For the Quarter Ending September 2025
APAC
• In China, the Paraldehyde Price Index fell quarter-over-quarter in Q3 2025, driven by weak industrial demand and deflationary pressures.
• Paraldehyde price forecast suggests continued downward pressure due to persistent overcapacity and subdued manufacturing activity.
• Production costs saw moderate increases for general raw materials in September 2025; ethylene feedstock prices remained stable in Q3 2025.
• Paraldehyde demand outlook is subdued as China's Manufacturing Index was contracting in September 2025.
• China's CPI decreased 0.3% and PPI 2.3% year-on-year in September 2025, indicating significant deflationary pressures.
• Industrial production expanded 6.5% and retail sales grew 3.0% year-on-year in September 2025, offering mixed demand signals.
• Consumer confidence remained pessimistic at 89.6 in September 2025, dampening demand for Paraldehyde end-products.
• High-tech manufacturing and automotive sectors showed strengthening momentum in Q3 2025, supporting specific Paraldehyde uses.
Why did the price of Paraldehyde change in September 2025 in APAC?
• Weak industrial demand, with the Manufacturing Index contracting in September 2025, reduced Paraldehyde consumption.
• Deflationary pressures, CPI down 0.3% and PPI down 2.3% in September 2025, exerted downward price pressure.
• Persistent chemical industry overcapacity, coupled with stable ethylene feedstock costs, limited upward price movement.
Europe
• In Germany, the Paraldehyde Price Index fell in Q3 2025, driven by weak industrial demand and contracting manufacturing.
• Paraldehyde production costs were mixed in Q3 2025; producer prices fell 1.7% in September, but energy costs remained high.
• High raw material costs, including pressured ethylene and rising ethanol feedstock, challenged German chemical producers in Q3 2025.
• Demand for Paraldehyde remained weak in Q3 2025, as industrial production declined 1.0% in September 2025.
• The Manufacturing Index contracted in Q3 2025, signaling a slowdown in overall industrial activity and new orders.
• Regional Paraldehyde supply tightened in Q3 2025 due to announced plant closures in Germany in July 2025.
• Import pressures on the German chemical industry intensified in Q3 2025, with competition from Asian imports.
• The Paraldehyde price forecast suggests continued pressure due to subdued demand and persistent import competition.
Why did the price of Paraldehyde change in September 2025 in Europe?
• Industrial production declined 1.0% in September 2025, reflecting weak demand from industrial customers.
• Contracting Manufacturing Index in Q3 2025 signaled reduced new orders and industrial slowdown.
• Intensified import pressures from Asian competition contributed to downward price trends.
North America
• In United States, the Paraldehyde Price Index rose quarter-over-quarter in Q3 2025, driven by increasing production costs.
• Paraldehyde production costs rose in Q3 2025, with CPI up 3.0% in September and PPI up 2.6% in August.
• Demand for Paraldehyde weakened in Q3 2025, as industrial production increased only 0.1% in September.
• Major customer market demand for chemicals declined in Q3 2025, contributing to a subdued Paraldehyde demand outlook.
• Ethylene feedstock costs for acetaldehyde and natural gas prices both climbed in Q3 2025, raising input expenses.
• Chemical inventories shrank in Q3 2025 due to destocking, while acetaldehyde inventory levels remained high in September.
• Foreign orders for chemicals dropped in Q3 2025, indicating reduced international demand.
• Paraldehyde Price Index forecast: stable to slightly increasing, constrained by weak demand, supported by rising costs.
Why did the price of Paraldehyde change in September 2025 in North America?
• Production costs rose from 3.0% CPI in September 2025 and 2.6% PPI in August 2025.
• Weakened chemical demand, with industrial production up 0.1% in September 2025, limited price increases.
• Higher ethylene feedstock costs for acetaldehyde and natural gas prices increased input expenses in Q3 2025.
