For the Quarter Ending March 2025
North America
During Q1 2025, the North American N-hexane market experienced mild price fluctuations amid shifting dynamics in the downstream construction sector. While overall demand for N-hexane remained steady, consumption from construction-related industries—such as adhesives, coatings, and sealants—faced headwinds. U.S. single-family housing starts declined sharply by 14.2% in March, the lowest since mid-2024, as tariffs on imported materials and rising costs discouraged new builds. This translated into reduced procurement of N-hexane-based construction chemicals, putting downward pressure on spot demand.
Despite easing mortgage rates, builder sentiment remained subdued due to elevated energy costs and labour shortages, further weighing on adhesive and coating consumption. However, niche demand in infrastructure and manufacturing-related projects provided moderate support. On the supply side, N-hexane availability remained adequate, with regional production stable and no major logistical disruptions reported.
Overall, while broader construction weakness capped significant demand growth, localized infrastructure activity and strong solvent use in specialized applications helped maintain market balance in Q1.
Europe
In Q1 2025, N-Hexane prices in Europe rose by 2.1%, supported by firm demand in the edible oil extraction sector and constrained supply conditions. Robust sunflower and soybean oil production across Europe, alongside rising imports from Ukraine, drove steady solvent-based extraction activity, particularly in Germany. This bolstered N-Hexane consumption, even as demand from coatings and adhesives remained subdued due to ongoing weakness in the Eurozone construction sector.
On the supply side, availability tightened amid logistics bottlenecks at key Northern European ports and cautious inventory management by local producers. Elevated energy costs and steady feedstock naphtha pricing further pressured production margins, prompting manufacturers to maintain lean operations.
Despite some upward pressure from oil processing, coatings and adhesives demand lagged amid high construction costs, reduced project activity, and persistent inflation. Germany and neighbouring economies reported falling industrial orders and a contraction in construction output, limiting broader N-Hexane market momentum. However, tight supply and stable oil-sector demand collectively supported a modest price increase across the region.
APAC
In Q1 2025, the APAC N-Hexane market experienced a notable 6.4% price decline, largely driven by weak downstream demand and oversupplied conditions. Consumption from key end-use sectors—such as paints, coatings, and adhesives—remained muted due to China’s ongoing construction slowdown and delayed infrastructure investments. Cold weather across northern China further hampered building activity, directly impacting solvent demand in coating formulations.
On the supply side, producers maintained steady operations, but expanding production capacity and high inventory levels placed downward pressure on prices. Feedstock naphtha remained weak throughout the quarter, offering minimal cost support for N-Hexane producers. Post-Lunar New Year plant restarts added to supply, while exports remained sluggish due to cautious buying across Southeast Asia and weak economic momentum in China and South Korea.
Downstream buyers prioritized short-term procurement, avoiding large-volume purchases due to uncertain demand recovery. With limited seasonal or economic stimuli, the region’s N-Hexane market remained under bearish pressure through the quarter, with little indication of near-term price recovery.
For the Quarter Ending December 2024
North America
In Q4 2024, n-hexane prices in the North America exhibited a mixed trend, influenced by supply-demand dynamics and fluctuations in feedstock costs. In October, prices declined in the domestic market of USA due to weaker demand from downstream sectors such as oil extraction, adhesives, and coatings. Lower feedstock naphtha costs, driven by a sustained drop in global crude oil prices, further pressured n-hexane prices. High inventory levels and cautious procurement strategies among buyers added to the bearish sentiment, with minimal recovery seen in industrial activity during the month.
In November, prices experienced a further decline, reflecting subdued market activity and persistent oversupply. Demand from key downstream industries remained weak, while manufacturers focused on clearing high inventory levels through discounts and flexible pricing strategies.
By December, n-hexane prices decreased slightly as year-end destocking efforts by manufacturers intensified, and demand remained constrained. Seasonal slowdowns in construction and industrial activities, alongside cautious procurement behavior, maintained downward pressure on prices. Limited consumption from key sectors, coupled with stable yet low naphtha costs, left the market subdued as the year ended.
