For the Quarter Ending June 2023
North America
As per export data of China with USA and CANADA, the number had seen a downtrend, indicating weak demand in the State of America. Hence, the estimated price of Phosphorus trichloride also followed the bearish pattern. But according to the market participants, the downtrend is bound to stop sooner. After thermal phosphoric acid, phosphorus trichloride is the largest chemical market for elemental Phosphorus. Furthermore, the Phosphorus trichloride market in North America is regarded as the second most significant area for the growth of this market. According to the forecast, the Global Yellow Phosphorus market is expected to experience significant growth from 2023 to 2030. The market is currently showing steady growth in 2023, and with the implementation of strategic measures by key players, it is projected to expand further during the forecast period. Due to the presence of strong downstream demand in the herbicide and pesticide industry, growing uses in the pharmaceutical sector, and a large number of market rivals in the sector, the growth in the global chemicals sector is anticipated to increase demand for phosphorus trichloride as an intermediate over the forecast period.
APAC
Phosphorus trichloride prices have decreased drastically in the Asian market throughout the second quarter of 2023, supported by limited demand and sufficient inventories in the region. Although, feedstock Chlorine prices have been steady throughout the quarter in China. At the same time, the inflows of new orders from the downstream agricultural industries remained gloomy in the region. The market transactions were also average as the enthusiasm of the terminal firm to enter the market was not strong, which dragged down the confidence of the industry. In June 2023, the manufacturing sector had seen a contraction indicated by the PMI number 49.5 in April due to a slowdown in factory activity since January amid an ongoing property decent and global recession. As per market participants, the demand has been light in that region while consistent import of the product has been maintained while export remained poor, and the supply has been steady. The market fundamentals of CaCl2 have been stable in the Indian market supply and demand dynamics, and the availability of sodium nitrite was sufficient to fulfill the domestic demand. Therefore, prices of phosphorus trichloride in FOB China had been assessed at USD 1080/tonne with a quarter-on-quarter decrement of 13.6% during June 2023.
Europe
Due to weaker demand amid the global economic downturn, chemical exports from Vietnam to the European continents had shown signs of slowing down in the first three and half months of the year 2023. The export turnover of basic chemicals had only reached 930 million USD, down 10.9% year-on-year, due to weak global demand. Chemical export value ranks 12th in total export items of Vietnam. With a mixed scenario, the prices of yellow Phosphorus in Europe had been constant during the month of June 2023, while in the Chinese market, there had been a decline in the prices further from last year. However, Phosphorus Trichloride usage in the production of chemicals such as triphenylphosphine and phosphites and rapid expansion of the global chemical industry had been driving demand for the product, estimated a gain of 97% BPS to the global phosphorus trichloride market by 2032. Domestic demand for fertilizers had increased in a short period after the entrance of the spring season, while demand for Phosphorus Trichloride remained modest due to the availability of other options. However, the agrochemicals industry now controls the majority of the global market for trichloride phosphorus and is expected to grow during the forecast period. The phosphorous trichloride market is likely to grow soon. Many important companies are expressing interest in expanding the phosphorus trichloride market, which is regarded as the most demanding sector by end-users and is projected to contribute to market growth. Global demand is expected to grow by 6.1% by 2025. Phosphorus trichloride is the largest chemical market for elemental Phosphorus consuming an estimated 28000 metric tonne, or 29% of elemental Phosphorus.
For the Quarter Ending March 2023
North America
In the first quarter of 2023, there was a decrease in the prices of Phosphorous Trichloride in North America. The decline continued during this quarter because of poor market dynamics and low demand from both domestic and international markets. Additionally, downstream industries, particularly the fertilizer industry, were cautious about the pricing trend and did not make any purchases. Market players reported that operating rates in the US domestic market remained low, and this was due to decreased output and new orders. However, sticky inflation led the US Federal Reserve to raise interest rates, which affected consumer confidence and forced traders to make offtakes at reduced margins despite the ample supply of Phosphorous Trichloride.
