For the Quarter Ending September 2025
North America
• In United States, the Ortho Tertiary Butyl Cyclohexyl Acetate (OTBCHA) Price Index rose quarter-over-quarter, influenced by a 2.6% rise in producer input costs in August 2025.
• OTBCHA production costs faced upward pressure from a 3.0% CPI increase in September 2025, impacting operational expenses.
• Demand for OTBCHA was supported by a robust 5.42% increase in retail sales in September 2025, boosting consumer product consumption.
• The OTBCHA demand outlook was tempered by sluggish industrial production, which rose only 0.1% in September 2025.
• Natural gas prices, a key production cost driver, weakened in August and September 2025, offering some cost relief.
• Overall chemical industry demand remained soft in Q3 2025, contributing to an oversupply of products.
• Manufacturing inventories inched up in August 2025; US natural gas inventories strengthened above the five-year average by September 2025.
• Consumer confidence declined to 94.2 in September 2025, suggesting cautious spending on discretionary items.
Why did the price of Ortho Tertiary Butyl Cyclohexyl Acetate (OTBCHA) change in September 2025 in North America?
• Rising producer input costs, with PPI up 2.6% in August 2025, pushed OTBCHA prices upward.
• Strong retail sales, up 5.42% in September 2025, supported demand for OTBCHA in consumer goods.
• Weakening natural gas prices in August and September 2025 partially offset other rising production costs.
APAC
• In China, OTBCHA Price Index fell quarter-over-quarter, driven by deflationary pressures in Q3 2025.
• OTBCHA production costs faced downward pressure as the Producer Price Index declined -2.3% year-on-year in September 2025.
• Demand outlook was mixed; retail sales increased 3.0% year-on-year in September 2025.
• Industrial production expanded 6.5% year-on-year in September 2025, supporting OTBCHA demand despite a contracting Manufacturing Index.
• Global overcapacity in chemical building blocks, notably from China, continued expanding in 2025, impacting OTBCHA pricing.
• Weak consumer confidence (89.6) and 5.2% unemployment in September 2025 dampened discretionary spending for OTBCHA end-use products.
• The fragrance market demonstrated sustained growth in Q3 2025, influenced by evolving consumer preferences for scent and mood alignment.
• China's total imports and exports strengthened in September 2025, affecting regional trade flows and OTBCHA input costs.
Why did the price of Ortho Tertiary Butyl Cyclohexyl Acetate (OTBCHA) change in September 2025 in APAC?
• Deflationary pressures, with CPI decreasing -0.3% year-on-year in September 2025, reduced overall pricing power.
• A contracting Manufacturing Index in September 2025, coupled with global overcapacity, exerted downward price pressure.
• Weak consumer confidence, at 89.6 in September 2025, dampened discretionary spending on OTBCHA end-use products.
Europe
• In Germany, the Ortho Tertiary Butyl Cyclohexyl Acetate (OTBCHA) Price Index fell quarter-over-quarter in Q3 2025, due to weak industrial activity.
• OTBCHA production costs decreased in Q3 2025; producer prices were lower by 1.7% year-on-year in September 2025.
• OTBCHA demand remained weak in Q3 2025, with industrial production declining 1.0% year-on-year in September 2025.
• The Manufacturing Index trended contracting in Q3 2025, indicating reduced demand for industrial chemicals like OTBCHA.
• Retail sales rose by 0.2% year-on-year in September 2025, offering modest support for OTBCHA demand in consumer products.
• Acetic acid feedstock costs experienced an uptick in Q3 2025, contributing to elevated raw material costs for OTBCHA.
• High energy costs challenged the German chemical industry in Q3 2025, despite year-on-year declines in European natural gas prices.
• German chemical industry business sentiment significantly deteriorated in July 2025, reflecting persistent customer caution.
Why did the price of Ortho Tertiary Butyl Cyclohexyl Acetate (OTBCHA) change in September 2025 in Europe?
• Producer prices decreased 1.7% year-on-year in September 2025, lowering OTBCHA production costs.
• Industrial production declined 1.0% year-on-year in September 2025, suppressing OTBCHA demand in Germany.
• Elevated raw material costs, including rising acetic acid prices, pressured OTBCHA prices upward.
