Butadiene Prices

Butadiene Prices June 2024

The butadiene prices in the United States for Q2 2024 reached 1287 USD/MT in June. During this quarter, the market prices in the U.S. rose amid limited inventory and increased demand from construction-related industries. Feedstock Butane prices strengthened, resulting in bullish market sentiment. Tightened domestic manufacturing and reduced trade-in from Asia limited butadiene supply, while freight rate increases and stricter emissions regulations further supported price growth.

The price trend for butadiene in Germany for Q2 2024 settled at 1173 USD/MT in June. During Q2 2024, the market prices in Germany were firm, propelled by limited supply despite low demand. Lower Naphtha costs had minimal impact, while supply constraints were intensified by production issues at key facilities. Rising import rates from Asia, amid high freight costs and inflation, stressed the polymer and synthetic rubber sectors, dampening overall market demand.

Butadiene Prices March 2024

In the United States, the butadiene prices for Q1 2024 reached 839 USD/MT in March. Butadiene prices in the US rose early in 2024 because of limited supply from manufacturing disruptions, cold weather, and a force majeure event impacting imports. Increased consumption across the synthetic rubber sector and a growing automotive market strengthened the price surge. Expectations for additional growth from the construction industry also bolstered market optimism.

The price trend for butadiene in Singapore for Q1 2024 settled at 1277 USD/MT in March. Butadiene prices in Singapore saw a steady increase in early 2024, supported by rising Naphtha and energy costs. High crude oil rates fueled making expenses while domestic supply remained tight. Stable demand from the polymer and synthetic rubber sector kept prices firm. Lower export demand and controlled production rates further constrained product availability in the region.

In Germany, the butadiene prices for Q1 2024 reached 1037 USD/MT in March. In Germany, the prices surged in early 2024 due to high manufacturing costs driven by increased Naphtha rates and tightened supply following reduced production activities. Limited output led businesses to adopt strong pricing approaches. Although consumption across polymer and synthetic rubber sectors remained moderate, buyers hesitated, expecting possible price shifts in the upcoming quarter.

Butadiene Prices December 2023

The butadiene prices in the USA for Q4 2023 reached 691 USD/MT in December. The prices climbed due to strong cost support from feedstock butane, despite weak demand from downstream industries like synthetic rubber and polymers. Supply chain disruptions and higher natural gas prices added to the production costs, while slowdowns in the automotive and construction sectors further tightened the market, maintaining elevated price levels.

The price trend for butadiene in South Korea for Q4 2023 reached 900 USD/MT in December. The prices in the country experienced fluctuations. Initially, prices rose due to reduced inventories and limited availability, but they eventually declined towards the end of the quarter. This drop was driven by weaker demand from the polymer and synthetic rubber sectors, along with decreased Naphtha prices and higher imports, leading to an oversupply in the market.

In Germany, the price trend for butadiene reached 768 USD/MT during Q4 2023. The prices strengthened in the quarter, driven by reduced supply due to outages at key European steam crackers. Despite lower Naphtha prices, the tight crude C4 market and rising freight costs for Asian imports kept prices high. However, weak demand from the synthetic rubber and polymer sectors, further increased prices.

Regional Coverage

The report provides a detailed analysis of the butadiene market across different regions, each with unique pricing dynamics influenced by localized market conditions, supply chain intricacies, and geopolitical factors. This includes price trends, price forecast and supply and demand trends for each region, along with spot prices by major ports. The report also provides coverage of ex-works, FOB, and CIF prices, as well as the key factors influencing the butadiene price trend.

Global Butadiene Price

The report offers a holistic view of the global butadiene pricing trends in the form of butadiene price charts, reflecting the worldwide interplay of supply-demand balances, international trade policies, and overarching economic factors that shape the market on a macro level. This comprehensive analysis not only highlights the current price but also provides insights into butadiene historical price trends, enabling stakeholders to understand past fluctuations and their underlying causes.