Asia- Pacific
In the Asia-Pacific region, China's government's decision to abandon its zero-Covid policy in early January resulted in an improvement in its economy. As a consequence, the first quarter of 2023 turned out to be positive for China. However, the rebound was not observed for each commodity and sector. Likewise, the price trend of Phosphorous Trichloride drastically decreased in the Chinese market during the first quarter of 2023, with prices settling at USD 1250/MT on March 31. The lack of positive cost support from upstream Yellow phosphorous resulted in a decline in Phosphorous Trichloride prices in the Chinese domestic market. Market sentiments for Phosphorous Trichloride remained sluggish due to excessively large stocks with the producers and extremely low demand in the domestic market throughout the quarter. However, poor downstream demand from fertilizers and agricultural industries, with a fall in overseas orders, had continued to support this quarter's downward price trend as well.
Europe
The Phosphorous Trichloride prices in Europe experienced a declining trend in the first quarter of 2023. The reason behind the price drop in Germany during this quarter was due to subdued market sentiments amid adequate product availability and declining demand in the domestic and international markets. Market players reported that operating rates decreased gradually in this quarter due to low consumption and no new orders for Phosphorous Trichloride. However, the availability of the material in the local market was unaffected, and domestic suppliers had sufficient supply as imports from overseas markets remained stable with no disruption in the supply chain. The market transactions were limited, and the support from downstream industries such as fertilizers and agriculture was inadequate as purchasers lacked confidence. In response, suppliers lowered their quotations to encourage purchasing activity.
For the Quarter Ending December 2022
North America
In the fourth quarter of 2022, the prices of Phosphorus Trichloride were low to moderate as the export of products from Germany and India altered due to lowered procurement in the regional market. In the short term, it took much work to improve the tense situation of domestic phosphate rock supply since some domestic mining enterprises and mines had stopped producing. Previously, due to the relocation and shutdown of several major factories in the USA, thus there was a gap in domestic supply. There was a limited turnover of new orders, and the overall demand could be better. It was seen that the domestic phosphate rock market was operating mainly in a stable manner with minor fluctuations in the short term, and the specific trend of the Phosphorus Trichloride paid more attention to the changes in supply and demand.
Asia
During the fourth quarter of 2022, the prices of Phosphorus Trichloride fluctuated in the Asian market, with prices falling in China and rising in the Indian market. The main reason for the weakness of the phosphate rock market was that the terminal demand in the downstream phosphate fertilizer market was general, which affected the mentality of the industry and resulted in limited support for the demand side of phosphate rock, and the overall market sentiment turned weaker in China by the end of the quarter. The surge in covid cases in China has triggered frenzied shipping activities, and logistical constraints and transportation companies remained under pressure during the last quarter.
Europe
Q4 of 2022 saw a plummeting of Phosphorus Trichloride prices in the European region with lowering procurement from importing countries like the USA and the United Kingdom. Market quotations were a bit chaotic, and shipments were slightly lower than last quarter. Feedstock Yellow Phosphorus prices were relatively complex, had messy market quotations, and had lower shipments than the last quarter. It was typical for upstream traders to wait and observe more, take fewer items, use greater caution, and buy more at a lower price. Phosphate rock demand was stable upstream, and supply and demand were well supported at the facility throughout the quarter.
For the Quarter Ending September 2022
North America
The market trading situation in North America was increasing. Most yellow phosphorus enterprises operated at high prices. There is more support for the high cost of yellow phosphorus downstream and a more substantial increase in the purchase price. There are many inquiries, the transaction is general, the goods are prepared appropriately, the rigid demand dominates, and the price is relatively surging. The inventories of Phosphorus Trichloride were substantially decreasing with an increase in consumption of the product in the regional market. In contrast, downstream traders were more cautious, took fewer goods, and purchased more at lower prices.
