For the Quarter Ending March 2023
North America
The market for MAK in the USA has been bearish due to weak demand and high supply in the quarter ending March 2023, leading to declining prices. The lack of trading activity was a result of ample supply and lower offers for non-premium spot cargoes. Providers were forced to base their buying activities on a need-to basis due to the decline in spot trading. The market fundamentals were weak, resulting in no firm bids or offer this quarter. The demand for MAK from the downstream solvent market declined due to slow market offtakes and limited trading activities. Uncertainty prevailed in the U.S. market, leading to hampered trading dynamics in the first Quarter of 2023.
APAC
The price of Methyl N-Amyl Ketone has decreased in the quarter ending March 2023. The price drop was due to lower demand from downstream businesses and lower crude oil costs. Supplies were transported without any disruptions and in normal quantities, while average interest was shown in this product by perfume and food product manufacturers for production purposes. The Indian Rupee depreciated against the U.S. dollar by approximately 1.5% per M.T. from 1st to 24th February 2023, impacting the prices of the product. Moreover, the Fast-moving consumer goods (FMCG) manufacturing companies exhibited a modest interest in this product for their production purposes throughout the quarter.
Europe
In the quarter ending March 2023, the price of Methyl N-Amyl Ketone remained stable in Europe. The price stagnation was attributed to constant downstream demand, with no substantial disruptions in supplies. The demand-to-supply ratio remained constant at the start of the year, resulting in only a minor price increase in January. In this quarter of 2023, the bearish market situation was characterized by modest supply and moderate demand. The product was relatively appealing to downstream companies such as perfume and food production segments, and despite recent price concessions, purchasing activity in the European market did not exhibit substantial changes in the first quarter.
For the Quarter Ending December 2022
North America
In the Q4 of 2022, the MAK markets in North America and Europe both showed the same pattern. The average demand for this commodity from partners further downstream limited upstream production. Because this product was readily available in stores, food and perfume companies were able to meet their production requirements. The product's prices were also affected by the moderate demand for it from other businesses downstream. The price of this product decreased significantly as a result of a decline in the cost of upstream crude oil.
APAC
The market for Methyl N-Amyl Ketone (MAK) decreased throughout the entire Asia-Pacific region during the fourth quarter of 2022. The price of this product has decreased in China for various reasons. The primary factors that contributed to the decrease in the price of upstream crude oil were the provincial governments' implementation of Covid-19 curbs and the diminished performance of the crude oil market. Additionally, due to average demand, companies that use MAK to produce food products and perfumes had to reduce their production rates significantly. During this quarter, the commodity market in India was comparable to China's. The product's price was influenced by the average demand from downstream industries for it as well as the product's ample inventory availability, which satisfied the demands of downstream companies for the production of their final products.
Europe
The market for MAK in Europe decreased this quarter. The ongoing conflict between Russia and Ukraine resulted in significant price increases for energy and natural gas up until the second week of December. Consequently, despite their extreme concern, downstream businesses displayed average interest in this product. The MAK market in Germany and the Netherlands followed similar trends. In the Q4 of 2022, the same factors led to price reductions for this product in Germany and the Netherlands. Europe's upstream companies had been maintaining moderate production rates as a result.
For the Quarter Ending September 2022
North America
The events that took place in the crude oil market had an impact on the markets for this product in North America as well as the markets in Asia. This quarter, the price of Methyl N-Amyl Ketone decreased in the United States. The average demand for this product from downstream businesses was limited due to a lack of labor because of summer vacations and lower acetone prices, which contributed to the product's lower cost this quarter.
APAC
The market of Methyl N-Amyl Ketone was dull in the Asia – Pacific region this quarter. In India, the cost of this product got lowered in these three months. The primary factor behind the cost reduction was the diminished demand for this product from food processing and perfume companies for downstream processing. In addition, the events that took place in the upstream crude oil market also had an impact on the cost of this product. Hence, MAK closed its market in India this quarter at USD 4,069 per MT on CFR – JNPT basis. When it comes to China, both upstream and downstream companies were showing modest interest in this product because of acute power shortages, owing to which they had to halt or lower their production rates completely. Hence, MAK prices dropped in China as well in this quarter.
