For the Quarter Ending March 2024
North America
Throughout the first quarter of 2024, the Tetrasodium EDTA market in North America underwent a notable decline, marked by fluctuating prices and various influencing factors. Starting with a quarter-ending price of USD 2020/MT in January, the market experienced a 0.57% average quarterly decline. This downturn was largely driven by the strategic actions of the USA, a major importer of Tetrasodium EDTA. The USA adjusted pricing strategies to maintain global competitiveness, which had a ripple effect on the worldwide market, leading to price reductions.
Simultaneously, the German market saw a decrease in raw material EDTA costs due to weak demand projections, further impacting prices. Additionally, US manufacturing activity declined with significant drops in order volumes, contributing to reduced US EDTA prices. Responding to an oversupply, downstream processing enterprises adjusted procurement strategies, further lowering prices. In February, significant price declines were witnessed, influenced by Chinese provinces reducing prices, allowing US market players to adjust strategies.
However, March saw an increase in prices due to hikes in exporting regions from post-lunar new year production resumptions, limited inventories, and heightened demand. This led US market players to resort to bulk orders, further driving up prices amidst inadequate inventories and delayed supplies.
Asia Pacific
In the first quarter of 2024, the pricing landscape for Tetrasodium EDTA in the APAC region saw notable fluctuations influenced by several key factors. The quarter ended with Tetrasodium EDTA FOB Qingdao, China, priced at USD 1850/MT, reflecting a 0.22% average quarterly decrease. This period was marked by predominantly negative trends in Tetrasodium EDTA prices, driven by factors such as reduced demand, oversupply, and lower raw material costs.
Seasonality played a significant role, with the post-Lunar New Year period typically seeing a surge in demand followed by a decline. Year-end destocking activities also affected the market, resulting in weakened downstream demand and ample inventories, which put pressure on pricing. In response, businesses adjusted by reducing inventory, leading to decreased procurement volumes and sustained price declines. Manufacturers and suppliers had to navigate these challenges, facing threats to profitability amidst declining Tetrasodium EDTA prices and sluggish consumption in Western and Northern markets post-holiday season. In February, Chinese Tetrasodium EDTA prices notably dropped due to the Spring Festival and Lunar New Year, leading to reduced demand and production oversupply.
However, prices stabilized towards the end of Q1 as demand, consumer confidence, and purchasing activities increased. The reopening of the market after the Lunar New Year and Spring Festival holidays marked the beginning of production activities and the introduction of fresh inventories, often resulting in a rebound in prices as domestic demand surged and international off-takes increased to procure bulk inventories.
Europe
Throughout the first quarter of 2024, the European market for Tetrasodium EDTA experienced a fluctuating landscape influenced by a myriad of factors. Ending the quarter at USD 1970/MT CFR Hamburg in Germany, Tetrasodium EDTA prices saw a quarterly decline of 1.90%.
This decline was part of a broader downturn in the market, marked by reduced prices and a unified market sentiment, largely steered by Germany's strategic decisions. As a key importer, Germany's measures to uphold its global competitiveness, including adjusting pricing strategies, reverberated throughout the market. However, this was not the sole driver of market trends. The decrease in the cost of raw material EDTA in Germany, fueled by weakened demand projections and reduced manufacturing activity in the Eurozone, also played a significant role. The market responded to these dynamics by adapting pricing strategies and actively reducing inventories to avoid surplus stockpiles. Despite these efforts, challenges arose, such as declining local inquiries complicating destocking and export hurdles leading to order cancellations and delays. Seasonal factors and decreases in domestic raw material prices added further pressure on Tetrasodium EDTA prices, with discounted products saturating the market and consolidating the downward trend.
March saw a price increase, partially attributed to Germany's role as a key importing hub and its intricate ties with major exporting nations. The resumption of production activities in these exporting countries, along with the easing of trade disruptions and export momentum halts, provided some resilience to importing nations' market players.