APAC
In Q4 2024, the n-hexane market in APAC displayed mixed trends. In October, prices declined due to weak demand from downstream industries like oil extraction, paints, and coatings, compounded by oversupply and low feedstock naphtha costs. The ongoing downturn in China’s real estate sector further suppressed construction-related demand, exacerbating bearish sentiment across the market. High inventory levels and minimal procurement activity from downstream industries kept market participants cautious, leading to a subdued transactional atmosphere. November saw a slight increase in n-hexane prices, driven by steady demand from downstream sectors, particularly oil extraction and automotive industries. Improved export activities and modest recovery in some end-use markets provided temporary support. However, oversupply and stable yet low feedstock costs continued to cap any significant price gains. Market players remained wary, focusing on immediate procurement needs while monitoring broader economic and industrial conditions. By December, n-hexane prices decreased again, pressured by reduced demand from paints, coatings, and adhesives due to seasonal slowdowns in construction. Weak buyer sentiment and manufacturers’ efforts to clear inventories through discounts further contributed to the decline. As year-end approached, cautious procurement strategies and oversupply dynamics dominated the market.
Europe
In Q4 2024, n-hexane prices in Europe followed a downward trajectory, reflecting weak downstream demand and oversupply. In October, prices decreased due to limited consumption from oil extraction, adhesives, and paints and coatings, alongside declining feedstock naphtha costs. The eurozone's struggling construction sector, particularly in Germany, further suppressed demand, with ongoing contractions in real estate investments and reduced industrial activity compounding the bearish market sentiment.
In November, n-hexane prices declined further, driven by persistently weak demand across downstream industries. High inventory levels, alongside limited procurement from sectors like paints and coatings, exacerbated the downward pressure. Germany’s construction sector saw one of its sharpest declines, with reduced housing starts and minimal new order inflows. Despite stable naphtha costs, oversupply and bearish sentiment kept prices under sustained pressure.
By December, n-hexane prices decreased slightly as oversupply and weak demand persisted. Germany’s construction activity slowed further, driven by seasonal factors and high borrowing costs. Procurement remained necessity-driven, with buyers limiting purchases to essential needs.
For the Quarter Ending September 2024
North America
In Q3 2024, the n-hexane market in North America witnessed an increase in prices, with notable factors driving this upward trend. Various elements contributed to this surge, including robust demand from downstream industries, limited supply availability, and escalating production costs. This heightened demand, coupled with stable domestic production, contributed to the upward trend in prices.
Additionally, the market saw steady procurement activities and active trading operations, further supporting the price increases. Energy costs, including natural gas prices, played a crucial role in maintaining the positive price momentum.
Specifically focusing on the USA, the region witnessed the most significant price changes during the quarter. Overall trends indicated a seasonality effect, with prices showing a correlation between demand fluctuations and supply dynamics. Despite a substantial decrease from the same quarter last year, recent price changes recorded a more modest decline from the previous quarter in 2024. Notably, there was a slightly price difference between the first and second half of the quarter, signaling a consistent upward trajectory in the pricing environment.
APAC
In Q3 2024, the n-Hexane market in the APAC region experienced a significant decline in prices, mainly attributed to weak demand and high inventory levels. Factors such as reduced downstream oil extraction sector activity, coupled with subdued global demand, contributed to the downward pressure on prices. The market was further influenced by adverse weather conditions, logistical challenges, and geopolitical tensions, which hindered any potential price recovery. China, in particular, witnessed the most substantial price changes, reflecting the overall negative trend in the region. The quarter saw a notable -15% decrease from the same period last year, with a further -8% decline from the previous quarter in 2024. The comparison between the first and second half of the quarter revealed a significant drop, indicating a continuous downward trajectory for n-hexane market. The latest quarter-ending price for n-Hexane in China stood at USD 1216/MT FOB Qingdao. The market sentiment remained negative due to sluggish global demand, new capacity additions during the quarter.
