Formaldehyde Price Trend

Formaldehyde Prices December 2023

In Q4 2023, the United States formaldehyde market displayed a bullish trend, influenced by strong demand from the disinfectant and adhesive sectors. The market was characterized by a slight decrease in prices, with the United States noting a 3% reduction from the previous quarter, settling at an FOB Texas price of $428/MT. This period saw heightened purchasing activities and robust demand, particularly in the disinfectant industry, which, along with increased production costs due to a rise in methanol prices, led to an average price elevation of 5% compared to the preceding quarter.

China formaldehyde market in Q4 2023 showed a downward trend, which is mainly attributed to product oversupply and weakened global demand. The market plummeted to a fall of 12% in prices in the same quarter of the previous year, plus a slight decrease of 4% from the former quarter. This trend was influenced by a drop in sales from the disinfectants and adhesives industries, which experienced a robust demand this season. Besides this, methanol production cost also declined due to methanol prices being flat.

In Saudi Arabia, the formaldehyde market in Q4 2023 experienced a downward price movement, closing at $350/Ton FOB Al Jubail, marking a decline of 10.35% from the previous period. This trend was influenced by ample product availability, moderate demand from downstream disinfection and adhesive industries, and limited cost support from the methanol market. Additionally, the region's formaldehyde prices were affected by reduced trading activities and substantial local stockpiles, without any reported plant shutdowns.

Formaldehyde Price Trend, Market Analysis, and News

IMARC’s newly published report, titled “Formaldehyde Pricing Report 2024: Price Trend, Chart, Market Analysis, News, Demand, Historical and Forecast Data,” offers an in-depth analysis of formaldehyde 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 formaldehyde at major ports, a breakdown of prices including Ex Works, FOB, and CIF, alongside a region-wise dissection of formaldehyde price trend across North America, Europe, Asia Pacific, Latin America, the Middle East and Africa.

The report examines the elements influencing formaldehyde 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.

Formaldehyde Market Analysis

The global formaldehyde market size reached US$ 8.2 Billion in 2023. By 2032, IMARC Group expects the market to reach US$ 13.5 Billion, at a projected CAGR of 5.80% during 2023-2032.

• Governments have implemented a series of higher environmental restrictions worldwide to curb pollution; hence, fuel blending has become more dependent on the composites of formaldehyde. The high octane of the fuel, coupled with lower emission, gives it an edge that attracts many industries.
• According to a 1997 report by the U.S. Consumer Product Safety Commission, formaldehyde is normally present in both indoor and outdoor air at low levels, usually less than 0.03 parts of formaldehyde per million parts of air (ppm).
• Formaldehyde’s crucial role as a precursor material in its synthesis process that can be applied in multiple industries, such as production automobiles, healthcare, and construction is propelling its market share penetration. They are applied in numerous industries ranging from automotive to sports equipment sector and due to stringent product requirement, the demand of these industries is increasing.
• The chemical sector is witnessing an escalation in the demand of formaldehydes by virtue of its usage in the preparation of important chemicals like acetic acids and polyolefins. These chemical compounds form a crucial basis for the processes of manufacture in packaging, construction, and automobile industries, envisioning formaldehyde as one of the widely needed and essential substances.
• The utilization of formaldehyde in the process of storing energy is changing and it is mostly being used for fuel cells in EVs and backup power sources.
• The speedy industrialization and fast urbanization brought by the developing countries compose the requesting consideration for formaldehyde. It has a wide functioning from the chemical, automobile, and construction sectors which leads the escalating economies to create these infrastructures and technologies.
• The shift in the marine industry towards cleaner fuel options has led to formaldehyde becoming an attractive candidate fuel as it has a low sulfur content and emits less at source.
• Rising investment in the petrochemical sector resulted in raising formaldehyde manufacturing. These investments not only increase the field's potential but also ensure the emergence of more advanced programs and technologies that enhance the Formaldehyde market.

Formaldehyde News

The report covers the latest developments, updates, and trends impacting the global formaldehyde 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 formaldehyde production technologies, strategic market expansions by key industry players, and significant mergers and acquisitions that impact the formaldehyde price trend.

Latest developments in the formaldehyde industry:

• In May 2023, Foremark Performance Chemicals acquired NexGen Chemical Technologies. The acquisition enables the safe and sustainable production of natural gas, helping to support the transition to clean energy.
• In December 2022, Johnson Matthey (JM), a global leader in sustainable technologies, has announced the expansion of its manufacturing facility in Perstorp, Sweden, to meet growing demand for formaldehyde. The expansion will increase the site’s capacity by approximately 50%.

Product Description

Formaldehyde is an odorless and colorless gas which is often essential in chemical industries and in numerous manufacturing processes. This reactive compound is considered as an essential feedstock to produce a variety of materials and chemical compounds across different domains such as resins, plastics, textiles, and disinfectants. It is widely used in various industries, including automotive, construction, health care and agriculture sectors which are ideal for due to its bonding and protective properties. Production of formaldehyde is commonly carried out by catalytic oxidation of methanol, and it is the main foundation for many other monomeric derivatives and polymers. It is effective, versatile, and used as a building block in organic chemistry, which provides it with a high value in both industry and science.

Regional Coverage

The report provides a detailed analysis of the formaldehyde 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 formaldehyde price trend.

Global Formaldehyde Price

The report offers a holistic view of the global formaldehyde pricing trends in the form of formaldehyde 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 current price of formaldehyde but also provides insights into historical price trends, enabling stakeholders to understand past fluctuations and their underlying causes.

The report also delves into 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 formaldehyde 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.

North America Formaldehyde Price

In Q4 2023, formaldehyde market in North America showed an upward tendency that was mainly due to the rising demand for disinfectants and adhesives. While the prices have fallen in the United States relative to the earlier period of the quarter, they were still higher overall. This was connected to the low supply and heightened consumption, which in addition to increased production prices from the methanol market were among main factors for the increased prices.

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

Asia Pacific Formaldehyde Price

Formaldehyde market in the APAC region presented different variations in Q4 in 2023. Generally, the sentiment was bearish as contributions were mainly made by oversupply and weaker global demand. Such imbalance was more vigorously accelerated by the slow methanol prices that resulted in the decreased production costs. This consequently led to weak demand in main downstream sectors such as disinfectants and adhesives which in turn caused the new stocks trading volumes to drop significantly.

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

Europe Formaldehyde Price

In Q4 2023, the Europe formaldehyde market experienced an upward movement mainly due to the local demand improved and the market fundamentals became more favorable. Increased methanol costs, together with many market players taking it up with vigor, pushed the price north, despite shortage in supply. Germany and the Netherlands had a price increase and the Netherlands experienced export activity, influenced by the increase in demand for goods.

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

Middle East and Africa Formaldehyde Price

In the final quarter of 2023, the price of formaldehyde in the Middle East & Africa region went down as the market saw an abundant supply coupled with a moderate demand from downstream customers. However, low prices of methanol in Saudi Arabia was another issue that depressed the market, contributing to a significant drop in the industry. Although the disinfectants and adhesives stockpiles were at proper levels and no plants got shut down, the demand in these categories remained subdued. Conversely, the rise in methanol overhead rate and the sluggish demand by consumers due to the cautious market led to stabilization of prices at the lower levels.

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

Latin America Formaldehyde Price

The analysis of formaldehyde 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.

Report Coverage

Key Benefits for Stakeholders:

• IMARC’s report presents a detailed analysis of formaldehyde 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 formaldehyde 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 formaldehyde price charts ensure our clients remain at the forefront of the industry.