For the Quarter Ending March 2025
North America
In Q1 2025, the North American Methyl Formate market exhibited a mildly bullish start but transitioned to a bearish sentiment by quarter-end. Prices initially held steady in January, buoyed by balanced supply-demand dynamics, stable feedstock methanol costs, and consistent demand from the polyurethane and formic acid sectors. Effective inventory management and stable production in Europe ensured smooth imports, helping offset elevated ocean freight rates and logistical challenges.
By February, the market began to soften as methanol prices declined, lowering Methyl Formate production costs. Demand remained healthy in the agrochemical and pharmaceutical sectors, but subdued off-take from rubber and plastics, along with unfavorable weather conditions and shipment delays, constrained market momentum.
March saw a clear downward shift in pricing, with Methyl Formate values declining due to an influx of cheaper imports, weak market sentiment, and cautious buyer behavior amidst economic uncertainty. Overall, the quarter closed with a 1.7% increase compared to Q4 2024, but momentum weakened toward the end, signaling a soft market outlook for Q2 2025.
APAC
During Q1 2025, the APAC Methyl Formate market witnessed a 6.3% price increase compared to the previous quarter, though the trend evolved in distinct phases. In January, prices rose steadily, driven by robust demand from downstream sectors like polyurethane, formic acid, and dimethylformamide, alongside rising methanol feedstock costs. This bullish phase peaked mid-month due to low inventories and heightened industrial demand. However, by February, the market shifted towards stability, with balanced supply-demand dynamics, subdued downstream consumption, and no significant cost-push from feedstock. A brief price correction occurred mid-February due to oversupply and weak agrochemical demand. In March, a bearish trend emerged, marked by sluggish demand ahead of the fiscal year-end and ample supply, despite minor logistical challenges. Despite smooth import flows, market participants remained hesitant, leading to reduced trading activity. Declining activity in key end-use sectors like agriculture and solvents contributed to a gradual price fall. Overall, the quarter exhibited a strong start, mid-term stability, and a softening trend toward the end.
Europe
During Q1 2025, the Methyl Formate market in Europe exhibited a modest upward trajectory overall, with prices rising by 3.9% compared to the previous quarter. The quarter began with a bullish tone in January, driven by elevated transportation costs, tight supply chains due to Red Sea disruptions, and firm demand from agricultural applications and the recovering Formic Acid sector. Despite stagnant demand in Polyurethane, improved interest from pharmaceuticals and agrochemicals sustained the bullish momentum through mid-January. However, from February onward, market conditions gradually stabilized. Balanced supply-demand dynamics, steady methanol prices, and sufficient inventory levels helped maintain price stability throughout the month. Although logistical challenges persisted—especially at major European ports like Rotterdam, Hamburg, and Antwerp—demand remained consistent, notably from the agricultural and pharmaceutical sectors. By March, bearish sentiments emerged as downstream demand weakened, methanol prices fell, and industrial activity slowed. The quarter closed with declining prices due to subdued procurement activity and ample supply, signaling a softening trend despite early-quarter gains.
For the Quarter Ending December 2024
North America
The price of Methyl Formate experienced significant fluctuations during Q4 2024, plunging in October before rebounding sharply in November and December. The initial decline in October was attributed to weak demand and stable international Methanol prices, which reduced input cost pressures and allowed for consistent production rates globally. This stability in Methanol pricing minimized feedstock volatility, leading to lower import costs for the U.S. market.
However, November marked a turning point as domestic demand, particularly from the agrochemical sector, surged in response to elevated fertilizer requirements and constrained nutrient supplies. Additionally, increased activity in downstream markets, such as R-22 refrigerants, contributed to heightened consumption.
By mid-November, prices rose, as constrained supply and seasonal factors further amplified the supply-demand imbalance. The market also faced upward pressure due to limited production caused by bottlenecks and rising production costs. December continued the upward trajectory, driven by strong downstream demand and supply constraints, solidifying a bullish outlook for Methyl Formate prices by the end of the quarter.
