For the Quarter Ending June 2025
North America
• The Paraffin Wax Spot Price in North America exhibited a mixed pattern in Q2 2025, initially stable in April before rising sharply in June due to import constraints and later softening toward the end of the quarter.
• Limited availability of Chinese-origin material during early Q2, coupled with port congestion and persistent freight rate inflation, supported the bullish price trajectory through May and early June.
• The announcement of a temporary 90-day U.S.–China tariff relief policy in mid-May triggered a surge in freight bookings, further tightening shipping capacity and pushing up logistics costs.
• Despite the easing of some tariffs, elevated freight costs and ongoing logistical disruptions, particularly at West Coast ports like Los Angeles and Long Beach, sustained cost-side pressure.
• On the demand side, purchasing activity remained steady but cautious, with seasonal restocking for year-end retail driving activity in June, especially in candles, cosmetics, and packaging sectors.
• Sustainability trends and environmental concerns continued to influence buyer behaviours, with a growing preference for alternatives such as soy and beeswax, gradually reshaping downstream dynamics.
Why did the price of Paraffin Wax change in July 2025 in the U.S.?
• In July 2025, Paraffin Wax prices in the U.S. began to decline, marking a reversal from the Q2 upward trend.
• This shift was driven by a renewed influx of Chinese-origin shipments, enabled by the ongoing U.S.–China tariff relief, which redirected export volumes back to the American market.
• Although geopolitical uncertainty persists—with the tariff truce set to expire in August—the short-term arrival of delayed shipments has eased supply tightness.
• Traders responded by lowering offers to maintain sales momentum, especially amid continued softness in downstream demand.
• Despite lingering cost pressures from freight and raw materials, subdued consumption across key sectors (candles, packaging, cosmetics) helped keep the pricing environment in check.
APAC
• The Paraffin Wax Spot Price in South Korea showed modest fluctuations throughout Q2 2025, with prices declining in April, recovering slightly in June.
• Early in the quarter, prices dipped amid eased freight charges, steady inventory levels, and subdued demand from downstream industries such as personal care and candles.
• As Q2 progressed, tightened global supply, persistent port congestion at Busan and Incheon, and rising intra-Asia freight rates placed upward pressure on prices.
• Traders responded by accelerating restocking activity ahead of anticipated cost increases, especially as refinery output in China remained volatile and redirected to other Asian markets.
• While headline inflation began easing, core consumption sectors remained stable, driving consistent procurement in packaging, coatings, and skincare.
• Despite these pressures, the market found balance by quarter-end as healthy inventory levels, alternate sourcing, and predictable demand patterns helped maintain price stability.
Why did the price of Paraffin Wax change in July 2025 in Asia?
• In July 2025, Paraffin Wax prices in South Korea remained stable, following limited price movements in the preceding weeks.
• This price stability was underpinned by balanced fundamentals—steady import volumes, adequate pre-stocked inventories, and consistent, albeit soft, downstream demand.
• Although port congestion and elevated freight rates persisted, their impact was muted due to effective inventory management and alternate regional sourcing.
• Demand from key sectors—personal care, packaging, and industrial applications—remained stable, without major upticks or declines.
• Market participants adopted a cautious, wait-and-see approach, particularly as global supply chain uncertainty and consumer behavior trends evolve.
• Unless major supply or demand shocks occur, pricing is expected to remain range-bound in the near term.
Europe
• The Paraffin Wax Spot Price in Europe fluctuated during Q2 2025, showing a modest increase in April, a sharp decline in early June, followed by a steady rise by late June and into July.
• Early-quarter pricing was supported by logistical challenges—notably port congestion in the Netherlands and labor shortages—that tightened European import flows from China and the Netherlands.
• By June, a surge in low-cost Chinese exports flooded the market, pressuring suppliers to lower prices amid growing oversupply and subdued downstream demand.
