For the Quarter Ending September 2025
North America
• In the USA, the Potassium Benzoate Price Index fell by 0.58% quarter-over-quarter, and export demand softened.
• The average Potassium Benzoate price for the quarter was approximately USD 2273.33/MT, reflecting subdued trade.
• Potassium Benzoate Spot Price edged lower at ports, pressured by softer exports and idle cargoes.
• Potassium Benzoate Price Forecast remains muted near-term, influenced by weak Price Index momentum and arbitrage.
• Potassium Benzoate Production Cost Trend eased slightly as feedstock costs softened, supporting margin stabilization modestly.
• Potassium Benzoate Demand Outlook remains cautious as downstream orders are restrained by slower beverage applications.
• Logistics delays at Los Angeles ports caused premiums, tempering broader Potassium Benzoate Price Index declines.
• Major producers maintained steady operating rates, limiting volatility and shaping Potassium Benzoate Price Forecast stability.
Why did the price of Potassium Benzoate change in September 2025 in North America?
• Reduced export inquiries and cautious domestic buying pressured spot activity, nudging prices marginally lower overall.
• Feedstock cost easing slightly improved margins, exerting downward pressure on the Potassium Benzoate Price Index.
• Port congestion and CFR shipment timing created localized premiums, while weak downstream demand limited rallies.
APAC
• In China, the Potassium Benzoate Price Index fell by 0.92% quarter-over-quarter, reflecting a slight supply surplus.
• The average Potassium Benzoate price for the quarter was approximately USD 2153.33/MT as the Shanghai benchmark.
• Potassium Benzoate Spot Price softened amid higher inventory levels and muted regional spot demand recovery.
• Potassium Benzoate Price Forecast remains cautiously bearish, constrained by weak domestic buying and export softness.
• Potassium Benzoate Production Cost Trend was stable as feedstock costs eased, slightly supporting marginal sellers.
• Potassium Benzoate Demand Outlook for downstream preservatives and food industries remained tepid, suppressing price recovery.
• Regional Potassium Benzoate Price Index movements correlated with soft export inquiries and logistics limiting premiums.
• Producer operating rates ticked higher seasonally, inventories remained elevated, constraining spot tightness and limiting momentum.
Why did the price of Potassium Benzoate change in September 2025 in APAC?
• Increased regional inventories reduced urgency to buy, directly pressuring the spot and contract Price Index downward.
• Moderate easing of feedstock costs improved margins, keeping Potassium Benzoate Production Cost Trend softening slightly.
• Weak export inquiries and subdued domestic demand weighed on Potassium Benzoate Demand Outlook during September.
Europe
• In Germany, the Potassium Benzoate Price Index fell by 0.93% quarter-over-quarter, reflecting marginal oversupply pressure.
• The average Potassium Benzoate price for the quarter was approximately USD 2233.33/MT per metric tonne.
• Potassium Benzoate Spot Price remained subdued due to higher inventories and weaker regional industrial offtake.
• Potassium Benzoate Price Forecast indicates modest downside risk given persistent supply and slow derivative demand.
• Potassium Benzoate Production Cost Trend registered modest upward pressure from raw material and energy increases.
• Potassium Benzoate Demand Outlook remains soft as end-use sectors delay restocking amid constrained industrial activity.
• Potassium Benzoate Price Index stability reflects balanced spot and contract flows with limited buying interest.
• Plant operating rates remained high at some producers, but export demand weakened, pressuring spot liquidity.
Why did the price of Potassium Benzoate change in September 2025 in Europe?
• In September, modest oversupply from restocked stocks offset stable consumption, weighing on prevailing price momentum.
• Energy and feedstock costs increased slightly, but logistics bottlenecks eased, marginally reducing upward cost pressure.
• Low export enquiries and cautious purchasing by formulators constrained spot activity, limiting meaningful price recovery.
For the Quarter Ending March 2025
North America
During the first quarter of 2025, Potassium Benzoate prices in the U.S. followed a largely downward trajectory, influenced by subdued demand, high inventory levels, and evolving trade dynamics. In January, weak consumption across the pharmaceutical, food & beverage, and cosmetics sectors, combined with persistent global oversupply and port congestion, led to a 3% decline in prices. Buyers remained cautious, limiting new transactions amid concerns over prolonged shipping delays and rising demurrage costs. The bearish trend persisted into February as downstream players prioritized inventory management over fresh procurement, following pre-emptive stockpiling ahead of the Lunar New Year and potential tariff risks.
Imports surged due to front-loaded shipments from China, while falling transpacific freight rates made imported material more competitive, forcing domestic suppliers to lower prices. In March, although the month began with similar bearish sentiment, market dynamics shifted following the U.S. government's imposition of tariffs on major trading partners, including China. This triggered accelerated procurement, particularly in the pharmaceutical and food & beverage industries, adding short-term upward pressure on prices.