For the Quarter Ending December 2023
North America
The fourth quarter of 2023 proved to be challenging for the Tetrasodium EDTA market in the North America region. The market experienced mixed trajectory as with the commencement of Q4 till the termination of November the prices increased, but later with the termination of December the prices decreased by many folds.
In the North American region, especially within the United States market, Tetrasodium EDTA prices have been on a positive upward trend. This price increase can be attributed to increased demand from the Asian market, driven by a positive demand outlook. Industry experts have observed that downstream businesses have raised prices for their customers, with a significant factor being the onset of the winter season, resulting in a surge in domestic inquiries for Tetrasodium EDTA in recent months. Additionally, as we enter the fourth quarter, businesses are actively restocking their inventories through significant order placements, contributing to the maintenance of a strong market. Meanwhile, the raw material EDTA and formaldehyde market has been operating steadily, with increased trade and market fundamentals among major producing units.
Downstream panel factories maintained their procurement on demand, while formaldehyde manufacturers had shipped normally with stronger bids and offers among enterprises, influencing the market situation. Later, there was a surplus supply of Tetrasodium EDTA in the month of December, which outpaced the demand from downstream industries. This oversupply created downward pressure on prices. Additionally, the global increase in shipping costs, particularly in the middle of the quarter, deterred merchants from placing additional orders. The cost side of the market was also bearish, as there was sufficient rainfall and proper yield, leading to lower EDTA salt prices. Furthermore, the industry chain faced negative impacts, resulting in a wait-and-see atmosphere in the market. In the United States, which experienced the most significant price changes, Tetrasodium EDTA prices dropped to the settlement price of USD 2060/MT CFR New York with the average quarterly incline of 1.02%.
Asia Pacific
In the last quarter of 2023, the Tetrasodium EDTA market underwent a significant and positive transformation. In October, there was an unexpected and substantial increase in Tetrasodium EDTA prices in the Chinese market, primarily due to a surge in demand from end-users. In China, which witnessed the most notable price changes, Tetrasodium EDTA prices declined to the settlement price of USD 1870/MT FOB Qingdao, with an average quarterly increase of 2.03%. The limited capacity of raw material EDTA manufacturers contributed to reduced inventory and constrained supply. Concurrently, the demand resurgence during the "golden September" and "silver October" seasons created heightened interest among downstream customers. This increased demand, coupled with a psychological inclination to secure larger quantities, exerted upward pressure on Tetrasodium EDTA production costs, prompting manufacturers to adjust pricing strategies to maintain profitability. Towards the end of Q4, Tetrasodium EDTA prices decreased. This fluctuation was driven by significant reductions in Tetrasodium EDTA prices, resulting from a notable decline in the cost of raw materials, especially Formaldehyde, in the domestic market. Additionally, the import of another crucial raw material, EDTA acid, from European countries at competitive rates and in large quantities played a pivotal role in shaping the market trajectory. The backdrop to this price reduction was heavily influenced by economic conditions, particularly in China, the world's second-largest economy. China experienced an economic slowdown extending from the first half of 2023 into the second half, characterized by increased deflation, a surge in youth unemployment, and weakened foreign demand. In terms of manufacturing, Tetrasodium EDTA production in China closely aligned with customer demand, adapting to ever-changing market dynamics. During this period, a notable decline in demand was observed not only in the domestic market but also internationally. This synchronized decrease in demand further reinforced market dynamics in the third quarter.