APAC
The price of Methyl Formate followed a mixed trend during Q4 2024, influenced by stable feedstock costs and fluctuations in downstream demand. In October, prices remained steady due to consistent Methanol costs, which were supported by stable global energy prices and weak demand in the coking coal market. This stability in feedstocks ensured steady manufacturing costs for Methyl Formate. However, by mid-November, the market witnessed a price increase in South Korea, primarily driven by robust demand from the Formic Acid industry. Despite stagnant feedstock costs, the strong offtake from this downstream sector highlighted its critical role in shaping Methyl Formate market trends. In December, prices began to decline steadily, reflecting reduced demand from key downstream industries like Dimethylformamide and polyurethane (PU). The PU sector, in particular, experienced lower demand due to decreased activity in the Southeast Asian automobile industry, further contributing to the downward pressure on Methyl Formate prices. These dynamics underscore the interplay between feedstock stability and downstream demand in influencing market movements.
Europe
The price of Methyl Formate displayed a mixed trend during Q4 2024, with prices declining in October before rising in the subsequent months. In October, prices in Germany experienced a slight dip, influenced by the stable international Methanol market, which provided consistent input costs and enabled steady production rates. As Methanol serves as a key feedstock for Methyl Formate, its price stability limited upward pressure, contributing to a temporary decline in Methyl Formate’s value. Despite generally optimistic market sentiment, the German market remained stable, supported by balanced Methanol prices and consistent production costs. Toward the end of the quarter, demand for Methyl Formate began to strengthen, driven by increased consumption in the Formic Acid sector, which saw growth due to its applications in agriculture and leather industries. External factors, such as the U.S. election, added caution to global trading activities, fostering a steady yet reserved market sentiment. By November and December, the market witnessed notable upward momentum, fueled by heightened demand across refrigerant, agricultural, and other downstream sectors, alongside supply constraints and seasonal influences.
For the Quarter Ending September 2024
North America
In Q3 2024, the North America region witnessed a notable decline in Methyl Formate prices, reflecting a challenging market environment characterized by a confluence of factors followed by an uptrend.
In July 2024, the insufficient cost support from the Methanol feedstock market exacerbated the high production costs which increased the price trend of Methyl Formate.
However, the market has declined in August 2024 due to increased production capacities have led to an oversupply situation, while stable raw material costs for methanol allow manufacturers to maintain competitive pricing, further contributing to the price decline.
The -11% decrease from the same quarter last year can be attributed to weakening demand across various industries, particularly in downstream sectors like pharmaceuticals and agriculture. Seasonality and market correlation played a pivotal role in shaping pricing dynamics, with subdued demand and oversupply conditions amplifying the price decline. The latest quarter-ending price of USD 1878/MT CFR-Texas in the USA underscores the prevailing bearish sentiment, highlighting a challenging pricing environment marked by sustained decreases in Methyl Formate prices.
APAC
In Q3 2024, the Methyl Formate market in the APAC region experienced a notable increase in prices, with China leading the surge following the downtrend. During July 2024, The decline in the prices was attributed to the lacklustre demand from the downstream sectors. Enhanced production capacity could be contributed to increased availability of methyl formate which ultimately led to decreased prices. However, the price trend was increased by August 2024 due to increase in the production costs due to incline in feedstock Methanol, cautious production management, and strategic market positioning by suppliers. Additionally, ongoing investments in methanol production and improvements in manufacturing efficiency have contributed to a reliable supply chain. This quarter saw a significant increase in prices compared to the same quarter last year, with a notable -36% change. Additionally, the quarter recorded a slight decrease of -2% from the previous quarter in 2024. The latter half of the quarter saw a 5% price increase compared to the first half, indicating a positive trend. The quarter-ending price for Methyl Formate in China stood at USD 1133/MT FOB-Qingdao, signaling a consistent and significant increase in pricing throughout Q3.
