For the Quarter Ending December 2024
North America
During Q4 2024, Vitamin B2 prices in North America displayed a considerable price decline of -4.21% across the entire quarter. Values fell from $39,700 per MT in November to $37,500 per MT FOB New Jersey in December 2024. The price dynamics emerged from several market factors. Limited inventory positions and enhanced demand from pharmaceutical and nutraceutical industries initially supported higher prices - until the first half.
Port infrastructure constraints at Shanghai and Los Angeles impacted freight rates and lead times, while labour disputes affected East and Gulf Coast operations. Market participants accelerated procurement due to anticipated U.S. tariff changes, maintaining high TEU volumes. December brought a market reversal as domestic suppliers implemented destocking initiatives while export prices softened in the US.
The market followed typical seasonal weakness as the year 2024 ended. Despite the price decline, robust end-user demand persisted throughout the quarter, especially in pharmaceutical and nutraceutical applications. This combination created a complex environment where initial supply constraints and logistical challenges drove prices higher before giving way to more favourable conditions later on.
APAC
In Q4 2024, Vitamin B2 prices in APAC demonstrated volatile market dynamics, rising to $35760 per MT in China during November before declining to $35000 per MT Ex-Shanghai in December 2024. The Chinese Golden Week holiday in October initially paused market activities, with international buyers implementing pre-emptive procurement strategies to maintain supply chain stability. Manufacturers in China leveraged declining freight rates and post-holiday demand from Western markets, favouring sellers post-holiday until first the half of the quarter. December witnessed systematic destocking initiatives across the supply chain, with manufacturers and suppliers strategically adjusting inventory positions. Despite downward price pressure, demand fundamentals remained resilient, with sustained procurement patterns across domestic and international channels.
The price trajectory reflected sophisticated supply-side strategic considerations, creating unique buying opportunities during the market's transitional period and showcasing the APAC region's adaptive market ecosystem.
Europe
In Q4 2024, Vitamin B2 import prices in Germany showed mixed movement, rising to $43,700 per MT in November before declining to $42,450 per MT CFR Hamburg in December. The quarter began with modest price increases in October, driven by surging demand, extended delivery times from Asian suppliers, and persistent port bottlenecks. November saw further price appreciation, primarily due to surging end-user demand and rising prices in China, compelling German buyers to procure at higher costs. The constrained market environment enabled merchants to implement price hikes and maintain stronger profit margins.
However, December brought a notable price decline as European distributors actively reduced inventory levels while Chinese exporters lowered their prices. This created an attractive buying opportunity for the German importers, prompting increased purchases from Asian suppliers. The price moderation reflected strategic inventory management rather than changes in underlying demand patterns.
For the Quarter Ending September 2024
North America
The Vitamin B2 market in North America demonstrated notable momentum during Q3 2024, with the United States manifesting as the key center of market fluctuations. Price negotiations appreciated from $37,350/MT to $38,750/MT FOB New Jersey throughout July to September 2024. The quarter marked a steady 1% enhancement from Q2 2024, suggesting a measured yet persistent market strengthening. This market evolution reflects an intricate interplay of industry variables and broader economic indicators.
Enhanced consumption patterns from domestic nutraceutical and pharmaceutical industries emerged as principal market drivers, while logistical impediments created supply-side pressures. The market exhibited exceptional adaptability despite facing multiple operational challenges, including maritime congestion, heightened shipping expenses, and ongoing distribution network disruptions. The situation was further intensified by price fluctuations in China's market, a dominant Vitamin B2 supplier, generating cascading effects across the American nutraceutical sector.
The steady price strengthening, marked by a $1,400/MT gain across the quarter, reflects robust market fundamentals and sustained developmental impetus. This trajectory resonates with broader regional patterns, demonstrating the North American Vitamin B2 market's inherent stability despite ongoing supply chain impediments. The synthesis of amplified regional demand, worldwide supply mechanics, and logistical hurdles has engineered a sophisticated yet fundamentally robust pricing landscape.
APAC
The Vitamin B2 landscape in Asia-Pacific exhibited remarkable pricing dynamics in Q3 2024, marked by a distinctive upward movement. China's market recorded a slight quarter-over-quarter decline of 1%, yet maintained its position as a regional price benchmark. The market demonstrated notable price progression, with export valuations advancing from $33,600/MT to $34,890/MT Ex Shanghai between July and September 2024.
This market strengthening was supported by diverse operational factors and market fundamentals. Demand dynamics were characterized by consistent procurement from nutraceutical and pharmaceutical industries, while supply elements were influenced by mounting production expenditures, including raw material costs and operational overheads. The confluence of increased production capacity and logistical constraints, especially port bottlenecks, generated supply-demand disparities supporting price appreciation.
Market resilience was evidenced through sustained buyer engagement and consistent order patterns. These demand indicators, combined with operational hurdles including freight expenses and supply chain intricacies, enabled industry participants to sustain healthy margins. China's domestic market remained instrumental in establishing regional price trends, influenced by both international procurement patterns and domestic consumption dynamics. The relationship between production capabilities and logistical impediments reinforced the market's upward trajectory.