• However, later in the quarter, the reduction in Chinese shipments to Europe—as producers redirected cargoes to the U.S. market—led to tightening spot availability and restored upward price momentum.
• Local refinery outages in Poland and Hungary, along with the impact of blank sailings and General Rate Increases (GRIs) by carriers, further constrained regional availability.
• While summer demand was expected to be soft, proactive buying behavior and steady consumption in end-use sectors like packaging, candles, and cosmetics helped stabilize the market.
Why did the price of Paraffin Wax change in July 2025 in Europe?
• In July 2025, Paraffin Wax prices in the European market rose modestly, reversing earlier softness seen in June.
• This price movement was driven by tightened Chinese export volumes, as producers shifted focus to the U.S. amid temporary tariff relief, limiting availability for European buyers.
• Additionally, regional refinery maintenance in Poland and Hungary constrained local supply, further tightening the market.
• Despite this, logistical networks in Europe remained functional, preventing acute disruptions but contributing to general supply-side firmness.
• On the demand side, while summer typically brings seasonality-driven softness, buyers acted early to secure supply ahead of potential price hikes.
• The combined impact of reduced import availability, steady downstream demand, and geopolitical uncertainty sustained upward pressure on prices.
For the Quarter Ending March 2025
North America
During the first quarter of 2025, the North American paraffin wax market experienced a modest decline, with prices concluding March at approximately USD 1,378 per metric ton. This downward trend was primarily influenced by evolving consumer preferences and ample supply conditions. On the supply side, the U.S. market remained well-stocked, supported by stable production levels and efficient logistics. The absence of significant supply chain disruptions ensured consistent availability, contributing to a balanced market environment. In terms of demand, the candle-making sector, a major consumer of paraffin wax, maintained steady consumption, particularly for scented and decorative candles.
However, the cosmetics industry, another key end-user, reported subdued demand. This was attributed to changing consumer preferences and increased competition from bio-based wax alternatives, such as soy and beeswax, reflecting a growing emphasis on sustainability and environmental concerns among consumers.
Overall, the interplay between stable supply conditions and shifting demand dynamics, particularly the move towards eco-friendly alternatives, contributed to the observed price trends in the North American paraffin wax market during Q1 2025.
APAC
The Asian Paraffin Wax market exhibited divergent trends during Q1 2025, reflecting region-specific demand dynamics and supply conditions. In China, prices experienced a modest uptick, primarily driven by firm domestic demand during the first half of the quarter, coinciding with Lunar New Year festivities. This seasonal uplift in consumer activity supported increased consumption, particularly in sectors such as packaging and decorative candle manufacturing. Additionally, fluctuating crude oil prices exerted upward pressure on production costs, contributing to the price rise. Conversely, the Indian paraffin wax market witnessed a modest downturn during the same period. Major domestic producers such as Indian Oil Corporation Limited (IOCL) and Numaligarh Refinery Limited (NRL) operated at stable production rates, ensuring sufficient supply across the market. However, demand from key downstream sectors, notably candle making and cosmetics, remained subdued due to weak consumer sentiment and competition from bio-based alternatives. Overall, the paraffin wax market in Asia during Q1 2025 was characterized by regionally distinct price movements, shaped by domestic consumption patterns, seasonal factors, and fluctuating feedstock costs.
Europe
The European Paraffin Wax market witnessed a modest price uptick throughout the first quarter of 2025, driven by a combination of logistical disruptions and steady downstream demand. Persistent port strikes, labor shortages, and ongoing port congestion across several key entry points significantly curtailed the availability of imported material. These challenges led to a temporary imbalance in the market, tightening domestic supply and fueling price volatility. Notably, port yard occupancy reached critical levels, reportedly nearing 82%, which further hindered smooth cargo movement. Despite these logistical headwinds, demand from core end-user industries such as candle manufacturing and cosmetics remained stable. Seasonal restocking activities, particularly in anticipation of the Munich festival, bolstered orders for decorative and scented candles. Additionally, forecasts of an early heatwave spurred increased demand for skincare products, further supporting paraffin wax consumption in the region. The combined effect of constrained supply and consistent demand resulted in a widened supply-demand gap, ultimately contributing to the upward price trend observed in the European Paraffin Wax market during Q1 2025.
