For the Quarter Ending December 2022
North America
North American region displayed a significant dip in the prices of Sodium Ascorbate during the fourth quarter of 2022. Due to China's Golden Week celebrations, the import from China remained low along with inquiries which supported the weaker market sentiments of downstream Sodium Ascorbate in the month of October. Following November, with weaker sentiments, the prices of Sodium Ascorbate witnessed were settled at USD 4255/MT CFR New York. Additionally, higher inventories among domestic merchants and steadfast demand from the downstream sectors for upstream Vitamin C in the United States supported the market sentiments of Sodium Ascorbate in the United States throughout the final quarter.
Asia Pacific
The cost of Sodium Ascorbate in the Asia Pacific region, primarily in China, demonstrated a dwindled trend throughout the final quarter of 2022 as a result of the weak demand from the downstream pharmaceutical sectors. During October, new export orders were at their "lowest level since August" owing to the continuous shrinkage of China's manufacturing industry. Ease in trade disruption, along with shipping charges during November, did not affect the market sentiments of Sodium Ascorbate as the demand remained low. With this, the prices for Sodium Ascorbate during mid-Q4 were settled at USD 3450/MT FOB Shanghai in China. Moreover, with declining demand, stockpiling of inventories among the market players, and the prices of Sodium Ascorbate remained on the lower end till the end of 2022.
Europe
During the fourth quarter of 2022, the prices of Sodium Ascorbate followed a similar pattern to that of Asia Pacific. The market trend started on decreasing note and reached an assembly price of USD 4625 /MT CFR Hamburg in Germany during November because of declining demand from the end-user pharmaceutical industry and rising stocks among the market players as inquiries from the downstream sector for Sodium Ascorbate prices began to fall significantly in December, which was also supported by weakened upstream Vitamin C prices. Additionally, the inventories, with market players' however, remained larger, and their inquiries weaker during the Thanksgiving break.
For the Quarter Ending September 2022
North America
Prices for Sodium Ascorbate in the US domestic market fell sharply during the third quarter of 2022, from USD 5840/MT to USD 4440/MT from July to September. The factories that produce Sodium Ascorbate were compelled to decrease prices because of the immediate lockdowns in China, where the majority of pharmaceutical excipients are imported. As a result, the US Sodium Ascorbate market saw a decline in demand from downstream pharmaceutical and nutraceuticals industries. US imports significantly declined due to the shutdown of industrial facilities in China, some of which were shut down for maintenance throughout H2 of Q3. These factors had a substantial influence on the downward pricing trend of sodium ascorbate, which decreased by more than 25% on a quarterly basis.
Asia- Pacific
The price trend for Sodium Ascorbate in the Asia Pacific showed a downward trajectory throughout the third quarter of 2022. The prices of Sodium Ascorbate in China significantly decreased by around 25% in August and declined further by 5.3% in September. The major reason for this decline was a continuous drop in feedstock Ascorbic Acid prices. The manufacturers of Sodium Ascorbate have been keeping a close eye on the price trend of Ascorbic Acid. Only purchases for immediate consumption were observed from major suppliers; otherwise, demand from downstream industries remained weak during the entire quarter. In the Chinese domestic market, there was enough stock of Sodium Ascorbate with the local suppliers, and the price was lower than the production cost. Thus, the FOB Shanghai prices for Sodium Ascorbate in China were assessed at USD 3950/MT in September.
Europe
German Sodium Ascorbate price trend showcased a downward trajectory during the third quarter of 2022, with values for CFR Hamburg estimated at USD 6190/MT in July and later settled to USD 4940/MT in September. However, the quarter's downward price trend was backed mainly by the lowest price quotation from the significant importing country, China which seems quite beneficial for German buyers. Moreover, inventories of Sodium Ascorbate were sufficient to cater to the overall demand, resulting in lower Sodium Ascorbate prices in the domestic market. Also, demand from end-user pharmaceutical and food industries remained sluggish as the customer was buying as a necessity. Furthermore, Germany's logistical problems worsened the economic slump as transportation bottlenecks persisted this quarter.
Sodium Ascorbate prices in the North American region continued to decrease throughout the second quarter of 2022 due to declining demand from the downstream pharmaceutical sector. Adequate inventories in the domestic market have substantially pressurized Sodium Ascorbate market sentiments to be on the lower side. Additionally, the zero covid policy in China amid the resurgence of COVID cases has abrupted the global supply chain and negatively impacted the price trends of Sodium Ascorbate in the United States. Domestic merchants and buyers were concerned about raw material Ascorbic acid prices due to the US's growing inflation, the geopolitical situation in Russia and Ukraine, and the wildly unpredictable oil prices. The prices for Sodium Ascorbate were assessed at USD 5940/MT in the United States at the end of the quarter.
Asia- Pacific
During the second quarter of 2022, the pricing trend for Sodium Ascorbate in the Asia Pacific showed a hostile trajectory. An increase in COVID-19 cases during the first week of April had many effects on the country's pharmaceutical markets; as a result, the Chinese government placed the essential production facilities on lockdown, which mainly hampered the activities. Some businesses were prepared to provide the products at a discount to get rid of supplies before they deteriorated. The domestic pharmaceutical and nutraceutical industries saw substantial quarterly intakes because local producers and consumers had ample inventory to fulfill demand. Thus, the FOB Shanghai Sodium Ascorbate prices in China have dropped sharply by 19.4% from the previous quarter, with values assessed at USD 5400/MT in June.
Europe
During the second quarter of 2022, the European Sodium Ascorbate market had negative sentiments. The war between Russia and Ukraine made it more challenging for exporting nations to conduct business, raising transportation costs and slowing commodities' flow into Europe. Throughout the whole quarter, demand from end-user pharmaceutical companies remained lower. Overall, the providers had enough inventory to meet all domestic demand. It was also more challenging to get the goods to the European market because China's "Zero Tolerance" policy and frequent lockdowns caused numerous cargo ships to become stuck at ports. With a quarterly declination of 22%, the CFR Hamburg prices of Sodium Ascorbate in Germany settled at USD 6310/MT in June.