Europe
In Q3 2024, the Methyl Formate market in Europe witnessed a significant decline in prices, primarily driven by weak demand from downstream industries, followed by an uptrend. During July 2024, the price trend was increased due to increase in the production costs due to incline in feedstock Methanol. However, the market prices slumped by sluggish offtake in key sectors such as construction, automotive, and pharmaceuticals, leading to reduced consumption of Methyl Formate. The correlation between weak demand and increased supply from expanded production capacities created a bearish sentiment in the market. The Netherlands experienced the most substantial price changes, with a 13% decrease compared to the same quarter last year. Within Q3 2024, prices dropped by 4% from the previous quarter, and a further 8% decline was observed between the first and second half of the quarter. The quarter-ending price for Methyl Formate in Netherlands stood at USD 1419/MT FD-Rotterdam, reflecting the overall negative pricing environment characterized by consistent decreases.
For the Quarter Ending June 2024
North America
In Q2 2024, the imported Methyl Formate market in North America experienced a robust upward trajectory, heavily influenced by constrained supply and heightened demand across various downstream sectors. Key factors driving this price surge included limited availability due to production bottlenecks, increased production costs, and robust import activity during June 2024. Additionally, the downstream markets, particularly the R-22 refrigerant and agricultural industries, saw elevated demand, exacerbating the supply-demand imbalance. Meanwhile, the supply of Methyl Formate within Germany itself remained subdued, prompting German suppliers to increase their quotations to the North American market.
In the USA, which witnessed the most significant price movements, the market demonstrated a consistent bullish trend. Seasonality played a role, with warmer temperatures boosting demand for refrigerants from April to May 2024. A notable 4% increase from the previous quarter in 2024 was recorded, signaling sustained market strength.
The pricing environment in Q2 2024 was overwhelmingly positive, driven by strong demand, supply constraints, and increasing production costs, culminating in a marked price rise for Methyl Formate in the USA.
APAC
In Q2 2024, the Methyl Formate market in the Asia-Pacific (APAC) region experienced a notable decline in prices, marked by a complex interplay of market dynamics followed by a price hike. In April 2024, the insufficient cost support from the Methanol feedstock market exacerbated the high production costs which increased the price trend of Methyl Formate. However, the overall pricing environment was negative, driven by several significant factors. Firstly, ample product inventories from previous quarters led to oversupply conditions that exerted downward pressure on prices. Secondly, the demand from downstream industries, including the Esters of Formic Acid and agrochemical sectors, remained subdued, further contributing to the pricing decline. Additionally, declining fresh sales and trading outlook uncertainties played a critical role in shaping market sentiment bearish during May 2024. Focusing on South Korea, where the maximum price changes were observed, the market reflected a clear downward trend. Despite a slight quarterly increase of 1% from the previous quarter, the year-on-year comparison showed a significant decline of 18%.
Europe
In Q2 2024, Methyl Formate prices in the Europe region exhibited a stable trend, primarily influenced by subdued market activity and tepid demand from downstream sectors during the second half of the quarter. However, in April 2024, the market experienced a bullish trend as Methyl Formate operators have been posting a rise in margins along with healthy purchases from downstream enterprises including solvents in the Paint and Personal care industry. While, during May to June 2024, significant factors contributing to this stability include high inventory levels, cautious production adjustments by manufacturers, and moderate feedstock methanol prices. Despite regional variations, the overall pricing environment remained largely unchanged due to restrained buying interest and efforts to manage stock levels effectively. Germany, in particular, witnessed the most pronounced price fluctuations within this context. The market experienced a 4% increase from the previous quarter, driven by a slight rebound in demand and strategic restocking activities. Nonetheless, compared to the same quarter last year, prices declined by 5%, reflecting ongoing market challenges, including weak demand fundamentals and elevated storage levels. This consistent sentiment underscores a stable pricing environment, balancing between moderate demand recovery and persistent supply-side pressures.
