For the Quarter Ending September 2025
North America
• In USA, the Tetrakis Hydroxymethyl Phosphonium Sulfate (THPS) Price Index fell by 5.90% quarter-over-quarter, inventory overhang.
• The average THPS price for the quarter was approximately USD 956.67/MT reported.
• THPS Spot Price tightened as inventories were digested and offers firmed late.
• THPS Price Forecast indicates gradual strengthening into October driven by seasonal restocking.
• THPS Production Cost Trend showed pressure from phosphorus trichloride and energy costs.
• THPS Demand Outlook remains mixed, strong water treatment but weak paints, coatings.
• THPS Price Index weakened because pre-tariff Asian cargoes created inventory overhang initially.
• Major Asian exporters maintained high operating rates while US buyers delayed procurement amid cautious market sentiment.
Why did the price of THPS change in September 2025 in North America?
• Recovery in water treatment demand and restocking reduced inventories, tightening spot availability and supporting prices.
• Competitive Asian offers were offset by typhoon disruptions and rising phosphorus trichloride, creating mixed economics.
• Freight easing and container supply lowered landed costs, but elevated local stocks moderated aggressive procurement.
APAC
• In China, the THPS Price Index fell by 4.81% quarter-over-quarter, reflecting oversupply.
• The average THPS price for the quarter was approximately USD 856.67/MT reported.
• THPS Spot Price rose late September on restocking and speculative buying activity.
• THPS Production Cost Trend rose as phosphorus trichloride increased, formaldehyde remained soft.
• THPS Demand Outlook remained mixed; water treatment firmed, paints and textiles weak.
• THPS Price Index volatility rose due to port congestion and export demand.
• Producers ran high rates, inventory digestion gradually eased oversupply while export inquiries tightened spot availability.
Why did the price of THPS change in September 2025 in APAC?
• Pre-holiday restocking and speculative buying tightened inventories, generating short-term upward price pressure despite weakness.
• Feedstock dynamics were mixed; rising phosphorus trichloride thereby increased costs while formaldehyde remained soft.
Europe
• In Germany, the THPS Price Index declined quarter-over-quarter due to inventory surplus.
• THPS Spot Price firmed as inventories cleared and offers strengthened toward the quarter’s end.
• THPS Price Forecast suggests gradual price recovery into October, driven by seasonal restocking.
• THPS Production Cost Trend faced upward pressure from phosphorus trichloride and energy expenses.
• THPS Demand Outlook remained mixed, with robust water treatment demand offset by weak paints and coatings sectors.
• THPS Price Index softened due to early-quarter inventory buildup from pre-tariff Asian imports.
• Major Asian exporters sustained high production rates, while European buyers delayed purchases amid cautious market sentiment.
Why did the price of THPS change in September 2025 in Europe?
• Rising water treatment demand and restocking absorbed excess inventories, tightening spot supply and lifting prices.
• Competitive Asian offers were countered by regional disruptions and rising phosphorus trichloride costs, creating mixed pricing dynamics.
• Easing freight rates and improved container availability reduced landed costs, but high local stocks limited aggressive buying.
South America
• In Brazil, the THPS Price Index fell by 4.6% quarter-over-quarter, reflecting high inventories.
• The average THPS price for the quarter was approximately USD 989.33/MT, reported.
• THPS Spot Price strengthened late September as inventory digestion tightened spot volumes.
• THPS Price Forecast signals upside driven by export tightness and buyer restocking.
• THPS Demand Outlook mixed, with robust water treatment yet weak paints procurement.
• THPS Price Index momentum shifted; sellers widened spreads and buyers accepted offers.
• High inventories depressed buying, but stock digestion and restocking revived THPS demand.
• Freight swings and force majeure among Asian producers tightened THPS spot availability.
Why did the price of THPS change in September 2025 in South America?
• Asian export disruptions from typhoons and force majeure reduced shipments, tightening CFR offers to Brazil.
• Resilient water treatment offtake and restocking ahead of holidays increased short-term procurement and supported prices.
• Higher phosphorus trichloride and electricity costs plus volatile freight rates raised export costs and offers.
