For the Quarter Ending December 2022
North America
Due to ongoing demand from the pharmaceutical and disinfection industries, Resorcinol prices in North America remained stable in the fourth quarter of 2022. Due to port congestion at the beginning of the quarter, imports of Resorcinol from Asian countries were affected. Feed prices also increased in the area because of the increase in disinfection sector demand. During Q4 2022, the supply of Resorcinol in the US market fluctuated between being balanced and low. A large plant's turnaround phase came to an end in the first half of the fourth quarter. However, as import costs for Resorcinol increased in the second half of the quarter, prices increased. Along the US Gulf Coast, the industrial infrastructure is also being restored.
APAC
In Q4 2022, Resorcinol prices dropped in the Asian market. The price of benzene decreased in the Asian market as trade activity picked up and raw material demand decreased, which resulted in a decrease in the upstream Resorcinol market pricing. The market remained stable because there was not much demand and little supply. The pricing of downstream chemicals like benzene and Resorcinol was delayed because of the decline in market prices for energy and crude oil. Along with an increase in demand from the furniture and tyre industries, downstream resin demand also rose. Prices decreased during the quarter because of a fall in demand from the end-user sectors. Resorcinol prices were estimated to be around USD 8429.73/MT for Ex-Mumbai in December, near the end of the quarter.
Europe
Due to a shortage, Resorcinol prices increased marginally in Europe in the fourth quarter of 2022. The downstream industries of construction and automotive saw an increase in demand for Resorcinol this quarter. Due to several plants in northwest Europe running at low-efficiency levels during the cold season and a reduction in US imports, Resorcinol supplies in the area continued to be short. Several companies in northwest Europe continued to function at low-efficiency levels due to the cold and a decrease in US imports, so supplies in the area remained short. The quarter saw a rise in Resorcinol costs in the European market due to a rising supply-demand imbalance.
For the Quarter Ending September 2022
North America
In the third quarter of 2022, the market of Methyl Amine showcased a downtrend due to sufficient product availability and weak purchasing for new stocks. Reduced export volumes and overflooding inventories contributed to this sharp decline in the market. The declining demand from downstream Paint and coating industries slump overall demand. Due to weak demand in the local market, dealers in the regional market were keen to reduce their additional volumes, resulting in Methyl Amine price decline across the US. The major Methyl Amine producers revised their prices as weak demand forced them to offer discounts to clear their existing stocks.
Asia Pacific
The price of Methyl Amine in the regional market is inclined due to oscillations in feedstock Ammonia and Methanol prices. This quarter, a shortage of stock was present among ports and manufacturing facilities, leading to an inclination in prices. Inventory was sourced from end-user industries with cautiously operating manufacturing units according to consumer needs. In China, the cost of Methyl Amine during Sept surged to USD 871/ton FOB Qingdao. Healthy demand and production cut among the enterprises due to heat wave, resulting in high production costs. Demand for Methyl Amine from the Paint and coating industry and pharmaceutical sector surged, pressuring the producers to keep up with the consumer’s demand.
Europe
In Q3 2022, the price of Methyl Amine in the European region declined with subdued demand and high regional inventories. This quarter, upstream Methanol and Amine have been trading lower on weak product futures and pressured pricing across Europe compared to other producing regions. Market sentiments remained dampened on low Methyl Amine demand and ample stocks with the local traders. The market fundamentals remained intermittent for the Amine market in European markets because of declining demand from the downstream sector, including agrochemicals and paint industries. Due to oversupplies, spot prices of Methyl Amine also fell, and the traders were purchasing the product as per the requirement from the downstream ventures.
For the Quarter Ending June 2022
North America
Resorcinol prices remained stable in North America during the second quarter of 2022 because of sustained demand from the pharmaceutical and disinfection industries. With the increased demand from the disinfection industries came an increase in feed prices in the region, and at the start of the quarter, port congestion in the area impacted the supplies of Resorcinol from Asian countries. During Q2 2022, resorcinol supplies on the US market fluctuated between balanced and scarce. The first half of the fourth quarter saw the end of the turnaround period for a significant plant. But because Resorcinol import prices rose in the second half of the quarter, prices increased by over 2%. Along with the recovery of the industrial infrastructure along the US Gulf Coast, the overall market outlook in North America improved.
APAC
Resorcinol costs decreased in the Asian market in Q2 2022. The price of benzene decreased in the Asian market, which led to a decline in the upstream resorcinol market prices when trade activity resumed, and raw material demand slowed. Due to the reappearance of Covid, lockdowns have been established in various Asian nations, restricting travel and creating a tight supply and demand situation. The market remained stable due to slow demand and limited supply. Additionally, the market prices for energy and crude oil decreased, slowing down downstream chemicals like benzene and resorcinol pricing. Resorcinol prices increased with a monthly tendency of 0.8 percent in May. In addition, as demand from the tyre and furniture industries expanded, so made demand from the downstream resin sector. This created a competitive resorcinol market with an increasing price trend.
