For the Quarter Ending June 2025
North America
• The N-Hexane Price Index in the U.S. trended slightly higher through April and May 2025, supported by steady oil extraction demand, before easing into June as supply lengthened and downstream coatings activity remained subdued.
• April trading saw moderate firmness as seasonal oilseed processing continued to sustain extraction demand, though crushing rates slowed as old crop supplies tightened. Feedstock naphtha prices stayed soft due to global crude oversupply, while elevated energy costs kept margins thin. Construction-related demand remained muted as builders faced high borrowing costs, weak sentiment, and slow project activity, curbing coatings consumption.
• In May, prices held broadly steady as extraction demand began tapering with the approach of the new harvest season. Inventories stayed balanced, but most buyers kept to short-term orders as construction completions and new project activity stayed low, pressuring coatings and adhesive consumption.
• By June, prices eased as extraction activity slowed further, and persistent weakness in construction-linked industries reduced offtake. With feedstock naphtha remaining flat and production costs low, rising inventories and limited restocking kept market sentiment cautious and trading subdued.
Why did the price of N-Hexane remain stable in July 2025 in North America?
• In July, the N-Hexane Price Index in the North America held steady as soft feedstock naphtha prices and subdued off-season oil extraction demand balanced rising inventories and weaker coatings consumption tied to construction slowdowns.
• The N-Hexane Production Cost Trend stayed muted, with naphtha tracking softer crude benchmarks and steady supply conditions allowing sellers to maintain flexible offers despite higher stock levels.
• The N-Hexane Price Forecast for August suggests continued price stability, as the off-season for most oilseed harvesting and sluggish coatings demand are expected to keep market fundamentals soft but balanced, limiting any significant movement.
Asia
• The N-Hexane market in China moved sideways-to-firm early in Q2 2025 before weakening into June, as steady demand from edible oil extraction early in the quarter was offset by prolonged softness in paints, coatings, and adhesives tied to China’s weak construction activity.
• April trading held mostly stable as strong soybean crushing, supported by record Brazilian imports, kept the edible oil sector active despite subdued coatings consumption. Declining crude oil prices, following OPEC+’s output hike, softened production costs, while port congestion at Qingdao only briefly slowed exports without affecting domestic balance.
• In May, sentiment stayed flat-to-mildly positive, with prices edging up mid-month as overseas restocking returned post-holidays and feedstock naphtha rebounded modestly. Oil extraction sustained solvent demand, but paints and coatings demand lagged amid a double-digit sales drop by China’s top developers, leaving most buyers cautious and spot-focused.
• By June, prices turned sharply lower as summer oilseed shortages slowed crushing, construction demand stayed weak, and oversupply worsened with new capacities ramping up across Asia. Persistent inventory buildup, sluggish export interest, and rising port congestion at Qingdao kept market tone bearish, capping any chance of a rebound.
Why did the price of N-Hexane remain stable in July 2025 in Asia?
• In July, the N-Hexane Price Index in Asia held steady as soft naphtha feedstock costs and weak downstream demand offset rising inventories and persistent port congestion at Qingdao.
• The N-Hexane Production Cost Trend stayed subdued, with low naphtha prices tied to weaker global crude benchmarks keeping offers flexible despite mounting stock levels.
• The N-Hexane Price Forecast for August points to continued stability, as off-season oil extraction and muted coatings demand are expected to limit any significant price movement despite logistical delays.
Europe
• The N-Hexane Price Index in Germany trended mildly upward through early Q2 2025 before reversing sharply lower into June, as steady demand from oil extraction was offset by prolonged weakness in coatings tied to the deepening Eurozone construction downturn.
• April trading saw slight gains as thinning inventories and seasonal oilseed processing supported offtake despite subdued industrial activity. Weak feedstock naphtha, pressured by low crude benchmarks, offered cost relief, but high energy costs, Rhine transport disruptions, and Hamburg port congestion limited any momentum.
• In May, prices held steady-to-firm as tight inventories and elevated electricity costs kept supply-side pressure intact. Procurement strengthened ahead of the EU rapeseed harvest and global oilseed output growth forecasts, but paints, coatings, and adhesives demand lagged as home completions and infrastructure spending continued to fall, forcing most buyers to stick to spot-based transactions.
• By June, prices slid as rising inventories, off-season oilseed activity, and stagnant coatings demand deepened market softness. Persistent Hamburg port congestion, vessel delays, and swelling domestic stockpiles further weighed on trade, prompting traders to avoid restocking and maintain a cautious.
Why did the price of N-Hexane remain stable in July 2025 in Europe?
• In July, the N-Hexane Price Index in Europe stayed flat as soft naphtha costs and weak seasonal demand balanced rising inventories and port congestion at Hamburg, keeping pricing stable despite a fragile market backdrop.
• The N-Hexane Production Cost Trend remained subdued, with lower feedstock values linked to declining crude benchmarks enabling sellers to keep flexible offers even as storage burdens increased.
• The N-Hexane Price Forecast for August points to ongoing stability, with off-season oil extraction and subdued coatings demand expected to offset inventory pressure and logistical bottlenecks, preventing significant price movement.
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.
FAQs
• What is the current price of N-Hexane?
n-hexane prices remain stable across most regions, with steady production and inventories balancing.
• Who are the top N-Hexane producers globally?
Leading producers include ExxonMobil, Bharat Petroleum, Indian Oil Corporation, Shell Chemicals, and TotalEnergies, which dominate production and distribution across Asia, North America, and Europe.
• What is the N-Hexane Price Forecast for August 2025?
Prices are expected to remain steady as soft feedstock values, off-season oilseed harvesting, and subdued coatings demand keep fundamentals stable despite persistent inventory pressure.
• How is the N-Hexane Production Cost Trend impacting global prices?
Soft naphtha feedstock prices, driven by weak crude benchmarks and steady supply, are keeping production costs low, allowing sellers to sustain flexible offers despite elevated inventories.