The report also delves into butadiene price forecast models, projecting future price movements based on a variety of indicators such as expected changes in supply chain dynamics, anticipated policy shifts, and emerging market trends. By examining these factors, the report equips industry participants with the necessary tools to make informed strategic decisions, manage risks, and capitalize on market opportunities. Furthermore, it includes a detailed butadiene demand analysis, breaking down regional variations and identifying key drivers specific to each geographic market, thus offering a nuanced understanding of the global pricing landscape.

Europe Butadiene Price

Q2 2024:

The market prices stayed robust through Q2 2024 in the Europe region, particularly in Germany, driven primarily by limited supply rather than demand growth. Despite the decline in upstream Naphtha costs, their effect on butadiene pricing remained minimal, as subdued operating prices continued to restrict material availability. Production setbacks at major facilities added to supply constraints, while import rates soared due to extended transport times and rising freight costs. German inflation ticked up modestly, further straining consumer demand in a sluggish economy. Although synthetic rubber and polymer demand remained relatively stable, the economic conditions contributed to conservative buying behavior.

Q1 2024:

In Europe, the prices surged in Germany during early 2024, largely due to increased manufacturing costs from steadily rising Naphtha costs. However, regional production saw challenges due to reduced operation activities among businesses amid economic uncertainties. Limited output intensified supply constraints, prompting manufacturers to adopt firmer pricing strategies to offset costs. Despite a soft demand trend from polymer and synthetic rubber industries, suppliers maintained a cautious stance, with buyers waiting for potential price adjustments in the upcoming quarter.

Q4 2023:

In Europe, butadiene prices saw an uptrend in Q4 2023, primarily because of a reduction in supply amid tight crude C4 markets and ongoing outages at major European steam crackers. Notably, unplanned and planned shutdowns at key facilities, including Repsol's Tarragona cracker and Total Energies' Antwerp NC3 cracker, significantly curtailed domestic production. Despite falling Naphtha prices, the market felt the strain of reduced butadiene availability. Rising freight costs for imports from Asia further inflated prices, although demand from the synthetic rubber and polymer sectors remained weak. This tepid consumption from the automotive and construction industries, however, wasn't enough to fully counterbalance the upward price pressure.

This analysis can be extended to include detailed butadiene price information for a comprehensive list of countries.

North America Butadiene Price

Q2 2024:

In FY24, in the U.S. market, the prices surged due to strengthened requirements and constrained stock levels. Increasing feedstock butane costs led to a stronger market landscape and a hike in butadiene prices. The construction industry’s rising material needs bolstered consumption across sectors like polymer and synthetic rubber, offsetting the effects of high mortgage rates. Although April saw a rebound in residential construction activities, declining building permits raised concerns. Limited Butadiene supply because of reduced domestic output and sluggish Asian imports kept market conditions tight. Meanwhile, rising shipping costs from Asia added upward pressure. Tightened emission guidelines by the EPA are expected to further impact costs, reinforcing pricing momentum in the coming months.

Q1 2024:

In early 2024, the North America region saw elevated product costs, primarily due to constrained supply. A series of events, including factory halts, subdued operational prices, and a declaration of force majeure, compounded by severe winter weather and significantly lesser domestic production capacity. The tight supply scenario led to strong pricing strategies among manufacturers. Increased requirements across the synthetic rubber sector, especially for styrene-butadiene rubber used across the automotive industry, further fueled price gains. Rising sales of automobiles in the US strengthened the need for butadiene, and construction industry expectations also suggested future demand growth.

Q4 2023:

In the final quarter of 2023, butadiene prices in the US surged due to strong cost support from feedstock butane, despite subdued demand from downstream industries like synthetic rubber and polymers. The automotive and construction sectors, crucial consumers of butadiene, faced slowdowns, with the housing market impacted by rising mortgage rates and the UAW strikes further disrupting automotive production. Additionally, higher natural gas prices added to the production costs, contributing to the upward trend. Supply constraints, exacerbated by manufacturing slowdowns and global supply chain disruptions, further tightened the market, keeping butadiene prices elevated.