Europe
Due to tight supplies, Resorcinol prices remained constant in Europe during the second quarter of 2022. This quarter, the downstream construction and automotive industries saw a rise in demand for Resorcinol. Due to multiple factories in northwest Europe running at low-efficiency levels during the cold season and decreased US imports, resorcinol supplies in the area remained scarce. Due to multiple factories in northwest Europe working at low efficiency due to the cold weather and lower US imports, supplies in the area remained scarce. During the quarter, a widening supply-demand mismatch drove up Resorcinol costs in the European market.
For the Quarter Ending March 2022
North America
Prices of Resorcinol remained firm in North America during the first quarter of 2022 following consistent demand from the pharmaceutical and disinfectant industry. However, feed prices increased in the region during Q1. At the beginning of the quarter, port congestions in the region affected the supplies of Resorcinol from importing countries Asian countries amid the increased demand from disinfectant industries. The values remained stagnant in the mid-quarter. However, in the 2nd half of the quarter, the prices increased by nearly 2% due to increased import values of Resorcinol.
Asia Pacific
Resorcinol prices remained stagnant in the Asian market throughout the 1st quarter of 2022. The demand from the downstream Pharma sector remained stagnant with consistent supply in the domestic market. However, the demand from the disinfectant industry remained volatile throughout the period. The supplies to the domestic market and importing countries were adequate and consistent according to the demand. The prices of Resorcinol settled at USD 10899.66 per tonne, at the end of quarter 1 of 2022, in the Indian market.
Europe
During Q1of 2022, market sentiments for Resorcinol remained firm, and the prices remained strong in the European market. The demand from the pharma sector was stagnant. However, the demand was consistently increasing from the disinfectant segment. Also, high freight costs from the past months further escalated the cost of the imported material across the European market. The import volumes of Resorcinol were stable in the 1st half of the quarter from Asian countries but decreased during the second half due to globally disrupted supply chain. Resorcinol prices in Europe witnessed fluctuations by nearly 3-5% throughout Q1-2022.
For the Quarter Ending December 2021
North America
During the fourth quarter of 2021, the prices of Resorcinol increased effectively across the North American region. In terms of demand, offtakes remained strong from the downstream industries as the hiking rates in the domestic market affected several U.S. sectors along with the automotive industry. Supply chain disruptions and soaring freight charges continued to bother the Resorcinol market sentiments in the 4th quarter. The US is usually a net importer of upstream Benzene, however its exports to China fell by 83% month on month in November. China is the main destination for U.S. exports, followed by Canada.
Asia Pacific
In the Asia Pacific region, the pricing trend of Resorcinol demonstrated an upward trajectory in the 4th quarter of 2021. In India, the prices of Resorcinol shot up from USD 9694.87/mt to USD 10962.44/mt CFR JNPT from October to November. The consumption volumes remained strong throughout the quarter due to the consistent demand from the downstream leather and resin sector. The optimism prevailing from sturdy values of upstream also provided an appropriate surge to its prices in q4 2021. Skyrocketed freight costs and lack of shipping containers further supported the pricing trend of Resorcinol in the Indian domestic market.
Europe
In Q4 of 2021, The economy in the European region remained on the recovery path due to the prolonged supply bottlenecks, rising commodity prices, and the emergence of the Omicron variant of the coronavirus. According to the survey of European economic activity, the growth momentum remained weak at the beginning of the fourth quarter, particularly in the manufacturing sectors. A hike in demand for Resorcinol was observed in this quarter from the downstream construction and automotive sector.
For the Quarter Ending September 2021
North America
In the third quarter 2021, Resorcinol market witnessed an upward trend backed by the robust demand from the automobile sector after the recovery in the regional commercial activities. In addition, in August end, many manufacturers were compelled to shut down their production units as a repercussion of the Ida hurricane that made landfall in the Gulf Coast of USA which impacted the production rates and hampered the supply chain in the region. It resulted into the constrained supply of the product in the region which led to the increment in the values of Resorcinol in this timeframe.
Asia Pacific
In Q3 2021, Resorcinol market experienced an upward rally throughout the third quarter backed by the firm demand from the tire industry after the resurgence of automotive industry in the post pandemic period. In India, Resorcinol values remained firm buoyed by consistent increment in the offtakes from the downstream manufacturers particularly from leather and resin industries. Besides, soaring upstream values also contributed to the surge in the prices of Resorcinol in this timeframe. Additionally, exorbitant freight charges and shortage of shipping containers also sent ripples to the Resorcinol prices in India. Consequently, Resorcinol prices reached USD 9624.45 per MT CFR JNPT in September, showcasing continues increment since July.
