For the Quarter Ending June 2023
North America
Throughout the second quarter of 2023, the US market for Sodium Chlorite experienced subdued market fundamentals. The initial part of Q2 saw a sharp decline in momentum, followed by a slower rate of decrement in the last two months. Market sentiments fluctuated, influenced by various factors impacting demand and supply dynamics. Diminished consumption from downstream textile and paper industries led market participants to approach the product with caution. Bulk purchasing interest waned, as buyers preferred immediate stock procurement amid feeble purchasing activities in the international market. Despite a consistent inflow of material, high inventories left buyers hesitant, resulting in subdued trading activities for the commodity. The prevailing economic uncertainty, concerns over high inflation, and rising interest rates further shaped market sentiments and contributed to a cautious atmosphere within the industry. The healthy availability of the material narrowed the gap between demand and supply, leading purchasers to offer lower bidding prices. Furthermore, decreased procurement activities remained a major driver for the declined commodity price in the market.
Asia-Pacific
During the second quarter of 2023, the Sodium Chlorite market in the Asia-Pacific region, specifically in China, experienced a notable decline in prices. Throughout Q2, the market witnessed an overall plunge of approximately 6%. The demand for Sodium Chlorite from downstream textile industries significantly decreased due to a lack of interest. However, there was still moderate demand from wastewater treatment businesses. Despite this, the spot market encountered several challenges during the quarter. Moreover, the market remained oversupplied, with abundant product availability in domestic ports, leading to weak purchasing activities over the past few months. Despite inquiries from buyers, there were no reported supply issues during this period. Buyers refrained from placing large orders, and immediate stock purchases resulted in reduced trading activities, contributing to the decline in the commodity's price. The persistently weak market fundamentals and the bearish sentiment continued to push prices down further. Meanwhile, players in these regions voiced their concerns about making any fresh purchases given the ongoing downtrend.
Europe
Throughout the second quarter of 2023, the Sodium Chlorite market witnessed a consistent decline in prices. At the beginning of Q2, falling trading activities led to a skeptical market environment. Weak buyer appetite in both domestic and international markets, coupled with sluggish end-user consumption in key industries like Textile and paper, compelled market participants to adopt lower prices to maintain competitiveness. However, despite moderate demand from water treatment plants, it was not sufficient to sway market sentiments. Additionally, in the second last month of Q2, ample supplies of Sodium Chlorite in domestic ports contributed to an oversupplied market, despite low demand and feeble purchasing activities. This, coupled with a slump in market value, kept prices at their lower end. In June, economic uncertainty and recession fears continued to dominate market sentiments, further reinforcing the downward trend in prices. Oversupply has plummeted the Sodium Chlorite market in Germany. End-users have also restricted their purchase and are buying only on a needless basis.
For the Quarter Ending March 2023
North America
In the North American market, the Sodium Chlorite market observed a mixed pricing trend in the first quarter of 2023. The market sentiments for the product were in positive territory in the first month of Q1 2023 amid increased production rates and a surge in demand from the downstream textile and water treatment industries. In the next month of Q1, the market prices of Sodium Chlorite increased further owing to stronger demand in the downstream textile and water treatment industries and active inquiries from domestic as well as international market participants. Amid looming inflationary pressure, uncertainties regarding the economy and the collapse of two banks in the US resulted in a weaker consumer demand outlook in the last month of Q1, and hence, the market sentiments for Sodium Chlorite exhibited a bearish trend this month.
APAC
In the first quarter of 2023, the Sodium Chlorite market observed a mixed pricing trend in the Indian Domestic market. In the first month of Q1, the market prices declined as demand from the downstream industries was sluggish, and the imports reaching the Indian shore remained on the softer side due to weak international demand sentiment. In the second month, the prices upsurged by an excellent margin due to increased rates of production and a rise in domestic demand from the downstream textile and water treatment industries. In the last month, the prices plummeted amid weaker cost support from the upstream Hydrogen peroxide and suppressed demand amid high inventory levels of the product in the region. Thus, the prices of Sodium Chlorite 25% Ex-Mumbai settled at INR 73250 per ton at the end of Q1 2023.
Europe
The overall pricing of Sodium Chlorite in the European market demonstrated mixed market sentiments in the first quarter of 2023. The product's prices increased in the first month of Q1 due to the lack of market competitiveness in the region as the Asian market activities remained at lower levels in this period. In February, market prices began to fall as inflationary pressures and uncertainties regarding economic conditions affected consumer sentiments, resulting in limited purchases of the product. Overall market prices dropped further in March due to reduced procurement from the downstream textile and water treatment industries. Also, the manufacturing PMI fell amid weaker demand and a drop in input costs in the European region this month, resulting in bearish market sentiments for Sodium Chlorite in the region.