Europe
In Q3 2024, the n-Hexane market in Europe experienced a period of increasing prices, driven by various significant factors. The market was influenced by robust demand from downstream industries, particularly in the oil extraction sector. This heightened demand, coupled with stable domestic production, contributed to the upward trend in prices. Additionally, the market saw steady procurement activities and active trading operations, further supporting the price increases. Energy costs, including natural gas prices, played a crucial role in maintaining the positive price momentum. Specifically focusing on the Netherlands, the region witnessed the most significant price changes during the quarter. Overall trends indicated a seasonality effect, with prices showing a correlation between demand fluctuations and supply dynamics. Despite a substantial -23% decrease from the same quarter last year, recent price changes recorded a more modest -1% decline from the previous quarter in 2024. Notably, there was a 5% price difference between the first and second half of the quarter, reflecting market volatility. The quarter-ending price for n-Hexane in the Netherlands stood at USD 1152/MT FD Rotterdam, signaling a consistent upward trajectory in the pricing environment.
For the Quarter Ending June 2024
North America
Q2 2024 has been marked by a persistently negative pricing environment for n-hexane in North America, driven predominantly by adverse weather conditions, ample inventories, and subdued downstream demand.
Heavy rainfall and unfavorable weather significantly impacted the harvest of key crops like rapeseed and sunflowers, diminishing the need for n-hexane in oil extraction processes. Compounding this were high stock levels, which exerted substantial downward pressure on prices amidst a low-demand backdrop. Despite a slight recovery in feedstock naphtha prices due to rising crude oil prices, the cost pressure on n-hexane remained limited, leading to an overall bearish market sentiment.
In this context, the USA experienced the maximum price changes. The Q2 2024 n-hexane market in USA reflected a pronounced downward trend compared to the same quarter last year. From the previous quarter in 2024, n-hexane prices fell slightly, highlighting a steady decline. The overall trend was negative, with market factors such as high inventory levels, weak downstream demand, and adverse weather conditions significantly influencing price dynamics. This sustained decrease underscores the challenging market conditions, reflecting a consistent downward trajectory throughout Q2 2024.
APAC
The second quarter of 2024 has seen a mixed sentiment in n-hexane pricing in the APAC region influenced by various factors. However, the South Korea market experienced the maximum price changes during this period. Prices have been influenced by several factors including the improve demand and high feedstock naphtha prices.
The first two months of 2024 has seen a significant increase in n-Hexane prices in the APAC region. In the South Korea, the trajectory of n-hexane prices was particularly pronounced. The market saw an upward trend, marked by an 29% increase compared to the same quarter last year, reflecting a strong recovery and escalating demand. This surge was further compounded by a 1.2% rise from the previous quarter, underscoring consistent market momentum. The first half of the quarter recorded notable price gains, indicative of sustained procurement activities and supply chain adjustments in response to geopolitical tensions and rising freight rates.
By the end of the quarter, the price of n-hexane in the South Korea reached USD 1199/MT, FOB Busan. This steady incline in prices highlights a positive pricing environment, driven by strong domestic demand and strategic market positioning by Korean exporters.
Europe
Q2 2024 has been marked by a persistently negative pricing environment for n-hexane in the European market, driven predominantly by adverse weather conditions, ample inventories, and subdued downstream demand. Heavy rainfall significantly impacted the harvest of key crops like rapeseed and sunflowers, diminishing the need for n-hexane in oil extraction processes. Compounding this were high stock levels, which exerted substantial downward pressure on prices amidst a low-demand backdrop. Despite a slight recovery in feedstock naphtha prices due to rising crude oil prices, the cost pressure on n-hexane remained limited, leading to an overall bearish market sentiment.
Germany experienced the maximum price changes within this context. The Q2 2024 n-hexane market in Germany reflected a pronounced downward trend, with prices decreasing by 28% compared to the same quarter last year. From the previous quarter in 2024, n-hexane prices fell by 2%, highlighting a steady decline. The overall trend was negative, with market factors such as high inventory levels, weak downstream demand, and adverse weather conditions significantly influencing price dynamics.
The latest quarter-ending price for n-hexane in Germany was USD 1090/MT FD Hamburg. This sustained decrease underscores the challenging market conditions, reflecting a consistent downward trajectory throughout Q2 2024.