For the Quarter Ending December 2024
North America
In Q4 2024, the North American Paraffin Wax market was characterized by bearish sentiment. Prices declined primarily due to eased freight charges and an increased surplus of Paraffin Wax. Stockpiling efforts, along with ongoing port congestion in China, led to higher inventory levels. However, weak demand from key downstream sectors, particularly cosmetics and candle-making, exerted downward pressure on prices. The cosmetics sector, in particular, struggled with shifting consumer preferences towards more eco-friendly alternatives and economic challenges that hindered discretionary spending.
Despite proactive measures taken by traders to secure supplies, demand remained subdued throughout the quarter. Additionally, logistical issues, including persistent port congestion and the threat of labor strikes, further exacerbated market instability.
As a result, the market experienced volatility with fluctuating prices, but overall, the sentiment remained slightly bearish. These combined factors of weak demand, logistical disruptions, and shifting consumer behaviors contributed to a challenging market environment for Paraffin Wax in North America during Q4 2024.
Asia-Pacific
The price of Asian Paraffin Wax remained volatile throughout Q4 2024, with a surge observed in both the beginning and end of the quarter, though November saw a slight month-on-month dip. The surge in prices can be attributed to strong demand in anticipation of the festive season, including Lunar New Year in Asia and Christmas and New Year festivities in Western markets. These events drove demand from key sectors such as cosmetics and candle-making. Additionally, consumer spending in China showed significant growth in the third quarter of 2024, particularly in the fast-moving consumer goods (FMCG) and technology sectors, with expectations of continued growth in Q4, further supporting Paraffin Wax demand. However, the volatility in Crude Oil prices, influenced by global uncertainties, resulted in increased production costs, adding to the price pressure. The November dip was attributed to a combination of more favorable input costs and a slight improvement in manufacturing activity. Despite the temporary drop, the overall price trend in Q4 remained influenced by robust demand and fluctuating feedstock costs, which kept the market relatively volatile.
Europe
In the European Paraffin Wax market, Q4 2024 saw notable price volatility. Initially, prices declined due to eased freight charges and a surplus of Paraffin Wax, with stockpiling efforts and port congestion in China resulting in higher inventory levels. Despite this, weak demand from key downstream sectors, particularly cosmetics and candle-making, exerted downward pressure on prices. However, as the quarter entered its final month, prices saw a modest increase, driven by anticipated festive season demand. On the supply side, Northern European ports, including Rotterdam, Antwerp, Hamburg, and Southampton, reported high berth occupancy rates and docking delays of up to four days. Mediterranean ports also faced worsening conditions, exacerbating supply chain disruptions and limiting the availability of imported Paraffin Wax. These logistical challenges further strained the market, preventing smooth supply flow. The price dynamics in Q4 2024 were shaped by the combination of weak demand, supply chain disruptions, and the impact of seasonal demand, leading to a volatile market for Paraffin Wax.
For the Quarter Ending September 2024
North America
The North American Paraffin Wax market experienced mixed trends throughout the third quarter of 2024. In the initial month, prices surged significantly due to supply shortages and elevated freight charges, which were largely attributed to ongoing logistical challenges and disruptions in supply chains. These factors heightened production costs and led to increased pricing pressures on Paraffin Wax. However, as the quarter progressed, prices began to ease. A slight reversal in freight charges, coupled with a decline in the price of essential raw materials, particularly Crude Oil, contributed to this downward price adjustment. As crude oil prices stabilized, the production costs associated with Paraffin Wax manufacturing decreased, allowing for more competitive pricing in the market.