For the Quarter Ending June 2025
North America
• The THPS Price Index in North America declined by 15.3% Q-o-Q in Q2 2025, amid elevated inventory levels and sluggish spot demand from oil & gas and industrial sectors.
• Spot prices softened further in June as pre-summer buying faded and congestion at Asian ports delayed new arrivals, prompting buyers to defer procurement.
• The production cost trend remained subdued, with stable feedstock pricing for phosphorus trichloride and formaldehyde, although freight costs were volatile in May.
• Procurement from textile processors and water treatment plants remained steady, but demand from construction and coatings industries was notably weak.
• Price competitiveness from Chinese and Southeast Asian exporters undercut domestic resellers, forcing U.S. distributors to trim margins.
Why did the price of THPS change in July 2025 in North America?
• Inventory drawdowns and firm demand from Midwestern textile chemical blenders supported a modest price rebound.
• Ongoing port congestion in China and Korea limited import volumes, adding pressure to U.S. buyers with low on-hand stock.
• Some regional distributors raised prices moderately to compensate for higher transport costs and thinning margins on Q2 volumes.
Europe
• The THPS Price Index in Europe showed a Q-o-Q decline amid weak demand and cautious procurement across industrial end users.
• Limited imports from Asia due to freight rate hikes and shipment delays supported seller attempts to maintain pricing levels, especially in Northern Europe.
• The production cost trend remained favorable for buyers, thanks to low-cost feedstocks and steady offshore production.
• Agricultural and construction-linked applications saw minimal uplift, but water treatment and textile dyeing chemicals sustained baseline demand.
• Traders adjusted inventories slowly, awaiting stronger Q3 signals, which helped prevent excessive stockpiling.
Why did the price of THPS change in July 2025 in Europe?
• Port disruptions in Asia curbed import arrivals, creating supply gaps in Belgium, Italy, and France.
• Improved offtake from textile processors and paint formulation units in Southern Europe lifted short-term demand.
• Rising CIF offers from Chinese suppliers gave European sellers the room to raise prices moderately, especially in spot transactions.
Asia Pacific
• The THPS Price Index in APAC fell 13.04% Q-o-Q, ending Q2 under pressure from overproduction and soft export demand.
• Spot prices declined steadily as high operating rates in China and tepid overseas orders led to oversupply.
• The production cost trend remained low, as formaldehyde and phosphorus prices held steady and freight conditions improved marginally by late June.
• Demand from domestic textile and water treatment sectors was stable, but construction chemicals and coatings lagged due to weak infrastructure activity.
• Chinese exporters faced difficulty clearing stocks due to slow order movement from key markets like North America and the Middle East.
Why did the price of THPS change in July 2025 in APAC?
• A gradual cut in plant run rates helped reduce oversupply pressure in Eastern China.
• Renewed buying interest from Southeast Asian and Middle Eastern importers provided some floor to spot pricing.
• Export offers firmed up slightly, as feedstock values in China rose due to tighter formaldehyde availability in early July.
South America
• The THPS Price Index in South America dropped 15.7% Q-o-Q, as surplus imports and muted demand weighed heavily on regional pricing.
• Spot procurement slowed notably in Brazil and Argentina, with many buyers having restocked heavily in May.
• The production cost trend remained soft, backed by competitively priced Chinese FOB cargoes and stable feedstock markets.
• Industrial and oilfield consumption remained tepid amid restrained infrastructure spending and cautious CAPEX behavior across Brazilian sectors.
• Delays at key Asian export ports added further risk, although they did not yet translate to substantial short-term price increases.
Why did the price of THPS change in July 2025 in South America?
• Import volumes declined due to shipment delays, resulting in gradual inventory tightening by mid-July.
• Distributors raised prices modestly to reflect higher replacement costs and limited new shipments.
• Spot activity picked up slightly from textile and pulp & paper clients, supporting mild pricing recovery.