Europe
The European Vitamin B2 landscape exhibited significant price movements during Q3 2024, with Germany functioning as the primary indicator of market dynamics. September prices reached USD 42,975/MT CFR Hamburg, reflecting broader market conditions. The quarterly performance showed a 1% improvement from first to second half, demonstrating steady progression. While experiencing an 11% reduction year-over-year, the market displayed resilience with a 1% quarterly improvement.
Market appreciation stemmed from interconnected supply limitations and demand forces. Manufacturing constraints, particularly in Asian production centers, created availability pressures influencing price levels. This was reinforced by sustained demand from pharmaceutical and nutraceutical sectors maintaining consistent procurement activities.
Germany's market trends served as a bellwether for European pricing dynamics, exhibiting clear seasonal patterns and price correlations. Despite operational challenges, the market maintained its upward trajectory, underlining the European Vitamin B2 market's fundamental stability. The convergence of supply restrictions, sectoral demand patterns, and regional market forces cultivated a constructive pricing environment, characterized by sustained development and market equilibrium across Europe.
For the Quarter Ending June 2024
North America
The second quarter of 2024 has been notably challenging for the Vitamin B2 market in North America, characterized by a consistent decline in prices. Several significant factors have influenced this downward trajectory. Key among them are international supply chain disruptions, competitive pricing from Asian producers, and an oversupply situation driven by high inventory levels. The persistent weakening of demand from downstream industries, particularly pharmaceuticals and nutraceuticals, has further compounded the issue, leading suppliers to continuously lower their price quotations to remain competitive. Additionally, heightened freight costs and extended lead times have made import conditions less favourable, further exacerbating the market's woes.
In the USA, where the most pronounced price changes have been recorded, the overall market sentiment has been negative. The downward trend is evident when comparing the same quarter last year, showing a steep decrease, and from the previous quarter in 2024, which recorded a -5% decline. The quarter concluded with Vitamin B2 prices at USD 36,500 per MT FOB New Jersey in the week ending June 28, underscoring the sustained pressure on pricing.
Overall, the pricing environment for Vitamin B2 in Q2 2024 has decidedly been negative, reflecting continuous market challenges and a persistent oversupply coupled with tepid demand. The market dynamics indicate a complex interplay of factors that have perpetuated this unfavourable trend, suggesting that stakeholders in the Vitamin B2 market must navigate a cautiously competitive and volatile landscape.
APAC
The second quarter of 2024 has been challenging for the Vitamin B2 market in the APAC region, marked by a persistent decline in prices. Several critical factors contributed to this downward trajectory. Foremost among these were the oversupply conditions prevalent across the market, which were exacerbated by subdued demand from both domestic and international end-users. The excessive inventory levels held by manufacturers and market participants led to aggressive price reductions as suppliers sought to clear their stockpiles. Additionally, rising shipping costs and logistical disruptions, particularly around key transit routes, further pressured the market, compelling suppliers to offer discounts to maintain competitiveness.
Focusing on China, the region experiencing the most significant price fluctuations, the market witnessed a notable decrease of -19% compared to the same quarter last year, underscoring the severity of the price erosion. From the previous quarter in 2024, prices recorded a -4% decline, indicating a continuation of the negative trend. The overall trends highlighted a consistent decline, with seasonality playing a less pronounced role compared to the overarching supply-demand imbalance. By the end of the quarter, prices settled at USD 34,000/MT FOB Qingdao. The overall pricing environment has been decidedly negative, driven by an oversupply scenario and waning demand, compelling market participants to adopt a cautious and competitive stance, reflecting a market under strain and struggling to find equilibrium.
Europe
In Q2 2024, the European Vitamin B2 market experienced notable price declines, driven primarily by an oversupply situation exacerbated by competitive pricing from major exporters and subdued demand from downstream sectors. Constrained spot supply and persistent supply chain disruptions also played a significant role in shaping market dynamics, contributing to a pervasive decline in Vitamin B2 prices across the region.
Germany, in particular, witnessed the most pronounced price changes. The German nutraceutical market's instability, with ample inventory levels and decreased procurement from pharmaceutical and nutraceutical industries, led to an imbalanced supply-demand scenario. The oversupply condition was further intensified by large-scale orders from Chinese manufacturers at lower sourcing costs, which forced domestic suppliers to continuously reduce their prices. The market faced additional pressure from disruptions in German port operations due to strikes, which caused delays and backlogs, further impacting pricing strategies.
Overall, the trend in Germany reflected a consistent downward trajectory, with Vitamin B2 prices marking an 18% decrease from the same quarter last year and a 4% decline from the previous quarter in 2024. The average price culminated in a quarter-ending price of USD 41,300 per metric ton CFR Hamburg. This prolonged price compression has been indicative of a negative pricing environment, reflective of weak demand, high inventory levels, and competitive international pricing dynamics. In summary, the Q2 2024 Vitamin B2 market in Germany has been characterized by persistent price decreases, underscoring a challenging period for suppliers contending with market volatility and reduced profit margins.