Specific butadiene historical data within the United States and Canada can also be provided.

Middle East and Africa Butadiene Price

The report explores the butadiene pricing trends in the Middle East and Africa, considering factors like regional industrial growth, the availability of natural resources, and geopolitical tensions that uniquely influence market prices.

In addition to region-wise data, information on butadiene prices for countries can also be provided.

Asia Pacific Butadiene Price

Q2 2024:

The market trends varied across the Asia-Pacific region. Early in the quarter, prices in Singapore rose due to increased feedstock and energy costs, as well as limited domestic availability. The revived demand for synthetic rubber and polymer materials across the construction and automotive industries kept inquiries high, supporting price levels. Market players also reported stronger overseas interest as companies aimed to rebuild inventories. Besides this, a drop in upstream Naphtha cost nearing the quarter-end dampened price momentum due to softened requirements from the construction and automotive industries. Despite these fluctuations, domestic prices remained sensitive to market dynamics, influenced by fluctuating feedstock rates and demand shifts.

Q1 2024:

The Asia-Pacific market experienced a consistent rise in butadiene prices in the first quarter of 2024, driven by higher upstream and energy costs combined with limited local supply. Naphtha rates rose notably, boosting production rates and fostering an optimistic market outlook for butadiene among suppliers. Additionally, elevated rates of crude oil across the globe due to geopolitical strains heightened production expenses, further driving prices. Transactions were mostly driven by urgent needs, and the consumption across polymer and synthetic rubber applications was comparatively stable. Overseas demand softened due to the challenging economic environment, which lowered export volume in the chemicals sector. Throughout the quarter, the firm pricing was influenced by the limited accessibility to materials in the region.

Q4 2023:

In the Asia-Pacific region, butadiene prices fluctuated throughout Q4 2023, driven by varying market conditions. In South Korea, initial price increases were observed since inventory levels dropped, prompting market players to negotiate better deals. However, prices declined by the end of the quarter due to the fall of the feedstock Naphtha prices and weak demand from the polymer and synthetic rubber industries. The automotive and construction sectors, key consumers of butadiene, showed sluggish demand, further pressuring prices downward. Additionally, increased imports at lower costs and high domestic availability led traders to clear out inventories, contributing to the price drop.

This butadiene price analysis can be expanded to include a comprehensive list of countries within the region.

Latin America Butadiene Price

The analysis of butadiene prices in Latin America provides a detailed overview, reflecting the unique market dynamics in the region influenced by economic policies, industrial growth, and trade frameworks.

This comprehensive review can be extended to include specific countries within the region.

Butadiene Price Trend, Market Analysis, and News

IMARC’s newly published report, titled “Butadiene Prices, Trend, Chart, Demand, Market Analysis, News, Historical and Forecast Data Report 2024 Edition,” offers an in-depth analysis of butadiene pricing, covering an analysis of global and regional market trends and the critical factors driving these price movements.

It encompasses an in-depth review of spot price of butadiene at major ports, a breakdown of prices including Ex Works, FOB, and CIF, alongside a region-wise dissection of butadiene price trend across North America, Europe, Asia Pacific, Latin America, the Middle East and Africa.

The report examines the elements influencing butadiene price fluctuations, such as changes in raw material costs, supply-demand dynamics, geopolitical factors, and industry-specific developments. Additionally, it integrates the latest market news, providing stakeholders with up-to-date information on market shifts, regulatory changes, and technological advancements, thereby offering a comprehensive overview that aids in strategic decision-making and forecasting.

Butadiene Market Analysis

The global butadiene market size reached 13.1 Million Tons in 2023. By 2032, IMARC Group expects the market to reach 19 Million Tons, at a projected CAGR of 4.30% during 2023-2032.