For the Quarter Ending March 2025
North America
Throughout Q1 2025, the Tetrakis Hydroxymethyl Phosphonium Sulfate (THPS) market in North America witnessed a continuous decline, weighed down by weak downstream demand, ample inventory, and sustained inflows of low-cost imports from Asia. Prices initially slipped as U.S. buyers responded to softer export rates from China, where oversupply and tepid global demand undercut pricing. Limited bulk procurement from sectors such as oil and gas and water treatment further dampened market momentum.
Construction-related consumption remained constrained due to high interest rates and a subdued project pipeline, keeping THPS usage in coatings and infrastructure applications weak. Shipping costs from Asia to the U.S. fell sharply across the quarter, improving landed cost competitiveness for imports and maintaining downward price pressure.
Despite a modest recovery in domestic manufacturing, demand stayed restrained, with buyers favoring spot-based purchases over forward contracts. Inventory buildup and minimal end-user pull reinforced the bearish tone, while operational stability across Asian suppliers ensured continuous availability in the U.S. market. THPS prices in the USA closed the quarter at USD 1,150/MT CFR Los Angeles.
APAC
Throughout Q1 2025, the THPS market in the Asia-Pacific region witnessed a continuous decline, driven by oversupply, sluggish downstream demand, and limited feedstock cost support. In January, manufacturers faced reduced orders after bulk December purchases, while demand from downstream oil drilling, water treatment, and textiles remained weak amid soft international trade. February saw an increased supply post-Lunar New Year, as production resumed across major plants. However, slow export growth and tariff concerns, particularly from the U.S., kept procurement restrained. By March, high inventories led to discount-driven selling as downstream sectors, especially water treatment and coatings—continued to operate cautiously. Export backlogs at Shanghai Port caused by fog and berth congestion added logistical strain, though had minimal impact due to subdued shipments. Weak offtake from the Middle East during Ramadan and stagnant demand from India added further downside. Despite some feedstock cost fluctuations, overall production expenses remained moderate. Buyers largely adopted a spot-based strategy, keeping inventory lean amid bearish sentiment. Q1. THPS prices in China closed the quarter at USD 1,015/MT FOB Shanghai.
Europe
Throughout Q1 2025, the THPS market in Europe, particularly in Germany, experienced a persistent downtrend, driven by oversupply and limited downstream demand. The market began the quarter on a weak footing, with subdued consumption across water treatment and coatings. Structural challenges in the European chemical sector—such as high energy costs, regulatory burdens, and shrinking industrial output—further constrained procurement. Construction sector activity remained soft, with declining new project starts and delays in ongoing developments curbing demand for THPS in coating and infrastructure applications. Meanwhile, the textile segment offered no significant recovery, with downstream buyers maintaining cautious inventory strategies amid uncertain market sentiment. Imports from Asia remained steady, supported by uninterrupted operations in key manufacturing hubs, adding to regional oversupply and intensifying price competition. Despite maintenance at certain domestic facilities, inventory levels stayed elevated, and overall production rates remained conservative. Buyers across Europe largely adhered to short-term purchasing, with little appetite for forward bookings. THPS prices in Europe closed the quarter under continued pressure.
South America
Throughout Q1 2025, the THPS market in South America witnessed a continuous decline, weighed down by weak downstream demand, ample imports, and subdued cost support. In January, prices dropped as Brazilian buyers took advantage of low-cost shipments from China, where global oversupply and sluggish consumption reduced export values. February saw further declines amid ongoing supply pressure and limited infrastructure investment, while softer post-holiday international trade and falling freight rates dampened import costs. Despite some recovery in Brazil’s industrial output, cautious procurement from sectors such as water treatment, oil & gas, and coatings kept consumption muted. In March, prices slipped again due to sluggish end-use demand and continued competition from Asian exporters. Shipping costs dropped further, and while some feedstock prices like phosphorus trichloride rose, declining formaldehyde costs offset broader production expenses. Seasonal trade lulls, inflationary pressure, and labor shortages contributed to soft market sentiment. Buyers largely avoided bulk purchases, maintaining a conservative procurement approach. Q1. THPS prices in Brazil closed the quarter at USD 1,180/MT CFR Santos.