Asia
Phosphorus Trichloride prices decreased in the regional Asian market during the third quarter of 2022, with prices ranging around USD 30/tonne Ex-Works Delhi India (50% Carbon Black) in July and USD 1911/tonne FOB Tianjin. The supply and demand sides of the facility were well supported, and the downstream demand for phosphate rock was stable in the Indian market. In terms of Phosphorus Trichloride, its cost decreased. Yellow phosphorus prices were relatively complex, had messy market quotations, and had lower shipments than the previous quarter. It is typical for upstream traders to wait and observe more, take fewer items, use greater caution, and buy more at a lower price.
Europe
Market quotations of Phosphorus Trichloride were chaotic, and shipments were slightly lower than last quarter in the regional market. It was typical for upstream traders to wait and observe more, take fewer items, and use greater caution as compared to what they were buying at a higher price. According to the business society's phosphorus ore data section, the domestic phosphorus ore market is mostly high-level and robust in the short term. While the price of phosphate rock in the upstream sector was consistent mainly, that of the phosphate market in the downstream industry was falling, the phosphate market was weak, and stiff demand was in control. Prices for yellow phosphorus were anticipated to be modest and stable shortly.
For the Quarter Ending June 2022
North America
The North American region is the largest producer of phosphorus trichloride, with most of the production concentrated in the USA. Its high demand growth saw a price escalation during the second quarter. Market segments for phosphorus trichloride include organophosphorus pesticides, chelating agents, flame retardants, and others. To gain an edge over others and serve a broader market, phosphorus trichloride manufacturers focus on marketing strategies such as acquisitions and innovation. The prices of upstream feedstock Yellow Phosphorus and Liquid Chlorine escalated, putting cost pressure on the product in the regional market. The inventories were observed to fall in the regional market, with fewer products stockpiled by the traders.
Asia
The market price of Phosphorus Trichloride continued to increase in the second quarter. The operating burden of yellow phosphorus production enterprises is at a substantial level. Manufacturers often send out pre-orders, space is tight, and market transaction prices are even close to premium prices. Downstream companies are waiting for more, and most are digesting initial inventory. In terms of phosphate rock, this week, the domestic phosphate rock market increased. Currently, the overall stock at the phosphate rock yard is low, and the source of goods circulating in the market is expected. There was a quarterly escalation of 1% in the second quarter of 2022 as per Chem Analyst pricing team data.
Europe
The prices of Phosphorus Trichloride surged in the European market during the second quarter of 2022. Various developments are enhancing the growth of phosphorus trichloride, which is extensively used as a plasticizer in plastic products. To increase agricultural yield, governments in multiple countries provide subsidies and discounts on agrochemicals such as fertilizers and pesticides in response to the growing population and demand for food. In addition to producing herbicides, pesticides, glyphosate, and organophosphate insecticides, phosphorus trichloride plays an essential role in the market demand for agrochemicals. This led to the fall of inventories and fewer products stockpiled with the traders.
For the Quarter Ending March 2022
North America
North America saw a shrinking market of Phosphorous Trichloride by the end of the first quarter of 2022. Although USA saw a sudden spike in the prices in the month of February which went as high up-to USD 3000/ton and fell back towards the end of the quarter. Deterred demand from downstream plasticizers, catalyst, and gasoline additives and increasing supply from production units caused a downfall of prices even though the feedstock yellow phosphorous prices were rising, globally. USA contributed a share of 6.74% in exporting Phosphorous Trichloride globally and the production rate was observed to be increasing at a moderate rate, affecting the prices.
Asia Pacific
In Asia, the price of Phosphorous Trichloride deescalated in the first quarter of 2022 in India which decreased down to 29.4% in the beginning of the quarter when compared with the last month of previous quarter. Q1 saw a reduction of 26.5% in price as compared to the last quarter of 2021. Asia being the major exporter of Phosphorous Trichloride saw a decrementing trend in the price. Saudi Arabia also followed the same trend where downward trajectory deterred the market sentiments by the end of the quarter. Feedstock White Phosphorus market was observed to be deteriorating, and the increment in the production rates resulted in stockpiling of inventories in the regional market. Downstream Fertilizer industries were heard to be operating moderately with consumption of existing inventories and low demand for the new ones.
