1 of 2022 were recorded around USD 678/MT. Prices of upstream crude oil as its supply remained disrupted globally on account of the conflict between Russia and Ukraine. As there was no improvement in the supply and imports of Hydrogen Peroxide, the traders in the American market began offering premiums in Hydrogen Peroxide offers during the first quarter of 2022.
Asia Pacific
Prices of Hydrogen peroxide in the Chinese market increased throughout the Q1 of 2022 due to production halts owing to the winter Olympics held in Beijing during February 2022. Prices of Hydrogen Peroxide were recorded at USD 615/MT during the end of the first quarter of 2022. In the Indian market Hydrogen Peroxide prices rose on the back of high demand from the downstream paper and pulp industry as well as globally disrupted upstream natural gas trade due to the conflict between Russia and Ukraine. Prices of Hydrogen Peroxide are expected to rise in the coming quarter as well as the conflict between Russia and Ukraine is unlikely to ease anytime soon.
Europe
Hydrogen Peroxide prices in the European market have been on a rise for the entire Q1 of 2022. Upstream Benzene prices reached record highs due to high feedstock crude oil costs. Prices increased because of Europe’s dependency on Russia for crude oil and natural gas. The reduced availability and high price of oil and gas led to an energy crisis, which forced a lot of petrochemical refineries to suspend the production leading to lower inventories and higher prices of Hydrogen Peroxide. In the Germany market during Q1 of 2022, prices of Hydrogen Peroxide were recorded at USD 537/MT.
For the Quarter Ending December 2021
North America
The hydrogen peroxide market in the fourth quarter of 2021 witnessed an overall increase in prices particularly in the months of October and November with a stronger performance of natural gas feedstocks in the country. The US market experienced a rally in hydrogen peroxide contracts for a major part of the quarter on the back of enhanced input costs and sturdy demand from the downstream pharmaceutical and paper & pulp industry. However, the hydrogen peroxide prices got tamed during December, hovering around USD 610/MT FOB Ohio and USD 695/MT FOB Illinois, on retraction in natural gas prices as well as year-end festive season dullness in demand.
Asia
Asian market continued to struggle with squeezing margins amid high natural gas feedstock costs triggered by its supply tightness. Strong demand from the downstream industries enhanced the cost pressures on the manufacturers. In India, the supply of hydrogen peroxide remained tight during October with limited imports due to the container crisis and a temporary halt in the 5225 TPA capacity Kochi plant of Hindustan Organic Chemicals Ltd. (HOCL).
However, the restart of operations in the HOCL plant and light relaxation in port routes in November-end coupled with gradual retraction of natural gas prices from record levels in the international market cooled down the hydrogen peroxide prices in November and December. The price for Hydrogen Peroxide settled at USD 553/MT Ex-Depot Delhi-NCR in December. China experienced double wrath from strong feedstock and the government’s imposed “Dual Control policy” which inhibited the manufacturers to run production in full capacity. Hence, the prices in China remained buoyed during October and most of November, relaxing to some extent in December at USD 130/MT EXW Shandong.
Europe
European markets, which remained in the center of the natural gas crisis, faced extremities in the form of a huge gap on the supply side of the natural gas feedstocks causing the hydrogen peroxide market to project buoyancy. During the initial quarter in Germany, the buyers expedited their stockpiling of hydrogen peroxide in order to meet the consistent demand. However, soon after the depletion of stockpiled inventories the prices of hydrogen peroxide soared again continuing the trend in December when the price for Hydrogen Peroxide reached USD 584/MT, the highest value observed in the year. Export activities also remained crippled both due to supply shortages as well as the global container crunch which remained catastrophic for almost half the period of the quarter.
For the Quarter Ending September 2021
North America
During the third quarter of 2021, the overall market outlook of Hydrogen Peroxide in North America experienced an upward trajectory. Tight production levels due to the limited availability of upstream feedstock and increased costs thereof, resulted in the hiked prices of Hydrogen Peroxide across the region. Several market participants observed that the supply of the material has been snug due to limited production amidst the healthy demand in the market. The price of hydrogen peroxide was settled at USD 1150-1240 per MT on FOB basis as of the 2nd week of September.
Asia
The prices of Hydrogen Peroxide in Asia attained stability in September followed by the decline in the demand from the domestic market after witnessing a continuous rise for more than three months. In India, marginal increment in prices was observed and ex-location prices escalated from USD 490/MT to USD 502/MT within the quarter. During Q2 FY2022, demand for Hydrogen Peroxide from the disinfectant sector witnessed a decrement in Q3 due to decline in infection rate and reduced related restrictions. The demand from the textile sector grew significantly throughout the quarter. Additionally, imports got expensive during the quarter due to the steep rise in freight cost.
