For the Quarter Ending September 2025
North America
• In United States, the Propylene Glycol Monostearate (PGMS) Price Index rose quarter-over-quarter in Q3 2025, driven by increasing production costs.
• PGMS production costs increased, influenced by a 2.6% YoY PPI rise in August 2025 and higher palm oil prices.
• Demand for PGMS was supported by robust US retail sales, which grew 5.42% YoY in September 2025, boosting consumer goods.
• The US beauty industry strengthened and new drug approvals increased in Q3 2025, positively impacting PGMS demand.
• Consumer confidence declined to 94.2 in September 2025, dampening discretionary spending on PGMS-containing products.
• US chemical manufacturers reported accelerating destocking of inventories and contracting activity in Q3 2025.
• Propylene derivatives, a PGMS feedstock, saw stable prices in Q3 2025 amid overcapacity, moderating cost pressures.
• Persistent inflation, with CPI at 3.0% YoY in September 2025, contributed to higher operational costs for PGMS.
• Industrial production showed marginal 0.1% YoY growth in September 2025, indicating subdued expansion in PGMS sectors.
Why did the price of Propylene Glycol Monostearate (PGMS) change in September 2025 in North America?
• Production costs increased due to 2.6% YoY PPI rise in August 2025 and higher palm oil prices.
• Robust retail sales, up 5.42% YoY in September 2025, supported PGMS demand.
• Persistent 3.0% YoY CPI in September 2025 and declining consumer confidence impacted costs and demand.
APAC
• In China, the Propylene Glycol Monostearate (PGMS) Price Index fell quarter-over-quarter in Q3 2025, influenced by deflationary pressures.
• Propylene Glycol Monostearate (PGMS) production costs were stable to lower in Q3 2025 due to ample propylene feedstock supply.
• Propylene Glycol Monostearate (PGMS) demand outlook was mixed, with food, cosmetics, and pharmaceutical sectors strengthening in Q3 2025.
• The Propylene Glycol Monostearate (PGMS) Price Index faced downward pressure from a -0.3% CPI and -2.3% PPI in September 2025.
• China's Manufacturing Index contracted in September 2025, indicating reduced industrial activity and impacting chemical demand.
• Industrial Production grew 6.5% and Retail Sales increased 3.0% in September 2025, supporting some PGMS demand.
• Ample propylene feedstock supply and overall chemical overcapacity in Q3 2025 contributed to bearish market sentiment.
• Consumer confidence remained pessimistic at 89.6 in September 2025, potentially limiting discretionary spending.
Why did the price of Propylene Glycol Monostearate (PGMS) change in September 2025 in APAC?
• Deflationary pressures, with CPI at -0.3% and PPI at -2.3% in September 2025, reduced market pricing power.
• Ample propylene feedstock supply and chemical overcapacity in Q3 2025 lowered production costs.
• Contracting Manufacturing Index in September 2025 indicated reduced industrial activity, despite some sector demand.
Europe
• In Germany, the Propylene Glycol Monostearate (PGMS) Price Index rose quarter-over-quarter in Q3 2025, due to strengthening feedstock costs.
• PGMS production costs increased in Q3 2025, with naphtha feedstock strengthening and industrial electricity remaining high.
• Demand for PGMS was subdued in Q3 2025, as Manufacturing Index contracted and industrial production declined.
• The PGMS Price Forecast indicates continued pressure from elevated natural gas prices in Europe during Q3 2025.
• Consumer Price Index (CPI) increased 2.4% in September 2025, impacting operational costs and consumer purchasing.
• Producer Price Index (PPI) decreased 1.7% in September 2025, due to lower energy prices, offering cost relief.
• Retail sales rose 0.2% in September 2025, supporting consumer-facing PGMS applications.
• Germany's unemployment rate remained stable at 6.3% in September 2025, suggesting cautious consumer spending.
Why did the price of Propylene Glycol Monostearate (PGMS) change in September 2025 in Europe?
• Production costs influenced by strengthening naphtha feedstock and persistently high industrial electricity.
• Overall producer prices decreased 1.7% in September 2025, due to lower energy prices, easing costs.
• Demand was subdued as industrial production declined 1.0% in September 2025, despite rising retail sales.