Simultaneously, renewed port congestion disrupted import flows, tightening spot availability. Slight improvements in consumer sentiment, backed by easing inflation, also contributed to demand stabilization. Despite these late-quarter developments, Q1 2025 closed with Potassium Benzoate prices remaining weak overall, shaped by oversupply, cautious buying behavior, and ongoing economic and trade policy uncertainty.
Asia Pacific
In the first quarter of 2025, Potassium Benzoate prices in China exhibited a U-shaped trajectory, with steep declines in January and February followed by a partial recovery in March. The quarter began with significant downward pressure due to sluggish domestic demand, high inventories, and weak international interest, particularly from major buyers such as the U.S. and Germany. A deflationary environment, with China’s producer prices falling 2.3% year-over-year, compounded the bearish sentiment, while fears of new U.S. tariffs led to aggressive destocking by Chinese suppliers.
February saw a sharper decline in prices as the Lunar New Year holiday slowed industrial activity and intensified the supply glut. Oversupply remained a key challenge as steady production outpaced demand across major end-use sectors like food, pharmaceuticals, and cosmetics. Export volumes were further restricted by ongoing trade barriers, while surplus inventories in importing countries limited new orders.
However, by March 2025, the market began to rebound. Pre-holiday stocks were mostly cleared, creating a temporary supply gap. As production resumed, higher input costs—driven by increased energy, labor, and raw material expenses—pushed new batch prices upward. Port congestion and rising global demand further tightened domestic availability. Additionally, post-holiday recovery in key industries and a modest manufacturing PMI of 50.5 signaled improved market sentiment. This combination of tighter supply and stronger demand lifted prices toward the end of the quarter.
Europe
The German Potassium Benzoate market experienced a volatile pricing trend throughout Q1 2025, beginning with a significant decline in January and February before rebounding in March. In January, prices dropped sharply due to ample supply and aggressive offers from Asian exporters. Despite ongoing logistical disruptions and 28 blank sailings recorded that month, market conditions favored buyers. High inventory levels, steady production, and limited demand—especially from industrial and cleaning sectors—shifted the pricing power to purchasers who secured favorable Q1 contracts in anticipation of the Lunar New Year.
This downward trend extended into February, driven by sluggish demand from key sectors such as pharmaceuticals and food and beverages. Early stockpiling, cautious procurement behavior, and high inventories reduced market activity. On the supply side, improved production rates and a significant drop in ocean freight costs—down by 50%—boosted availability and further pressured prices. A stronger euro also made imports cheaper, intensifying competition among sellers and prompting further price reductions.
However, the market reversed course in March as severe port congestion and labor strikes across major European ports—particularly in Hamburg—disrupted supply chains and reduced import availability. With tightening supply, stable freight rates, and restocking from end-user industries, prices rose notably. Buyers accepted higher prices amid delivery uncertainties, marking a shift toward a firmer market as the quarter closed, setting the stage for a tighter supply environment in Q2.
For the Quarter Ending December 2024
North America
The overall trend in Q4 2024 for the U.S. Potassium Benzoate market is a fluctuating price trajectory, characterized by significant price increases in October followed by a decline in November and December. The quarter began with a notable price rise in October, driven by increased seasonal demand, elevated shipping costs, supply chain disruptions, and higher raw material prices. The rise in prices was further fueled by strategic stockpiling and strong export demand.
However, November saw a sharp price decrease due to reduced inventories, lower export prices, and aggressive pricing by suppliers. This led U.S. importers to take advantage of arbitrage opportunities. The market remained subdued, with cautious purchasing from end-users and rising concerns over potential disruptions in port operations due to impending labor contract negotiations.
By December, the market experienced another price drop, driven by weak demand and oversupply. Domestic suppliers faced intense competition, especially from Asian imports, which pressured prices further. With elevated inventories and ongoing destocking, the overall market sentiment remained pessimistic, with subdued export activity and little enthusiasm from buyers.
Asia Pacific
The overall trend for Potassium Benzoate prices in Q4 2024 showed volatility, marked by a significant price increase in October, followed by a slight decline in November, and a return of downward pressure later in the quarter.
In October 2024, Potassium Benzoate prices surged due to tight supply, robust demand, logistical disruptions, and a rise in freight costs after a severe typhoon. Increased procurement, especially from the pharmaceutical sector, further stressed the already limited supply. Benzoic acid, a key raw material, also saw price hikes due to maintenance-related supply constraints. Despite a cautious downstream demand, the combination of low inventories and logistical bottlenecks drove prices higher.
In November, supply chain adjustments caused a slight decline in prices as manufacturers reduced inventories ahead of the holiday season. However, the market remained steady, with consistent demand from both domestic and international buyers. By the end of the quarter, geopolitical factors, including tariff announcements, contributed to a bearish trend, leading to aggressive destocking and discounted pricing, creating a buyers' market. This pressure is expected to persist unless demand improves or production adjusts.