Europe
In this quarter, MAK's markets in Europe were identical to its Asian and European markets. MAK saw significant cost reductions during these three months (from July to September). The tight natural gas and crude oil supply caused by the ongoing conflict between Russia and Ukraine significantly increased production and energy costs. Consequently, downstream businesses displayed only a passing interest in this product despite their extreme concern. Additionally, the price of acetone decreased, which contributed to the decrease in the price of MAK in Europe this quarter.
For the Quarter Ending June 2022
North America
The Methyl N-Amyl Ketone factories turned losses into profits during the first half of the second quarter of 2022 in the North American region with the help of prohibitive costs and the company's billing prices which increased several times. Furthermore, stockholders were not pressured to ship at the beginning of the month. The mentality of the stockholders was improving, and the offers were also increasing. After a round of upward movement, the downstream sentiment was not high. Most followed up only in need, with little intention to replenish goods at unreasonable prices. There were mixed fluctuations in downstream products, but the changes were insignificant, and the overall situation was stable. In addition, start-up and sales were steady, but demand stimulation was insufficient, and the propylene market was challenging to improve.
Asia
The prices of Methyl N-Amyl Ketone surged in the Asian market during the second quarter of 2022 with a quarterly escalation of 3.4%, as recorded by Chem Analyst pricing team data. Demand for the product from downstream solvent, automotive and chemical cleaners for electronics and flavouring agents supported the upward escalation of the prices in the regional market. Escalating prices of upstream feedstock Acetone and Butyraldehyde put cost pressure on the product's merits. The inventories were observed to fall with the traders and the suppliers during the period, and fewer products were being stockpiled.
Europe
In another uninspiring trading week, upstream feedstock Propylene closed a few transactions for prompt delivery. Methyl N-Amyl Ketone's price trend fluctuated in the first half of the second quarter of 2022, and it was honored to decline. Buying volume of the product in Europe was a popular topic at the beginning of the quarter. The operating rates decreased for phenol-acetone, and lower rates were considered by the end of the quarter. This suggested a fluctuating outlook for the market sentiments. Some sentiment pointed to a flat bearish market due to escalating imports and weaker Propylene.
North America showcased an inclining pricing trend of Methyl n-Amyl Ketone (MAK), which shot up to USD 3535/MT FOB in the first quarter of 2022. The steep rise was observed due to the firm demand fundamentals from downstream food enterprises and the paints and coatings industry. Tight supplies, depleting inventory levels, high manufacturing costs, and strong feedstock Acetone and Butyraldehyde prices altogether contributed to the increase in the prices of MAK in the North American region. United States, the major exporter of Methyl n-Amyl Ketone (MAK), experienced disrupted supply chains following the Russia-Ukraine crisis since February, which further affected the value chains of North America throughout this timeframe and caused soaring energy prices.
Methyl N-Amyl Ketone prices traced uphill throughout this quarter with an increment of 8% in India owing to the strong feedstock Acetone and Butyraldehyde markets. Being an imported commodity from China, the prices were driven primarily by the suspended import volumes during the Chinese New Year holiday break, which affected the downstream solvent sector across the region during February. Rising freight charges with increasing petroleum feedstock later impacted the overall pricing dynamics for Methyl n-Amyl Ketone towards the end of the quarter. Major players revealed that demand fundamentals for the solvent increased due to firm offtakes from the downstream paints and coatings and construction industry in the regional market, which encouraged the price hike in Asia. Thus, the MAK prices rose effectively and hovered around USD 4048/MT CFR JNPT in India by the end of the first quarter.
During the first quarter of 2022, prices of Methyl n-Amyl Ketone (MAK) soared in the European region on the back of firm feedstock Butyraldehyde values and stable Acetone market. The prices hovered around USD 3246/MT-3389/MT FOB Hamburg by the end of the first quarter in Germany. The European market was primarily affected by the Russia-Ukrainian conflict, as numerous disruptions were observed during Q1 as a result of the unexpected escalation of the war situation. The volatility in upstream crude oil prices impacted the cost of its derivative Propylene and feedstock Butyraldehyde, taking hold of the cost of downstream Methyl n-Amyl Ketone across the region.