Europe
The Tetrasodium EDTA market in the European region faced challenges during the fourth quarter of 2023. The market exhibited a mixed trajectory, witnessing price increases from the beginning of Q4 until the end of November, followed by a substantial decrease in prices by the conclusion of December. In December, there was an oversupply of Tetrasodium EDTA, surpassing the demand from downstream industries, leading to a significant drop in prices. This surplus supply exerted downward pressure on the market. Additionally, the global rise in shipping costs, particularly in the middle of the quarter, dissuaded merchants from placing additional orders. The cost aspect of the market was also bearish due to sufficient rainfall and proper yield, resulting in lower EDTA salt prices. The industry chain experienced negative impacts, creating a cautious and wait-and-see atmosphere in the market. In Europe, which witnessed the most notable price changes, Tetrasodium EDTA prices declined to the settlement price of USD 2090/MT CFR Hamburg, with an average quarterly increase of 2.58%. Especially within the European market, Tetrasodium EDTA prices exhibited a positive upward trend. This price surge was attributed to heightened demand from the Asian market, fueled by a positive demand outlook. Industry experts noted that downstream businesses increased prices for their customers, driven in part by the onset of the winter season, leading to a surge in domestic inquiries for Tetrasodium EDTA in recent months. As the fourth quarter unfolded, businesses actively restocked their inventories through significant order placements, contributing to a robust market. Meanwhile, the raw material EDTA and formaldehyde market operated steadily, with increased trade and market fundamentals among major producing units. Downstream panel factories maintained their procurement based on demand, while formaldehyde manufacturers shipped normally, with stronger bids and offers among enterprises influencing the market situation.
For the Quarter Ending September 2023
North America
During the third quarter of 2023, the North American Tetrasodium EDTA market experienced a noteworthy devaluation. Throughout the July to September period, CFR New York prices for Tetrasodium EDTA witnessed a decline, dropping from $2330 per metric ton to $2015 per metric ton, signifying the close of the quarter. This price fluctuation unequivocally signaled a preference for price reduction, resulting in an average quarterly decrease of 10.21%. The global Tetrasodium EDTA market, during this interval, grappled with an oversupply predicament, which consequently led to a significant dip in market values. Adding to the complexity of the situation, domestic traders strategically amassed substantial Tetrasodium EDTA inventories. To mitigate potential losses, these traders adopted a strategic approach by lowering their price quotations, thereby further contributing to the overall decline in market prices. Despite a modest deceleration in inflation during the third quarter, primarily attributed to significant economic shifts in the United States, market participants remained watchful due to the Federal Reserve's decision to increase interest rates. The reduction in Tetrasodium EDTA prices can be largely ascribed to a substantial decrease in the cost of its primary raw material, Formaldehyde, in exporting countries. This factor played a pivotal role in influencing the manufacturing cost of Tetrasodium EDTA in these exporting nations. Moreover, North American countries, being the principal importers of Tetrasodium EDTA, closely mirrored the pricing trends observed in the Chinese market, where China acts as the primary exporter. Consequently, the third quarter of 2023 presents a unique opportunity for businesses and consumers alike to capitalize on the reduced pricing of Tetrasodium EDTA in the North American market.
Asia Pacific
During the third quarter of 2023, the Tetrasodium EDTA market underwent a notable and favorable transformation. Prices exhibited a downward trend, decreasing from $2030 per metric ton in July to $1780 per metric ton FOB Qingdao in September, marking a significant quarterly average decrease of 9.78%. This price fluctuation was primarily driven by substantial reductions in Tetrasodium EDTA prices, stemming from a noteworthy decline in the cost of its raw materials, particularly Formaldehyde, in the domestic market. Furthermore, the import of another key raw material, EDTA acid, from European countries at highly competitive rates and in large quantities also played a pivotal role in shaping the market trajectory. The backdrop to this price reduction was heavily influenced by the economic conditions, especially in China, the world's second-largest economy. China experienced an economic slowdown that extended from the first half of 2023 into the second half, which cast a shadow over the beginning of the third quarter. This deceleration can be attributed to a combination of factors, including increased deflation, a surge in youth unemployment, and weakened foreign demand. In terms of manufacturing, Tetrasodium EDTA production in China remained closely attuned to customer demand, adapting to the ever-changing market dynamics. During this period, a notable decline in demand was observed, not only within the domestic market but also from international markets. This synchronized decrease in demand further reinforced the market dynamics in the third quarter.
