In the Quarter ending December 2021
North America
In North America, the prices of Tri-ethylaluminium were observed low due to the decrease in prices of upstream natural gas, as for the most part of the Q4 in USA played a significant role in lowering the prices of ethylene. As the low prices of feedstock Ethylene in the quarter 4, which ultimately resulted as low prices of Tri-ethylaluminium. Additionally, Tri-ethylaluminium is also used as catalyst during synthesis of linear low-density polyethylene, as manufacturers struggled for ample demand of polyethylene from domestic market resulted in lower price of low-density polyethylene. The overall outlook of market resulted in lower price of Tri-ethylaluminium in quarter 4 of 2021.
Asia
In Asia, the Tri-ethylaluminium price market was observed down in the ending of Q4 due to low price of feedstock aluminum and ethylene in December. However, Ethylene market witnessed overall firmness due to the polymer demand across the Asian market. In India, festive season was ongoing during October-November which kept the price high of Ethylene during first half of the quarter. Ample supplies and reduced demand from downstream lower the prices of Ethylene in December. The ultimate outlook was observed mixed sentiments in the quarter 4 of 2021. However, Indian market remains stable for the product due to limited demand supply fundamentals, while Chinese players faced disturbance due to high coal shortage and rising input cost.
Europe
In Europe, the price market of Tri-ethylaluminium was observed low during quarter 4 due to the feedstock ethylene, which was observed to be in scarcity during October-November. European ethylene market suffered from supply side constraints combined higher freight costs during the first half of Q4. High input cost due to exorbitant rise in natural gas prices remained a matter of concern for key players. Demand from the downstream polymers industry was observed at stable to firm pace throughout the quarter , where the demand tapered off from most of the end used industries, which affected the price of Tri-ethylaluminium.
For the Quarter Ending September 2021
North America
In North America, Tri-Ethyl Aluminium prices witnessed tremendous gains during Q3 of 2021 supported by the steep climb in the feedstock Ethylene values amidst the sturdy demand from the downstream sectors during this period. Besides, most of the production plants remained closed in the Gulf Coast of USA due to the arrival of Ida hurricane in August end as apart of contingency plant which impacted the overall production rates in the region. Moreover, disruption in the supply chain and soaring freight charges further exerted pressure on the TEAL market and led to the increment in its prices both in domestic as well as overseas market in this timeframe.
Asia
In Q3 2021, the Asian market observed an exponential rise in the prices of Tri-Ethyl Aluminium (TEAL) during the third quarter of 2021 backed by the expensive feedstock as well as high demand from the LLDPE and HDPE manufacturers. In India, prices of TEAL kept on surging owing to the delayed imports, high demand, and soaring values of upstream Ethylene. Moreover, critical shortage of shipping containers as well as exorbitant freight charges further sent ripples to the prices of TEAL in the region. Besides, traders revised their prices every week to sustain their profit margins under the pressure of expensive imports. Therefore, the prices of Tri-Ethyl Aluminium (TEAL) settled at USD 4918.47 per MT in September showcasing an uprise of USD 44.23 per MT Ex Vadodara since July.
Europe
In Europe, a modest rise in the prices of TEAL was witnessed during the third quarter of 2021 backed by the improvement in the offtakes from the downstream manufacturers after the recovery in the market activities. Delayed imports due the congestion on ports in China coupled with the limited availability of shipping containers supported the inflation in the values of TEAL in Europe. Additionally, constant increase in the freight charges and higher production costs further influenced the pricing trend of TEAL in this quarter.
For the Quarter Ending June 2021
North America
Prices of Tri-Ethyl Aluminium (TEAL) rebounded this quarter, backed by improved offtakes from the downstream sectors. The demand for Tri-Ethyl Aluminium improved after resumed plant operations in US Gulf Coast. Several polymer plants resumed their operations to produce major polymers like LDPE and LLDPE during this quarter, which improved the offtakes for TEAL as a catalyst in the process. However, initially during April demand remained low, as manufacturers were analysing damages on their plants, which affectively improved week over week in the country.
