Pricing Overview

Petrochemicals | Linear Alkyl Benzene (LAB) Pricing Overview

Market Overview

Quarterly Update on Global LAB Market
For the Quarter Ending September 2020
Discussions in the Asian Linear Alkyl Benzene (LAB) market were mostly thin for the quarter ending September 2020. Although negligible change was observed in demand fundamentals due to the pandemic, negotiations prompted by the traders to initiate better offtakes shrouded the contract prices due. Nonetheless, the skyrocketing demand from the detergent and cleaning industry failed to provide prominent gains as manufacturers flooded the market with excess supply. However, with consistent growth in market sentiments of feedstock Benzene, the hovering outlook of LAB is anticipated to bounce back by the next quarter.
North America
With increased consumption from surfactants and cleaning products as a preventive measure of the global contagion, the demand for Linear Alkyl Benzene in the region has witnessed appreciable gains. However, with reduced panic procurement and stockpiling of the product, the market fundamentals of LAB have considerably stabilized. Manufacturers have suffered fall in their profit intakes on mounting inventories of the product and no severe cut implemented in the operating rates. However, LAB market dynamics are likely to trace fast recovery with surface chemical industry continuously experimenting with new products expressing optimism over improved demand by the next quarter.
The third quarter for the LAB market in Europe remained firm with continuous demand for surface cleaning products under strict industrial practices to maintain hygiene. Consumption of LAB in the surfactants and derivatives further exacerbated with resurgence of the coronavirus contagion in several parts of the region. With no planned turnaround in the near term, market players were cautious over supply outstripping the demand that ultimately led to reduced profit margins. As there are no hopes for complete abatement of the virus till date, the demand is likely to observe no appreciable change in future.

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Market Analysis
Company-wise installed capacity, production volume and plant operating efficiency is captured directly from manufacturers. Import and Export volume is captured from government sources and demand for LAB is calculated considering the production, import, export and inventory-levels on the country and regional level markets.
Pricing Analysis
LAB price is correlated with the price trend of its feedstock, benzene and paraffin and performance of downstream surface and cleaning chemicals industry.
Company Profile
Basic details and information on financial performance of leading global players in LAB market is presented in a visually captivating manner. Expansion plans and the company’s strategy is also captured to understand the vision and mission of the company to help understand the areas where companies need to focus more.
News & Deals
Daily updates on industry-specific and product-specific news, exclusive primary-based news capturing plant shutdowns/outages/closures, capacity expansions, operating rates, insights on demand-supply situation, awarding of technology licenses, new product launch and deals specifying mergers and acquisitions, strategic investments and disinvestments, to help players capitalize on market opportunity.


ChemAnalyst gathers information through primary research surveys conducted with various LAB manufacturers, spread across domestic and international market, suppliers and dealers/distributors to gain insights into value-chains and demand-supply scenario to assess the market situation. Thorough study of company’s annual reports and secondary sources such as exhaustive search on credible paid databases, including our internal database is done to verify the information. All the collected information is analyzed, evaluated and presented in chronological order to depict a meaningful and clear picture of the concerned market.
Our dedicated team of industry experts comprehensively monitors and analyzes various aspects of the Global LAB market. The team analyzes various industrial segments, strategic viewpoints and provides an analysis of the industry’s performance in the long run. This would enable our clients in efficiently plan their future investments, mitigate risk, understand the cost dynamics and strike out a balance amidst market volatility.
Critical examination of the impact of COVID-19 pandemic on the global supply chains and shift in demand patterns with change in buying behavior of consumers across the globe.
Several ongoing development projects across industries are tracked, followed by the details of major projects in the development stage, which can positively or negatively influence Global LAB market.
Pricing is captured through exhaustive primary interviews with domestic and international manufacturers, traders and importers and customers on daily, weekly, monthly and yearly basis.
Finally, region-specific markets for LAB are analyzed and region-wise demand pattern is tracked.


Linear Alkyl Benzene (LAB) is an organic compound produced from Benzene and Paraffin as the major feedstocks. The organic compound is primarily utilized to manufacture Linear Alkyl Benzene Sulfonic Acid (LABSA), a high valued surfactant. Owing to its supreme properties like high flash point, good transparency and negligible radioactive impurities, LAB has emanated as an ideal feedstock for producing biodegradable detergents and cleaners. In the manufacturing process of LAB, it is viable to use high purity n-paraffin to form linear olefins by hydrotreating. The hydrotreated olefins products are finally reacted with Benzene in the presence of a suitable catalyst to obtain LAB. Although Hydrogen Fluoride (HF) is the most economical among all available catalyst, but its usage has been exempted since 1995 due to environmental concerns mounting over various countries. Since then, DETAL process that uses a fixed bed catalyst system is commonly equipped in LAB plants.