Europe
The price of Phosphorous Trichloride went down in the first quarter of 2022 with sufficient product availability and deterred market sentiments from the downstream end. With Germany being the major importer of Phosphorous the country experienced a downward trend in the price despite of increasing freight charges due to Russia-Ukraine war. Decreasing demand from downstream dyestuffs, flame retardants and agricultural market and increasing inventories in the production enterprises have caused downfall in the prices of Phosphorous Trichloride and its by-products. This inward shift in the prices have caused European market to experience a downfall in Q1 of 2022. However, offers for Phosphorous Trichloride marginally slowed by the end of the quarter as the supply eased gradually following the normalcy in operating rates of plants.
For the Quarter Ending December 2021
North America
Phosphorous Trichloride market in North America remained highly volatile throughput the quarter owing the global shortage of Yellow Phosphorous due to the energy crises in China. However, offers for Phosphorous Trichloride marginally slowed by the end of the quarter as the supply eased gradually following the normalcy in operating rates of plants. Demand for Phosphorous Trichloride remained mixed as some segments like surfactants and germicides witnessed favourable offtakes while the consumption from rubber and plasticizer segments dived.
Asia
Market sentiments of Phosphorous Trichloride remained mixed in the regional market in Q4 2021. In early Q4, soaring raw material cost affected the price trend of Phosphorus Trichloride across regional market. Production halts in China, due to dual energy policy and other production related issues hit the overall output of raw material Yellow Phosphorus for global market. It was heard that, China reduced its yellow phosphorus output by more than 80% which induced critical shortage of raw materials in regional market. After witnessing an exponential rise for several weeks, Phosphorus Trichloride prices reached normalcy in Indian market. Traders quoted far more cheaper prices than previous weeks, after arrival of scheduled cargoes from China. Phosphorous Trichloride prices were assessed at USD 3025 per MT in India in December.
Europe
As Phosphorous Trichloride is viably consumed in the agriculture sector, demand for the product in the European market remained firm from the agrochemicals sector. During this quarter, Europe witnessed extended energy crises which led to the fall in operating rates of various plants. The energy crises in China led to the shortage of the product in Asia and Europe in early Q4 which continued to affect prices of Yellow Phosphorous and its derivatives for a prolong period. Phosphorous Trichloride prices fluctuated in a firm range across the quarter.
For the Quarter Ending September 2021
North America
In the North American region, the Phosphorous Trichloride prices in the US showed strength while the demand showcased an upward trajectory during the 3rd quarter of 2021. Key players indicated towards acute tightness in the raw material Yellow Phosphorous supply as the factor restraining local production. As global availability of raw materials was substantially reduced, manufacturers were heard cautiously monitoring the cost developments and reviewing its regional pricing accordingly.
Asia
The Asian market witnessed a significant rise in the prices of Phosphorus Trichloride during the third quarter of 2021. In India, discussions of Phosphorous Trichloride remained firm due to extended supply issues from the overseas market and prevalent demand patterns. Besides, consistent rise in prices of feedstock Phosphorus in the Chinese market also supported this consistent price surge. Following an uptrend, Phosphorous Trichloride prices escalated from USD 1251/MT to USD 1952/MT from July to September. Key Asian traders were seen struggling with the availability of Phosphorous since a long time. In line with widened demand and supply gap, several Asian players were heard positively adjusting the prices to offsetting the higher cost of yellow phosphorous. Tight supply situation was further exacerbated by Chinese authorities restricting the high energy consuming production of yellow phosphorous in several provinces starting September.