For the Quarter Ending December 2024
North America
The North American THPS (Tetrakis Hydroxymethyl Phosphonium Sulfate) market experienced mixed trends in Q4 2024, with prices declining in October and November before recovering in December. In October, prices fell by 2.2%, reflecting weak demand from water treatment, textiles, paints, and coatings sectors, compounded by oversupply and reduced operating rates in exporting nations. Lower import prices, supported by reduced freight costs, added downward pressure on pricing.
November saw a sharper decline in the domestic market of USA. Subdued downstream demand and elevated inventory levels weighed heavily on the market. Water treatment and textile industries faced low procurement activity, while paints and coatings demand remained muted due to slow construction activity. Weak feedstock support and high imports from Asia further pressured the market.
In December, THPS prices rebounded by 4.5% to USD 1,370/MT CFR Los Angeles, driven by tight supply from China amid pre-Lunar New Year stocking. Strong demand from the oil and gas sector, fueled by record-high domestic oil production, supported the price increase.
APAC
The THPS (Tetrakis Hydroxymethyl Phosphonium Sulfate) market in APAC experienced mixed trends in Q4 2024, with prices declining in October and November before rebounding slightly in December. In October, prices dropped by 2% due to persistent oversupply, subdued demand from water treatment and textile sectors, and weak cost support from feedstock Phosphorus Trichloride. Despite production resuming after maintenance shutdowns, high inventory levels and limited downstream procurement kept the market bearish. November saw a sharper 8.6% decline, as high stock levels and reduced export activity combined with muted downstream demand to keep the market bearish. The construction sector’s ongoing slowdown further reduced demand for paints and coatings, adding pressure to the market. Manufacturers intensified destocking efforts by offering discounts to manage inventories, but the market remained subdued. By December, prices increased 3.6% to USD 1,150/MT FOB Shanghai, supported by robust demand from the oil and gas sector for drilling operations. Rising export volumes and stable domestic manufacturing contributed to the uptick. However, water treatment and textile demand remained limited, keeping the overall market sentiment cautious as the year ended.
Europe
The THPS (Tetrakis Hydroxymethyl Phosphonium Sulfate) market in Germany experienced a mixed performance in Q4 2024, with prices declining in October and November before recovering slightly in December. In October, prices dropped as oversupply and weak downstream demand from water treatment, textiles, and coatings sectors weighed heavily on the market. High inventories and reduced procurement from key industries, coupled with slow construction activity in Germany, contributed to a bearish sentiment. The decline in feedstock costs, particularly Phosphorus Trichloride, further pressured production margins.
In November, the market continued its downward trajectory as sluggish demand persisted across most downstream applications. The paints and coatings sector saw limited consumption due to Germany’s ongoing construction slowdown. High energy costs and reduced export opportunities amplified market challenges, leaving producers focused on destocking and managing excess inventories.
By December, prices stabilized and increased slightly, supported by tighter global supplies from exporting nations like China, where production constraints before the Lunar New Year limited exports. The oil and gas sector provided some demand resilience, particularly for drilling operations, but water treatment and coatings remained subdued.
South America
The THPS market in Brazil experienced mixed trends in Q4 2024, with prices declining in October and November before rising slightly in December. In October, prices dropped due to oversupply, weak downstream demand, and lower feedstock costs. Downstream sectors, including water treatment, textiles, paints, and coatings, exhibited minimal procurement activity, driven only by immediate requirements. High inventories, combined with competitive pricing from Asian exporters and reduced freight rates, kept the market under bearish pressure. Manufacturers struggled to manage inventory levels, with port congestion adding minor delays but failing to offset the broader market weaknesses. In November, prices declined further as weak demand persisted across key sectors. The water treatment industry, operating at reduced capacity, exhibited limited buying momentum, while construction activity slowed due to economic uncertainty. High import volumes from Asian producers exacerbated the oversupply situation, leaving little room for price recovery. By December, THPS prices rose modestly, supported by tight global supplies and robust demand from the oil and gas sector. Record domestic oil production boosted consumption of THPS for drilling operations.