Asia
The overall consumption of Tri-Ethyl Aluminium (TEAL) remained firm throughout the quarter, backed by firm offtakes from the regional market. In China, prices remained firm in these three months, as the production remained stable, in effect of rising domestic demand after sharp economic rebound. Meanwhile in India, prices declined in May due to rapid surge in pandemic cases which reduced the overall consumption of polymers in the country. Therefore, price of TEAL declined in the month of May and later rebounded effectively during June in India, eventually settling at USD 4852/MT in June 2021.
Europe
European market witnessed stable demand for Tri-Ethyl Aluminium during this quarter, backed by stable offtakes from the regional polymer market. Despite of shortage of raw materials and halted production activities, demand for Teal maintained overall stability throughout the quarter, while the prices also remained stable and overall buoyancy was observed. However, other global factors like rising production cost and surging freight cost also influenced the market price of Tri-Ethyl Aluminium across the region during Q2 2021.
For the Quarter Ending March 2021
North America
During this period, demand for several petrochemicals either major upstream or downstream, showed substantial growth, but tight supply supported the regional prices. Globally, the demand for TEAL wasn’t very high Y-o-Y, but supply constraints created an environment of shortage and effectively raised its prices. After freezing weather cast spell across the US Gulf coast, several Ethylene plants faced force majeures, that reduced the availability of the feedstock. Overall, the prices of TEAL showed significant improvement during this timeframe across the region, pushing buyers to make purchases only on need-to basis.
Asia
Buoyant demand from LLDPE manufacturers as packaging sector zoomed over the quarter, boosted the regional demand for TEAL during Q1 2021. Post lunar new year holidays, price of upstream Ethylene took a sharp upturn, which affected the prices of downstream chemicals including TEAL. The key reason behind the price rise was stated as tight regional supply after major PE plants went for turnarounds staring from mid-February. Limited availability of containers also pushed up the prices of almost all major petrochemical products, thereby sending ripples to the prices of TEAL which showed prominent growth in the Indian market and hovered around USD 4638.6/MT during March 2021.
Europe
Demand for TEAL across the European countries remained in a narrow range, as the second wave of COVID 19 left significant impact on the downstream markets. However, the prices showed a positive growth throughout the quarter, since the shortage of upstream Ethylene translated its impact in the global market. Downstream sectors showed firm improvement after February, post the successful vaccination rollout across the region.
For the Quarter Ending December 2020
Asia
Post COVID-19 recovery enhanced the sentiments in the Asian TEAL market during Q4 2020. Major olefins manufacturers were heard increasing the domestic prices every week. Recovered industrial and domestic activities were effectively increasing the demand of LLDPE, HDPE and other plastics which led to inclination in the prices of TEAL. The price of TEAL rose from USD 4401.9/tonne (October 2020) to USD 4511.9/tonne (December 2020) in India. In addition, China and Thailand also reported great recovery in the domestic LDPE market which led to healthy rise in demand of TEAL.
Europe
In the European market, tight Ethylene supply uplifted the prices of downstream derivatives like TEAL, PE, LLDPE, HDPE etc. Healthy recovery in demand for olefins from the consuming industries and households also boosted the product prices till October 2020. Tight supplies occurred in effect of unplanned shutdowns amid surging COVID 19 cases which maintained somewhat uncertainty over the market outlook. During December, significant shortage in supply of the feedstock Ethylene halted the manufacturing of TEAL and other derivative prices across the region.
North America
Production of TEAL remained hard hit in the first half of the quarter as multiple hurricanes led to unplanned turnarounds on Polyethylene production units at the US gulf coast region. These shutdowns halted the feedstock Ethylene supply and eventually of TEAL which contractors sought to produce ethylene derivative plastics. Meanwhile, the export demand of plastics from the US to several Asian countries was seen rising that lent support to the prices of TEAL. Later in December, the pace of price acceleration decreased and slowed down to stagnate due to year end market lull.