Additionally, diminished demand from key end-user sectors, notably the cosmetics and candle-making industries, further supported the price dip. As consumer spending habits shifted and demand for non-essential goods waned, manufacturers faced increased inventory levels, prompting them to reduce prices to stimulate sales.
Consequently, the North American Paraffin Wax market reflects a complex interplay of supply-side challenges and changing consumer dynamics, resulting in a fluctuating pricing environment during the quarter. The latest quarter ending price of Paraffin Wax CFR Houston was reported at USD 1700/MT.
APAC
The third quarter of 2024 in the APAC region witnessed a notable decrease in Paraffin Wax prices, reflecting a challenging market environment. Several factors contributed to this downward trend, including a surplus in global supply, subdued demand from key industries such as cosmetics and candle-making, and logistical challenges like port congestion. These elements collectively resulted in price reductions, with China experiencing the most significant fluctuations. Initially, the rising cost of crude oil, a critical feedstock for Paraffin Wax production, exerted upward pressure on prices, prompting increased production rates. However, the prevailing lacklustre demand, both domestically and internationally, coupled with ongoing supply chain disruptions, led to a narrowing gap between supply and demand. This shift ultimately contributed to the observed price declines. Throughout the quarter, Paraffin Wax prices recorded a 4% decrease compared to the same period last year and a notable 5% drop from the previous quarter in 2024. Furthermore, the comparison between the first and second halves of the quarter indicated a 3% decrease, culminating in a closing price of USD 1,190 per metric ton (MT) for Paraffin Wax in China. This overall trend underscores the complexities facing the market as it navigates fluctuating supply and demand dynamics.
Europe
Throughout the third quarter of 2024, the Paraffin Wax market in Europe experienced a consistent decline in prices, with Germany witnessing the most significant changes. Several factors contributed to this downward trend. A notable reduction in demand from key sectors, including cosmetics and candle-making, coupled with ongoing trade uncertainties and logistical challenges, created an environment conducive to falling prices. Moreover, a surplus in supply—driven by stable production levels and limited international demand—further exacerbated the situation. Seasonal fluctuations, alongside the impact of global events on the supply chain, played a crucial role in shaping the overall pricing environment. Notably, compared to the same quarter last year, prices remained unchanged, indicating a stagnant market. However, when compared to the previous quarter in 2024, there was a 1% decrease, reinforcing the ongoing downward trend. In particular, the second half of the quarter saw a further price decline of 1% compared to the first half. As Q3 concluded, the price of Paraffin Wax (60-62) CFR Hamburg in Germany was recorded at USD 1,580 per metric ton (MT), underscoring the prevailing negative pricing sentiment within the market.
FAQs
1. What is the current price of Paraffin Wax?
Prices vary by region as of July 2025. In North America, prices softened due to renewed Chinese supply under temporary tariff relief. In APAC, prices remained stable amid balanced fundamentals. In Europe, prices showed a modest uptick driven by constrained Chinese exports. The price of Paraffin Wax as of July 18th is recorded at 1740/MT Iin Germany on CFR Hamburg basis.
2. Who are the top Paraffin Wax producers in Europe?
Key producers in the European Paraffin Wax market include Sasol, CEPSA, Mol Group, and TotalEnergies. These players operate refining and blending facilities across Germany, Spain, Hungary, and France.
3. What is the Paraffin Wax Price Forecast for Q3 2025?
Prices are expected to trend stable to slightly bearish in North America and APAC, depending on demand recovery and the expiration of tariff relief measures. In Europe, pricing may remain firm or volatile, contingent on Chinese export strategies and local refinery output levels.
4. How is the Paraffin Wax Production Cost Trend impacting global prices?
Paraffin Wax production costs remain under pressure due to elevated freight charges, limited container availability, and logistical disruptions, particularly in trade routes from Asia. However, proactive inventory management and alternate sourcing strategies have helped temper the overall cost impact in several regions.