Europe
The overall trend in the German Potassium Benzoate market for Q4 2024 was a shift from a pronounced price increase to a decline, driven by various economic and supply-related factors. Prices rose initially due to limited supply, global disruptions, and heightened demand across different sectors, with manufacturers capitalizing on supply constraints.
However, by November, the market began experiencing a downward trend. This was largely influenced by weak demand, lower production costs, and persistent oversupply in Europe, particularly in Germany. The devaluation of the Euro, combined with cautious purchasing behavior and abundant inventory levels, kept the bearish sentiment strong. Suppliers focused on inventory destocking, employing price reductions and promotional discounts to reduce stock levels, further driving the price slump.
Despite some adjustments in raw material availability, the market remained oversupplied, and spot market activity was limited. The overall sentiment for Q4 2024 was a bearish one, with the trend of price declines likely to continue as suppliers manage inventory and demand remains sluggish across various sectors.
For the Quarter Ending September 2024
North America
In Q3 2024, the North American Potassium Benzoate market saw a significant increase in prices, influenced by several factors. Although prices initially declined at the beginning of the quarter, the U.S. market experienced a sharp drop in July due to a combination of elements. A major factor contributing to this decline was the reduction in production costs in key manufacturing and exporting countries, leading to intensified price competition. This competitive environment raised concerns about a potential "race to the bottom," jeopardizing long-term profitability and market stability.
Demand dynamics were pivotal, with rising consumption in both domestic and export markets fueling the overall price increase. However, supply constraints from key exporting regions compounded the issue, as production costs rose due to challenges such as plant shutdowns and disruptions. Geopolitical events and currency fluctuations further pressured the market, inflating import costs due to currency depreciation. Additionally, increasing crude oil prices related to tensions in the Middle East heightened supply chain expenses.
Throughout the quarter, market activity intensified due to low inventories and anticipatory procurement in anticipation of scheduled market closures. Rising raw material prices, particularly for Benzoic acid, also influenced pricing dynamics. In the U.S., where the most substantial price changes occurred, the market exhibited a positive trend, with prices steadily rising. The correlation between price changes in the first and second halves of the quarter demonstrated a consistent upward trajectory. The quarter-ending price of USD 2,460 per metric ton of Potassium Benzoate CFR Los Angeles reflects the overall positive pricing environment in Q3 2024.
Asia Pacific
In Q3 2024, the APAC region experienced a significant rise in Potassium Benzoate prices, influenced by various market dynamics. At the beginning of the quarter, the Potassium Benzoate market in China saw a considerable price decline in July, attributed to a combination of economic, geopolitical, and seasonal factors. Reduced domestic and international demand created an oversupply situation, alleviating upward price pressure. Additionally, seasonal factors, including scheduled manufacturing plant shutdowns from late June to July, prompted market participants to expedite inventory liquidation, particularly for heat-sensitive products like Potassium Benzoate.
Despite these challenges, supply constraints and strong demand from downstream industries contributed to rising prices. Participants in the market faced increasing input costs but benefitted from a resilient manufacturing sector and sustained consumer demand, which led to improved profit margins. Throughout the quarter, geopolitical tensions and logistical challenges added to market volatility. In China, where price fluctuations were most pronounced, notable disruptions such as plant shutdowns significantly affected pricing strategies, demonstrating the sector's adaptability. By the end of the quarter, Potassium Benzoate prices reached USD 2,280/MT FOB Shanghai with ana average quarterly inclination of 1.55%, indicating a positive pricing trend.
Europe
In the third quarter of 2024, the Potassium Benzoate market in Europe experienced a significant upward trend in prices, driven by several key factors. Rising production costs, increased global demand, and supply chain disruptions collectively created a market environment that prompted exporting nations to adjust their pricing strategies accordingly. Disruptions, including plant shutdowns, further tightened supply, intensifying pricing pressures. Germany saw the most pronounced price fluctuations in the region, reflecting this overall trend.
However, at the beginning of Q3, the German Potassium Benzoate market experienced a notable price decline due to global and domestic influences. Reduced production costs in key manufacturing and exporting countries enabled producers to offer more competitive pricing, alleviating some upward pressure on global prices. Anticipating these favorable conditions, buyers delayed purchases, resulting in a slowdown in demand. Concurrently, companies liquidated inventories to cut storage costs and mitigate the risk of product degradation, which further contributed to price reductions as market participants destocked at discounted rates.
By the end of the quarter, Potassium Benzoate prices settled at USD 2,350/MT CFR Hamburg, highlighting the strong demand and supply dynamics that characterized the market.cipants, driven by a confluence of economic, logistical, and demand-related variables.