Europe
In the European region, the prices of Hydrogen Peroxide rose effectively throughout the quarter owing to the consistent demand from the downstream industries. Surge in the demand from the battery industry compelled the prices of hydrogen peroxide to move upwards in Q3. At the same time, rebounding demand from the textile industry supported the upward trajectory of the prices during the quarter. The halt in the production activities and significant rise in feedstock prices, forced the manufactures to increase their product prices so as to sustain their margins in Q3. In Germany, FOB price was settled at USD 550 per MT in September.
For the Quarter Ending June 2021
North America
North American market witnessed a feeble offtake for Hydrogen Peroxide during this quarter, due infirm demand from downstream sector. Textile sector is the key driving factor for Hydrogen Peroxide demand, which ran at a low pace in USA during the month of April and May. Later, the sector improved effectively but ample stock availability restricted any buoyancy in prices in USA. Therefore, a sharp decline in prices was observed in USA which eventually reached USD 775/MT by the end of June 2021. In addition, declining feedstock Hydrogen prices in this sector also played an important role in the sharp fall in prices.
Asia
Hydrogen Peroxide demand in Asia remained steady during this quarter, backed by sturdy demand from downstream disinfectant sector. In China, prices climbed up marginally month over month backed by constant demand from domestic market, while the exports remained limited due to soaring freight cost across major trade routes. Meanwhile in India, prices remained stagnant throughout the quarter, some marginal increment in prices was observed in the domestic market. While being an active ingredient in oxygen equipment, demand for Hydrogen peroxide remained stable to firm and stock availability remained ample to satisfy the overall need. In addition, demand from major textile sector remained bearish under pandemic restrictions in the country. Thus, prices of Hydrogen Peroxide settled at USD 434/MT in India during June 2021.
Europe
Constant demand from downstream disinfectant sector, amid tight supply, led to an increment in prices of Hydrogen Peroxide in Europe. Taking ripples from the previous quarter, halted production activities and significant rise in feedstock prices, forced manufactures to increase their product prices to sustain their margins. Arkema, increased its Hydrogen Peroxide prices during April by USD 58.88/MT for Europe. In addition, global inflation and fuming freight cost also played an important role in this price hike.
For the Quarter Ending March 2021
North America
The American Hydrogen peroxide market faced abrupt surge in its prices due to lack of proper availability of feedstock chemicals and monthly rise in natural gas value. The demand for hydrogen peroxide from the downstream textile and healthcare industry remained firm during this quarter. The demand for sanitization purposes also remained high. Although the production activity remained halted due to rare climate calamity occurred across Texas, firm demand against feeble supply forced the prices to seek upward trend. Prices of Hydrogen Peroxide (50%) rose from USD 840 per MT to USD 885 per MT from January to March 2021.
Asia
The Asian market witnessed high peroxide demand from the healthcare sector amidst and reduced availability of raw materials. Chinese lunar year reduced the inventory levels of key manufacturers till February end and led the prices to rise effectively in the export markets. Similar scenario was observed in the Indian market where prices were majorly supported by surge in natural gas values, while the demand from the healthcare sector remained strong during this period, supporting its average prices by 13.06% (CFR 50% H2O2) from January to March end. Meanwhile, market sentiments rose with the announcement that DSM Shriram will be adding Hydrogen Peroxide capacity of 52.5 KTPA by 2023 in India, which will improve the supply across the country.
Europe
Demand for Hydrogen Peroxide from the healthcare sector improved significantly during January and February 2021 across Europe. Although the supply remained moderate to low amidst limited operations in the US and Chinese markets since the second half of the quarter, thereby supporting its prices throughout the quarter. High prices were backed by disturbed transportation due to weather conditions and surging freight prices.
For the Quarter Ending December 2020
North America
Hydrogen Peroxide supplies in the North American region improved as major plants in the gulf coast restarted production after temporary closures observed in Q3. Due to increase in the price of Natural gas observed towards the end of the quarter, some producers revised their offers rates later in the quarter. Also, downstream plant operating rates gradually improved under the hope of recovery from the pandemic-induced slowdown in the textile and pulp and paper industries.
Asia
The Asian Hydrogen peroxide supplies remained affected in Q4 2020 due to temporary shutdown of some of the manufacturing units in the north west Asian countries. The resumption of industrial activities and resumed international trade prompted steep rise in the consumption of Hydrogen Peroxide which ultimately affected its prices. Demand remained high from the downstream industries like healthcare and textiles for disinfectant purposes. Furthermore, spike in the rates of feedstock and energy values resulted in surge in the regional prices. Since the end of Q3, Hydrogen Peroxide had been witnessing an uptrend with rates settling around USD 340 per MT CFR India.
Europe
The European Hydrogen Peroxide market remained somewhat tight during the fourth quarter with significant reduction in the volumes of Hydrogen Peroxide traded in the region. Buying activity remained bullish from the downstream disinfectant sector amid surging COVID-19 cases. The disturbance in Imports due to tight container availability and exponential surge in freight rates kept the prices unreasonably high. Some spot buyers are expected to fill in their inventory in Q1 2021 from the Asian imports to meet the regional demand.