Europe
In the third quarter of 2023, we observed a substantial transformation in the pricing dynamics of Tetrasodium EDTA. Prices decreased from $2240 per metric ton in July to $1945 per metric ton CFR Hamburg by September, signifying a significant decline with a quarterly average decrease of 10.71%. This shift was primarily instigated by an oversupply of Tetrasodium EDTA on a global scale, exerting downward pressure on its market valuation. Complicating matters further, domestic traders chose to amass significant Tetrasodium EDTA inventories. To proactively manage this challenge and mitigate potential losses, they strategically opted to lower their price quotations, thereby contributing to a broader devaluation of the market. The noteworthy drop in Tetrasodium EDTA prices can be attributed to a substantial reduction in the cost of its primary raw material, Formaldehyde. This pivotal alteration influenced the overall manufacturing cost of Tetrasodium EDTA in exporting nations, resulting in a downward price trend. Additionally, the European market, a major Tetrasodium EDTA importer, and China, a leading exporter, closely monitored the pricing patterns of the Chinese market. Consequently, this price decrease reflects the broader dynamics of the global market.
For the Quarter Ending June 2023
North America
In the second quarter of 2023, Tetrasodium EDTA prices in the US market fell significantly due to sporadic fluctuations between supply and demand during the month. The price was valued at the end of Q2 2023, representing an average quarterly decline of 7.33%. The US Tetrasodium EDTA market experienced a slowdown due to decreased demand from downstream industries. This led to excess inventory, forcing suppliers to lower prices. The ongoing economic instability in the US and rising global inflation have also contributed to the decline in demand. Market trading fundamentals were impacted by weak demand and high inventories. Retail sales fell due to high inflation. The major players in the market are expected to further reduce prices, which will discourage restocking by distributors and suppliers. In conclusion, the US Tetrasodium EDTA market is facing several challenges, including declining demand, excess inventory, and falling prices.
Asia
The market price of Tetrasodium EDTA declined significantly in the second quarter of 2023, driven by weak domestic and international demand. The price was valued and acquired at the end of Q2 2023, with an average quarterly decline of 6.54%. China's import and export activities were mixed. Major market players reported that buyers were hesitant to place large orders due to concerns about further price declines. Freight transport volume also increased in June, with the index rising to 51.2 points. This was driven by an increase in both domestic and international trade. Warehouse occupancy rates remained high in June, with the index standing at 52.3 points. This was due to strong demand from the e-commerce and manufacturing sectors. Bearish demand and lowering offtakes from end-user industries kept the market situation feeble. Also, the currency fluctuation further influenced the market trajectory. Due to large inventories of Tetrasodium EDTA, suppliers have had to reduce prices to reduce existing inventories. Some market participants reduce inventories and improve cash flow. The demand for Tetrasodium EDTA from the agricultural fertilizer and food industries decreased due to uncertain economic conditions and rising inflation. This led to a halt in trade, and inventory levels increased as producers increased production. Feedstock suppliers offered at a lower price in the spot market, which further reduced Tetrasodium EDTA prices.
Europe
In the second quarter of 2023, the demand for Tetrasodium EDTA decreased, leading to a decline in market prices. Tetrasodium EDTA prices fell by an average quarterly declination of 6.93%. The availability of domestic supplies and a decrease in demand in the local as well as in the international market impacted commodity prices. Germany’s Regional Tetrasodium EDTA market continued to be hostile throughout the second quarter. The manufacturing units have been forced to sell Tetrasodium EDTA at lower prices, but buyers are still waiting to see if prices will drop further. Import offers have increased this week, but they remain substantially below domestic prices. European buyers of Tetrasodium EDTA are delaying restocking due to a lack of end-user demand, and there are downbeat price expectations. Also, considerably low consumer demand in downstream sectors and the suppliers' ability to meet local requests with their available inventories are to blame for the drop in Tetrasodium EDTA import prices. This has led to an increase in the supply of Tetrasodium EDTA, which has put downward pressure on prices.
