For the Quarter Ending September 2025
North America
• In United States, the Phosphorus Pentoxide Price Index rose quarter-over-quarter in Q3 2025, driven by increasing production costs.
• Production costs increased due to a 3.0% CPI rise in September 2025 and a 2.6% PPI increase in August 2025.
• Elemental phosphorus feedstock costs rose in Q3 2025, impacted by tight phosphate rock supply.
• Industrial production showed very slow 0.1% year-over-year growth in September 2025, limiting industrial demand.
• Strong 5.42% retail sales growth in September 2025 supported demand for consumer goods containing Phosphorus Pentoxide.
• US fertilizer demand faced risks in Q3 2025 due to tariffs and dropping crop prices.
• Consumer confidence declined to 94.2 in September 2025, potentially dampening future consumer spending.
• US phosphate imports were dramatically impacted by tariffs in Q3 2025, influencing domestic supply.
Why did the price of Phosphorus Pentoxide change in September 2025 in North America?
• Rising production costs were driven by a 2.6% PPI increase in August 2025 and higher elemental phosphorus feedstock costs.
• Tight phosphate rock supply in Q3 2025 and increased wholesale electricity prices contributed to cost pressures.
• US phosphate imports were dramatically impacted by tariffs in Q3 2025, influencing domestic supply and pricing.
APAC
• In China, the Phosphorus Pentoxide Price Index fell quarter-over-quarter in Q3 2025, driven by weak producer prices and manufacturing contraction.
• Phosphorus Pentoxide production costs rose in Q3 2025, influenced by firm phosphate ore and increased sulfur prices in September 2025.
• Demand for Phosphorus Pentoxide faced headwinds from a -0.3% CPI and -2.3% PPI year-on-year in September 2025.
• Industrial output expanded by 6.5% year-on-year in September 2025, supporting some Phosphorus Pentoxide demand, especially in high-tech manufacturing.
• Consumer confidence at 89.6 in September 2025 indicated pessimism, dampening Phosphorus Pentoxide demand in consumer-related sectors.
• The Manufacturing Index was contracting in September 2025, signaling reduced industrial raw material demand for Phosphorus Pentoxide.
• New energy sector demand for phosphorus chemicals increased in September 2025, providing a positive, albeit specific, demand driver.
• Overall Phosphorus Pentoxide price forecast remains pressured by overcapacity and weak producer prices, despite rising feedstock costs.
Why did the price of Phosphorus Pentoxide change in September 2025 in APAC?
• Weak producer prices, indicated by a -2.3% PPI year-on-year in September 2025, exerted downward pressure.
• Manufacturing Index contracting in September 2025 reduced industrial demand for Phosphorus Pentoxide.
• Elevated phosphate ore costs and increased sulfur prices in September 2025 provided upward cost pressure.
Europe
• In Germany, the Phosphorus Pentoxide Price Index fell quarter-over-quarter, driven by easing energy costs and contracting industrial demand in Q3 2025.
• Phosphorus Pentoxide production costs trended lower in Q3 2025 due to easing European natural gas prices.
• Demand for Phosphorus Pentoxide weakened in Q3 2025, as Germany's industrial production declined by 1.0% in September 2025.
• The Manufacturing Index contracted in Q3 2025, indicating reduced demand for industrial chemicals like Phosphorus Pentoxide.
• Retail sales increased by 0.2% in September 2025, offering slight support for Phosphorus Pentoxide demand in consumer-facing applications.
• European phosphate rock costs marginally edged up in Q3 2025, impacting Phosphorus Pentoxide raw material expenses.
• Automotive sector production surged in September 2025, providing a positive signal for specific Phosphorus Pentoxide applications.
• Consumer Price Index rose 2.4% in September 2025, indicating higher general operational expenses for producers.
Why did the price of Phosphorus Pentoxide change in September 2025 in Europe?
• Lower producer prices, down 1.7% in September 2025, reduced Phosphorus Pentoxide production costs.
• Contracting Manufacturing Index and 1.0% industrial production decline weakened Phosphorus Pentoxide demand.
• Rising CPI by 2.4% in September 2025 increased general operational expenses for Phosphorus Pentoxide producers.