Europe
The overall market outlook of Phosphorus Trichloride demonstrated an upward trajectory across the European region in Q3 of 2021. As regards to the raw material supply and demand situation, the price of Phosphorous Trichloride rose significantly during Q3, and transactions remain strong. Demand from the downstream fertilizers sector remained strong. Lack of Phosphorous supply from China continued to deter production levels in key European countries. Average selling prices of several downstream fertilizers remained at their historic high due to escalating raw material costs.
For the Quarter Ending June 2021
North America
Phosphorous Trichloride market showcased sturdiness during this quarter across North America region. The demand remained consistent for Phosphorous Trichloride in Q2 2021 in USA, as the offtakes was ample from the downstream sectors like pharma, pesticides and additive segments. Therefore, a significant rise in price of Phosphorous Trichloride was observed in USA, majorly driven my agrochemical segment of the country. In addition, critical shortage of feedstock Chlorine in the country, also exacerbated the overall price hike of the product during this timeframe.
Asia
Phosphorous Trichloride market remained sturdy during this quarter in Asia, supported by firm offtakes from the downstream sectors. In China, price of Phosphorous Trichloride remained firm throughout the quarter, supported by consistent offtakes from the domestic agriculture and pharmaceutical sector. While in India, prices declined in May, as the offtakes reduced from the downstream manufacturers, and many manufacturers faced shortage of labour force, under the pandemic restrictions in the country. Therefore, prices of Phosphorous Trichloride were reduced from USD 1257/MT to USD 1105/MT in India during the month of May. However, prices rebounded effectively in June, with decline in pandemic cases in the country.
Europe
European Phosphorous Trichloridemarket witnessed firm demand from the agrochemicals sector. During this quarter, European agrochemicals sector was flourishing, which induced the demand for several agrochemicals including Phosphorous Trichloride across the region. In addition, revival in economic activities across major countries after pandemic devastation in the previous quarter boosting the demand for Phosphorous Trichloride from oil additive segment.
For the Quarter Ending March 2021
North America
Phosphorus Trichloride demand from the agrochemical sector of North America remained low during this quarter. After severe winter weather was across several parts of North America, agricultural activity across these areas remained halted and demand for agrochemicals remained low. However, despite of low demand, imports remained modest but lower than the prior quarter. Critical weather conditions across the US gulf coast didn’t much affect the availability of Phosphorus Trichloride and no such shortage was observed.
Asia
In the Asian market, demand for Phosphorus Trichloride remained low in several downstream segments. However, the export demand was higher than expected in major Asian countries like India and China. In the Indian market, regardless of the upcoming crop season, abundant availability reduced the prices of Phosphorus Trichloride in the country. In addition, the presence of alternative pesticide and herbicides also cut the demand and reduced exports. In the Indian markets, price of Phosphorus Trichloride dwindled by more than 9% within Q1 due to low demand from the domestic and international market, to settle at USD 882/MT during March.
Europe
Despite of high demand for several agrochemicals from the agriculture sector, offtakes of Phosphorus Trichloride remained poor during this quarter across the region. After the arrival of spring season, domestic demand for fertilizers skyrocketed in a very short span of time but the demand for Phosphorus Trichloride remained low due to the availability of other alternatives. However, demand showed some improvement during the end of Q1 and is further anticipated to improve in the forthcoming months.
Quarter ending result for December 2020
North America
Several natural calamities like multiple hurricanes and droughts impacted the production of Phosphorus Trichloride in North American. Hurricanes induced force majeure on several plants across US Gulf caused an adverse impact upon the mining activities at Cote Blanche mines. These conditions led and t led to the shortage of minerals across the region and thus slumped the availability of Phosphorus Trichloride.
Asia
During Q4 2020, the prices of Phosphorous Trichloridereduced significantly due to its subdued demand form the agrochemical sector. Consequently, in India its prices reduced from 1050.07 USD/tonne (October 2020) to 992.57 USD/tonne (December 2020) due to tumbling demand from the Indian agrochemical sector. The reduction in prices was also driven by lower export demand from several countries under fear of another lockdown from the buzz of new Coronavirus.