Europe
In Europe, Resorcinol market encountered supply tightness and sturdy demand from the downstream construction and automotive sector. Due to the supply chain disruption caused by the arrival of Ida hurricane in US and the congestion on the several ports in China, prices of Resorcinol abruptly rose in the latter half of the quarter. However, market sentiments remained high throughout the third quarter. It is anticipated that Resorcinol prices will gain stability in the upcoming quarter once the logistic issues resolve.
For the Quarter Ending June 2021
North America
Overall market outlook in the North American region improved along with the recovery of the industrial infrastructure in the US Gulf Coast during the second quarter of 2021. Supplies surged in the region, owing to the restart of several refineries. Demand bolstered as the enquiries improved from the downstream leather, adhesives and coating industries as the region observed the seasonal hike in demand from the building and construction sector. Prices in North American eased by marginal difference. Prices of Benzene amidst the rising inflation rates provided the cost support to keep the pricing trend healthy.
Asia Pacific
The Resorcinol market in the Asia Pacific region observed mixed sentiments in the second quarter of 2021. Whereas in Northeast China, upstream supplies were curtailed by significant margins due to the turnarounds in several facilities across the regions. Discussions of Resorcinol in the Indian market turned soft in May, as the contract purchases declined due to reduced enquiries from the downstream industries like leather, adhesives, and coating amidst the lockdown restrictions in several major states. As a ripple effect the pricing trend observed significant downfall in May and rebounded with ease in the restrictions in June. Prices of Resorcinol at Ex-Work Mumbai settled at USD 9965 per tonne in June.
Europe
During the second quarter of 2021, supplies of Resorcinol in the European region remained balanced to tight owing to the restricted availability of key feedstock amidst the series of turnarounds in several manufacturing facilities across Europe. Demand observed a seasonal hike from the construction sector, following the increment in enquiries from adhesives, and coating industries. The pricing trend of Resorcinol in the European region remains buoyed amidst the supply demand imbalance and global inflation rates.
For the Quarter Ending March 2021
North America
Resorcinol supplies were balanced to tight in the US market during Q1 2021. A major plant ended its turnaround period in the first half of the fourth quarter. However, various plant outages in mid-February amid severe freeze weather conditions in the US hampered the upstream supplies, and further resulted in the increment in prices of Resorcinol in the regional market. The demand outlook maintained an uptrend from the disinfectant industry and the pharmaceutical preparations.
Asia-Pacific (APAC)
Supplies in the Asia Pacific region surged during Q1 2021 due to the addition of new facilities in China, which provided ample amount of feedstock for Resorcinol production. However, some constraints were witnessed during mid-February as the global supplies tightened and several cargoes were diverted toward the western regions in anticipation of better sales. Demand surged in the domestic market due to better offtakes from the pharmaceutical industries and other downstream sectors. The price of Resorcinol in Chinese market was assessed around USD 1896 per tonne in March.
Europe
Resorcinol supplies in the region remained tight due to several plants operating at low efficiencies in the northwest European region amid the cold weather, followed by reduced imports from the US. Some buyers turned out to be more flexible towards the Asian supplies. However, the demand maintained an uptrend throughout the quarter as offtakes for the Pharmaceutical API grade surged in the region. Widened supply-demand gap surged the prices of Resorcinol in the European market during the quarter.
For the Quarter Ending December 2020
North America
The consistent increment in the prices of feedstock Benzene, resulted in a consistent uptick in Resorcinol prices in the US market, during the second half of Q4. The supply of upstream Benzene tightened towards the end of the quarter, due to spike in demand from resin sector. Skyrocketing crude oil prices and surged demand from downstream sectors led to a considerable hike in Resorcinol prices as well as the imports from the Asian region.
Asia
Marginal reduction in the global supply of Resorcinol was observed during the Q4 of 2020, due to the production deficit of Resorcinol in Europe and US region. This abrupt shortage however, provided an opportunity for Asian manufacturers to export in respective regions and expand their profit margins. Appreciable demand from Europe and US, resulted in surged import of Asian cargoes which ultimately lowered the inventories of Resorcinol in the Asia-Pacific Region. Most of the plants based in Asia operated normally but were unable to fulfill the demand throughout the quarter. CFR China offers were raised to around USD 14520 per tonne in mid-December, which are further expected to reach USD 14760 per MT by the next quarter.
Europe
Spot prices of Resorcinol in the region increased due to tight supply in the Q4 of 2020. Since the supplies of its key upstream material Benzene tightened, buoyed by the continuous surge in crude oil prices only several plants in Europe were able to increase their operating efficiencies to fulfill the demand during the fourth quarter. Demand for Resorcinol remained healthy throughout q4 with surge in consumption from downstream resin manufacturing units. Few plants induced temporary outages, due to planned maintenance activities.
