For the Quarter Ending March 2022
North America
The market sentiments of Succinic Acid in the North American region showcased an upward trajectory in the first quarter of 2022. Owing to the increased feedstock prices, Succinic acid prices soared at the quarter end. When compared with the Q4 of 2021, 8% increment has been witnessed in the first quarter of 2022. Furthermore, market sentiments of Succinic Acid were governed by the surging demand from the downstream sectors such as food and beverages, cosmetics, and personal care. The quotations during the first quarter were observed as USD 2936/MT, CFR Texas USA in the month of January and USD 3117/MT, CFR Texas, USA towards the quarter end.
Asia Pacific
During the first quarter of 2022, the market sentiments of Succinic acid showed buoyancy in the Asia-Pacific region. In comparison to Q4 of 2021, a surge of nearly 11% was noticed in the first quarter of 2022 owing to the high demand in the pharmaceutical sectors amidst the Omicron virus infection in China and other Asian countries. Moreover, the upstream maleic acid, benzene prices observed growth because of political stress between Russia and Ukraine leading to high production cost of Succinic acid and supply disruption in the overseas market. As a ripple effect, prices of Succinic Acid were observed at USD 2551/MT, FOB Qingdao at the start of quarter and USD 2665/MT, FOB Qingdao, China in the quarter end of 2022.
Europe
In the first quarter of 2022, Succinic Acid prices in the European market followed an uptrend due to material shortage because of supply chain disruption. The ongoing conflict between Russia and Ukraine impacted Succinic Acid market sentiments in the European region as the prices of upstream benzene along with maleic acid spiked which forced the European manufacturer to increase the production cost of Succinic acid, to cater the domestic demand these facets became the driving force for the surge of 8% in first quarter of 2022 as compared with Q4 of 2021.
Quarter Ending December 2021
North America
During the fourth quarter of 2021, the Succinic Acid market in the North American region remained firm to buoyed throughout the quarter. Despite the increment in the operational rates at the production sites after the hurricane season, the quotation observed persistent gains amidst the adequate cost support from the upstream Benzene after the crude oil value observed significant gains after the OPEC+ decided to increase the production margins. In addition, the Glycerol-based Succinic Acid production remained subdued amidst the feedstock shortages. Whereas, the demand outlook from the downstream pharmaceutical, cosmetics, and food sector remains healthy amidst the resurgence of COVID and rising global food price index. As a ripple effect, the offers for Succinic Acid witnessed a gradual gain in the producer's quotation during the fourth quarter of 2021.
Asia Pacific
Overall, the Succinic Acid market in the Asia Pacific region witnessed mixed sentiments in the fourth quarter of 2021 and the offers varied differently in various sub-regions in the Asia Pacific. This development is majorly attributed to the supply concern in the Northeast Asian region although it eased in the second half of the quarter. Whereas in India, the suppliers were forced to offers volumes at discounted rates amidst the bearish sentiments in the domestic market. As a ripple effect, the quotation for Succinic Acid dropped persistently in the Indian domestic market despite the high-cost support from the upstream and raw material. Therefore, the Ex-Chennai discussions were plunged to USD 2958 per tonne, during the quarter ending in December.
Europe
During the fourth quarter of 2021, the European market sentiments for Succinic Acid remained buoyed amidst the tight supply in the region. Whereas the ongoing power crunch in Europe amidst the shortage of natural gas in response forced the producers to curtail the operational rates at the European domestic market. Whereas high charges of electricity pass on the cost support to the production cost of Succinic Acid. Whereas the demand remained buoyed throughout the quarter from the downstream cosmetic, pharmaceutical, and food sectors. As a ripple effect, of healthy demand and tight supply, the offers for Succinic Acid in the European domestic market remained buoyed throughout the quarter.