For the Quarter Ending December 2022
North America
In the fourth quarter of 2022, the Sodium Chlorite market in the North American region has remained under considerable pressure amidst the swindling market dynamics. The region observed a restricted export outlook at the start of the quarter, especially for the European nations. However, the last month of the quarter presented several new challenges to the US Sodium Chlorite market as the operating rates dropped considerably amidst the blizzard storm in the region, pressurizing the value and supply chain at the same duration.
Asia Pacific
Overall, the Sodium Chlorite market in the Asia Pacific region showcased mixed sentiments based on sub-regions and seasonal duration for the supply-demand outlook in the domestic market. The far east Asian markets, especially China, have observed considerable challenges amidst the dull demand outlook. That further coupled with challenges that occurred amidst adjusting the operating rates at manufacturing facilities followed by the market slowdown. At the same time, the Southeast Asian market observed a supply glut in the mid of the fourth quarter amid of festive season. In contradiction, the second half observed a surge in the availability of the material in the domestic market provoked by the destocking practices and price competitiveness between the suppliers in the region.
Europe
The Sodium Chlorite market in Europe has remained consolidated during the fourth quarter of 2022. The overall market outlook has improved considerably over the past few months after the market activities resumed. Although several new challenges were enforced in the domestic European markets due to the high inflation, the interest rates were high. Further, coupled with the high energy prices across Europe, as a ripple effect, the production cost has surged tremendously, forcing the producers to adjust the operating rates to sustain adequate netbacks.
For the Quarter Ending September 2022
North America
In the third quarter of 2022, the Sodium Chlorite market in the North American region remained balanced. There is no delay or disruption amidst the hurricane season. In contrast, the offtakes for Sodium Chlorite remained consistent to avoid further disruptions as the possibility of a hurricane is still hovering over the market dynamics. Therefore the DDP USGC discussions for Sodium Chlorite were assessed at USD 825 per tonne during September 2022.
Asia Pacific
Overall the Sodium Chlorite market in the Asian domestic market witnessed mixed sentiments during the third quarter of 2022. The market dynamics in the Southeast Asian markets have remained stagnant to bearish amidst the off-season due to the monsoon. At the same time, the Northeast Asian markets remained unclear and witnessed supply constraints after the Chinese market faced power rationing followed by the energy reforms. As a ripple effect, the Ex-Bhiwandi discussions for Sodium Chlorite were assessed at INR 72810 per tonne during September 2022.
Europe
The Sodium Chlorite market in Europe remained dull in the third quarter of 2022. This market trend is majorly attributed to the muted market activities due to the prolonged holidays. In response, the demand for Sodium Chlorite remained dull in the domestic market. In addition, the demand slightly rebounded in September as market activities resumed. As a ripple effect, the DDP Antwerp discussions for Sodium Chlorite were assessed at USD 911 per tonne in September.
For the Quarter Ending June 2022
North America
The market for Sodium Chlorite witnessed an upward trajectory in the second quarter of 2022 in North America. In April, the USA's Sodium Chlorite prices showed an increased trend backed by the high downstream demand. Besides, end-user stable demand in June affected the price movement of Sodium Chlorite in the USA. Moreover, Force majeure in primary Chlor Alkali producing chemical plants such as Olin and Westlake in the US system resulted in diminished offers for the product in June. The high inflation rate in the USA amid the War between Russia and Ukraine conclusively affected market dynamics of Sodium Chlorite in June.
APAC
The Sodium Chlorite market witnessed an overall upward trend in Q2 of 2022. The price trend of Sodium Chlorite followed an upward trajectory in the Asian market amid resurgence of COVID 19 cases in China and hampered production activities. Limited availability of inventories with enterprises and high demand conclusively impacted the price dynamics of Sodium Chlorite in the Asian region. Besides, Sodium Chlorite's price trend declined in June because of limited inquiries and ease in the feedstock Sodium Hydroxide prices in the region. Demand for Sodium Chlorite was more sluggish than expected. Meanwhile, depreciation in Chinese and Indian currencies against the US dollar due to high rate of inflation, which also caused downward pressure on Sodium Chlorite costs in Asia.
Europe
Sodium Chlorite prices showcased mixed market sentiments in the European market for Q2 2022. In Germany, decent downstream demand resulted in an increasing trend in Sodium Chlorite prices at the end of June. The ongoing geopolitical War caused upward pressure on Sodium Chlorite in the European region amid high inflation rates. Besides, in April, weak local market demand resulted in a fall in the prices of Sodium Chlorite. In addition, the European currency (Euro) depreciation against the US dollar eased-up the Sodium Chlorite costs. Moreover, fluctuation in upstream feedstock Sodium Hydroxide and energy values conclusively compelled the traders to revise their offers in the market.