For the Quarter Ending March 2023
North America
In the first quarter of 2023, the Tetrasodium EDTA market witnessed a depreciated market situation in the North American region. Prices were witnessed to be on the lower end because of weak domestic demand, according to market fundamentals. The fact that domestic retailers had ample inventories among themselves also influenced the market scenario negatively. At the end of the first quarter, Tetrasodium EDTA values were accessed at USD 3520/MT with an average quarterly declination of 4.42%. Additionally, the consolidated prices trajectory for feedstock Caustic soda further supported the negative trajectory with low production costs. In the month of March, the freight costs were reduced many folds, further adding to the already feeble market situation.
APAC
A reduction in consumer demand from the downstream food, pharmaceutical, and nutraceutical industries causes Tetrasodium EDTA market prices to decline dramatically in the first quarter of 2023. Also, the prices for feedstock Caustic soda decrease throughout the first quarter 00f 2023 keeping the downstream Tetrasodium EDTA market feeble. During the Spring Festival, the downstream participation declined, the stock plan had ended for a while, and there was no significant desire to purchase, which further supported the rolling down trajectory for Tetrasodium EDTA. The prices were accessed at USD 2990/MT FOB Qingdao at the termination of Q1 2023, with an average quarterly declination of 3.97%, respectively.
Europe
In the first quarter of 2023, the European region's market for Tetrasodium EDTA witnessed a dip in prices throughout the quarter. According to market fundamentals, prices were projected to be on the lower end due to limited domestic demand. The abundance of inventory held by domestic retailers among themselves also had a negative impact on the market situation. Tetrasodium EDTA values were found at USD 3350/MT at the end of the first quarter, with an average quarterly decline of 4.50%. The consolidated pricing trajectory for the feedstock Caustic Soda and the low production costs further reinforced the negative trajectory. The already precarious market conditions were made worse in March by the multiple-fold reduction in freight costs.
For the Quarter Ending December 2022
North America
The price of Tetrasodium EDTA CFR New York decreased from $4630/mt to $4035/mt from October to December 2022 as a result of the prolonged market volatility in the US. Due to China's Golden Week, imports of Tetrasodium EDTA from there were restricted during the first week of October. The ample inventories held by domestic suppliers allowed them to fulfill the overall demand, and offtakes in the end-user industries remained consistent throughout the quarter. Supply chains remained risky for the majority of the quarter due to China's Covid lockdowns, Russia's instability in Ukraine, and bad weather. However, there was a gradual improvement in the second half of the year as the economy began to grow, and the ports had a significant decrease in ship backlogs after a protracted port backlog.
Asia Pacific
Tetrasodium EDTA prices in China showed a decreasing price trend during the fourth quarter of 2022 in the Asia Pacific region, with FOB Qingdao values falling from $3660/mt to $3880/mt from October to December. The orders for China's sector producing Tetrasodium EDTA declined steadily during the first week of October as a result of the shutdown of industrial facilities for the Golden Week. It was challenging for the market to catch up to the small rise seen in some downstream industries during the first part of Q4 because Chinese traders had to deal with a range of contradicting signals after a one-week break. Large inventories allowed domestic producers and suppliers to meet all overall demand for the whole quarter. In reaction to criticism and severe turmoil in the country, the administration revised its zero-covid policies, which once again made the country vulnerable.
Europe
In Europe, Tetrasodium EDTA prices showed a downward tendency in the fourth quarter of 2022, with CFR Hamburg values dropping from $4280/mt to $3850/mt from October to December. Along with the rising energy and raw material prices, demand in Germany remained on the weaker side during the quarter, making it challenging for the pharmaceutical and nutraceutical businesses to plan ahead and stay afloat. Germany's industrial production only slightly grew in October despite rising energy prices and supply-chain worries. Nevertheless, the circumstances in Russia and Ukraine as well as COVID-19 cases, all continued to have a detrimental effect on the general market scenario.