• Butadiene demand is inflating across the world due to its important role in the manufacturing of synthetic rubbers like styrene-butadiene rubber (SBR) and polybutadiene rubber, which are used in tire production. According to an estimate, around 40% of the butadiene produced worldwide goes into manufacturing tires. Given that the market for tires is anticipated to grow by 4.9% annually, reaching US$ 256.8 billion by 2032, the demand for feedstock chemicals like butadiene is expected to surge. Also, the automotive industry is experiencing a strong upward trend. In 2022, 85.4 million motor vehicles were produced globally, a 5.7% increase from the previous year.
• Beyond this, the application for butadiene is expanding due to its role in the synthesis of acrylonitrile butadiene styrene (ABS). It is a thermoplastic polymer used in the fabrication of building materials, toys, and vehicle components. In 2022, the total global trade of ABS was $7.69 billion. Also, the construction sector is expanding rapidly, resulting in a heightened demand for building materials. For instance, in India, the construction sector is projected to reach $ 1.4 trillion by 2025.
• The market share is being further reinforced by the increased demand for butadiene in the production of latex. It is a versatile material that finds applications in paper coating to improve smoothness, brightness, and printing properties. According to recent estimates, the world produces 300 million tons of paper every year. Also, the consumption of paper in the last 40 years has risen as much as 400%.
• Additionally, the footwear industry is embracing butadiene due to its role in the production of soles and other components. The market for footwear is expected to be USD 332.3 billion by 2032, growing at a rate of 3.4% annually.

Butadiene News

The report covers the latest developments, updates, and trends impacting the global butadiene market, providing stakeholders with timely and relevant information. This segment covers a wide array of news items, including the inauguration of new production facilities, advancements in butadiene production technologies, strategic market expansions by key industry players, and significant mergers and acquisitions that impact the butadiene price trend.

Latest developments in the butadiene industry:

• In September 2021, CHIMEI and Braskem completed the world’s first shipment of butadiene with carbon offsets. The credits were sourced from a REDD+ project, which is estimated to lower carbon emissions by over 130 million metric tons in total.
• In January 2024, Axens, Michelin, and IFPEN inaugurated the first industrial-scale demonstrator of a plant producing bio-based butadiene in Bassens near Bordeaux, France. It has a production capacity of between 20 and 30 metric tons per year.

Product Description

Butadiene (C4H6), often referred to as 1,3-butadiene, is a colorless gas with an aromatic odor. Its vapors are heavier than air and can be easily ignited. The physical properties of butadiene include molecular weight (54.09 g/mol), vapor density (1.87), boiling point (24.1 °F at 760 mmHg), melting point (-164 °F), and flash point (-105 °F). It is slightly soluble in methanol, ethanol, and organic solvents, such as carbon tetrachloride (CCl4).

Butadiene is manufactured as a coproduct of steam cracking to produce ethylene. It is also produced by the dehydrogenation of n-butane and oxydehydrogenation of n-butenes. Butadiene is used in synthetic rubber, tires, plastics, high-impact polystyrene (HIPS), latex, adhesives, sealants, footwear, and plastic modifications.

Report Coverage

Key Benefits for Stakeholders:

• IMARC’s report presents a detailed analysis of butadiene pricing, covering global and regional trends, spot prices at key ports, and a breakdown of Ex Works, FOB, and CIF prices.
• The study examines factors affecting butadiene price trend, including raw material costs, supply-demand shifts, geopolitical impacts, and industry developments, offering insights for informed decision-making.
• The competitive landscape review equips stakeholders with crucial insights into the latest market news, regulatory changes, and technological advancements, ensuring a well-rounded, strategic overview for forecasting and planning.
• IMARC offers various subscription options, including monthly, quarterly, and biannual updates, allowing clients to stay informed with the latest market trends, ongoing developments, and comprehensive market insights. The butadiene price charts ensure our clients remain at the forefront of the industry.