For the Quarter Ending March 2024
North America
Despite starting the quarter on a positive note, the first quarter of 2024 witnessed declining prices for Vitamin B2 in the North American market. Numerous factors have contributed to this trend, resulting in an overall decrease in pricing dynamics. Particularly in the USA, where the most significant price fluctuations occurred, prices initially rose until the midpoint of the quarter before declining in March. Concurrently, Vitamin B2 supplement prices decreased from $39550/mt in January to $39480/mt FOB New Jersey by March. Market conditions were influenced by factors such as limited product availability, increased freight costs, and reduced imports from Asia. In response, U.S. authorities collaborated with industry stakeholders to improve real-time monitoring of freight movements, particularly focusing on nutraceutical shipments from China.
Due to China's role as a major producer and the U.S. as a primary importer, shipments were temporarily halted during the Chinese Lunar New Year holidays in mid-February. Despite expectations of a surge in demand for nutraceuticals, including Vitamin B2, following the post-holiday market rebound in China, the anticipated increase in the U.S. did not materialize as predicted by industry analysts. However, demand remained steady in the U.S. until the second half of Q1, supported by fresh stockpiles from domestic suppliers. The conclusion of 2023 witnessed disruptions in supply chains and trade due to the security crisis in the Red Sea, leading to significant increases in freight charges. These disruptions affected various trade routes, causing congestion at U.S. ports on both coasts and disruptions in the Panama Canal, impacting commodity prices.
As prices began to decline in March, a significant contributing factor was the reduced demand from the pharmaceutical and nutraceutical sectors, as well as a decrease in freight charges. This reduced demand coincided with an oversupply of Vitamin B2 from domestic sources, further complicating market dynamics. Additionally, decreased interest from Asian markets, particularly China, has also contributed to the depreciation in prices. Overall, the trend for Vitamin B2 prices in Q1 2024 has been negative, with a significant decrease of 15% compared to the same quarter last year.
APAC
During the first quarter of 2024, the Vitamin B2 market in the Asia-Pacific (APAC) region, particularly in China, experienced modest growth. Prices in China increased slightly from $34,900 per metric ton in January to $35,500 per metric ton Ex-Shanghai by March, reflecting a 1.7% rise over the period. This positive trend through March marked a notable improvement from the challenges encountered in the fourth quarter of 2023, which included subdued demand from end-users, limited new inquiries, and excess inventory.
From mid-January 2024 onward, demand began to strengthen steadily and sustained momentum through March, signaling a recovery in market sentiment. The first quarter of 2024 demonstrated significant improvement with rising prices, reflecting a more balanced relationship between supply and demand. This upward trajectory allowed participants in the Chinese market to maintain healthy profit margins throughout the quarter. However, growth slowed in March, with prices experiencing a slight decline. Even during the Lunar Chinese New Year holidays, the domestic Vitamin B2 market remained resilient, supported by robust manufacturing activities leading up to the holiday and the availability of fresh inventory. Additionally, the international demand for Vitamin B2, especially from the pharmaceutical and other sectors, added complexity to the supply-demand dynamics, influencing market trends later.
Despite facing challenges such as declining consumer confidence, deflationary pressures, youth unemployment, reduced exports, and a decrease in foreign investment, China's manufacturing output exhibited resilience. The domestic Vitamin B2 market in China experienced significant improvements, characterized by an increase in demand and manufacturing output.
Europe
During the first quarter of 2024, the Vitamin B2 market in Europe exhibited a nuanced pricing landscape, influenced by a variety of factors. Overall, the market remained relatively stable, characterized by moderate fluctuations without any significant price shocks. Analyzing the trend and seasonality of Vitamin B2 prices in Germany during the fourth quarter of 2023 revealed no substantial changes compared to the previous year. The correlation between prices and market conditions remained consistent throughout the quarter. Germany, being the largest market for Vitamin B2 in Europe, experienced both positive and negative price trends. Prices remained relatively stable, starting at $44,850/mt in January and slightly decreasing to $44,800/mt in March CFR Hamburg. This stability was supported by sustained demand and increased import costs from China.
The European economy encountered uncertainties during this period, including surging energy costs and the implementation of interest rate hikes. These factors contributed to a fragile market environment for Vitamin B2, complicating efforts to stabilize prices. Until mid-February, several factors influenced Vitamin B2 prices in Germany. The rising import costs from China, exacerbated by disruptions in the Red Sea and the Chinese New Year celebrations, exerted pressure on prices. Additionally, currency exchange rate fluctuations, such as the Euro's depreciation against the USD, added to the financial challenges faced by German importers.
In March, prices experienced a marginal decline due to ample supply and reduced demand. To summarize, the Vitamin market in Germany was overall influenced by factors, including inflation, federal taxes, supply chain disruptions and escalating energy costs.