For the Quarter Ending September 2022
North America
North American consumer demand for Tetrasodium EDTA continued to decline in the third quarter of 2022, with CFR New York prices dropping from $5200/mt to $4820/mt between July and September. Due to China's "zero-covid tolerance" policy, import activities significantly constrained the supply of certain food chemicals, including Tetrasodium EDTA, to the United States. Many Chinese production facilities had to shut down in the second half of Q3 as a result of the heat wave and power deficit, and other businesses that produced food chemicals also went into maintenance, which had a negative effect on US trade. Many firms and industries blamed the nation's decreased demand on a range of problems, including inflation, supply constraints, and high-interest rates.
APAC
Tetrasodium EDTA market sentiments in the Asia Pacific region were mixed in the third quarter of 2022, with FOB Shanghai discussions rising until the midpoint of the quarter, or $3920/MT, and then declining with values assessed at $3800/MT in September. Several factors that have influenced this pricing trend include fluctuating feed prices, muted consumer spending, and negative end-user industry demand. Due to the weak downstream demand during the first half, big suppliers only made orders for immediate usage. When the markets reopened in the latter week of July following the shutdown, numerous manufacturing facilities, however, were undergoing maintenance, which had an effect on the Tetrasodium EDTA supply for both domestic and foreign providers.
Europe
The CFR Hamburg discussions for Tetrasodium EDTA in Germany fell from $4790/MT to $4450/MT between July and September, indicating a decreasing trend for the third quarter of 2022. Additionally, there was a lackluster demand from the end-user sector for food and beverages throughout this quarter. This quarter's port congestion and ongoing transportation delays caused logistical problems that made the economic situation in Europe worse. Along with the upheaval in Russia and Ukraine, the persistent port restrictions in China have deteriorated the business environment in Europe.
For the Quarter Ending June 2022
North America
The second quarter of 2022 saw an increase in the price of Tetrasodium EDTA in North America owing to the surged feedstock costs. Due to supply problems, the market value of Formaldehyde as a raw material increased throughout the quarter, which boosted the price of Tetrasodium EDTA and raised upstream production costs. The price of Tetrasodium EDTA has risen because of growing demand from several downstream industries, including cosmetics, personal care, and dye. Due to rising energy costs, increased freight costs, and backed-up ports brought on by the tensions surrounding the Russia-Ukraine war, Tetrasodium EDTA's price surged in the domestic market.
APAC
In the second quarter of 2022, the market sentiments for Tetrasodium EDTA showed a trend toward shifting prices in the Asia-Pacific area, which was supported by volatility in feedstock prices. Tetrasodium EDTA prices started to fall in April before steadily increasing until June. The cost of producing Tetrasodium EDTA increased in May and June along with the value of the feedstock Formaldehyde, which led to an increase in Tetrasodium EDTA prices in the domestic market. Additionally, after April, the downstream demand for cosmetics, personal care, and dye increased, further boosting the price of Tetrasodium EDTA. Tetrasodium EDTA's price has risen because of both upstream cost increases and downstream offtake.
Europe
In contrast to North America, prices for Tetrasodium EDTA steadily dropped during Europe's second quarter of 2022. The major causes of this decline were weak end-user demand from the cosmetics, personal care, and dye sectors. Due to lower-than-expected consumer expenditure, the market price of feedstock Formaldehyde fell, which eventually led to the plunge in Tetrasodium EDTA value. The prices of Tetrasodium EDTA in the European market were also absurdly low due to the abundance of excess stock in the stores and the steady supply rate. The primary causes of the domestic market's declining price value of Tetrasodium EDTA were weak offtake and continuous supply flow.
