Linear Alpha Olefin (LAO) Prices

Linear Alpha Olefin Prices September 2024

The linear alpha olefin prices in the United States for Q3 2024 reached 1,160 USD/MT in September. The pricing landscape in the country demonstrated significant strength over this period. September prices witnessed a notable increase in comparison to the same month in the previous year, with a significant overall rise during Q3. This upward trajectory was primarily driven by persistent supply network disruptions and rising rates of ethylene.

The price trend for linear alpha olefin in Japan for Q3 2024 settled at 1,040 USD/MT in September. The country experienced a downward trend in prices, influenced by persistent imbalances in supply and demand dynamics and broader economic factors. Seasonal circumstances significantly impacted the market, with prices showing a notable decline in September. This reduction was primarily attributed to oversupply, softening rates of polymer, lower ethylene prices, and subdued demand, creating a challenging market environment.

In Germany, the linear alpha olefin prices for Q3 2024 reached 1,060 USD/MT in September. The country experienced significant fluctuations in prices, marked by mixed trends. Prices in September 2024 were notably lower than those recorded in September 2023, driven by declines in feedstock and energy costs. However, the quarter witnessed a significant increase compared to Q2 2024, indicating some pricing resilience. By the end of the quarter, linear alpha olefin prices highlighted the continuing market challenges.

The prices of linear alpha olefin for Q3 2024 in Saudi Arabia settled at 915 USD/MT in September. The country experienced significant price fluctuations during the quarter, marked by a challenging market environment. The negative trend occurred on account of numerous factors, including supply constraints caused by facility closures. In addition, reduced requirements for downstream products and tightened supply conditions helped moderate the downward pricing trend.

Linear Alpha Olefin Prices June 2024

The linear alpha olefin prices in the United States for Q2 2024 reached 1,191 USD/MT in June. The country experienced notable fluctuations in prices, maintaining an optimistic industry landscape. This was driven by robust local requirements for surfactants, lubricants, and detergents. Seasonal circumstances, including heightened summer purchasing activity, also supported market need, while preparation for the storm season contributed to the upward pricing pressures on account of possible supply challenges. Prices rose significantly compared to Q1 2024. By the end of the quarter, linear alpha olefin prices highlighted the optimistic market sentiment influenced by robust requirements, constrained supply, and pragmatic stock management.

The price trend for linear alpha olefin in Japan for Q2 2024 settled at 1,323 USD/MT in June. The country witnessed a notable decline in prices, with a pronounced downward trajectory driven by seasonal influences and weakened industrial requirements. During the second quarter, prices fell significantly. This sharp decrease reflects a challenging market environment characterized by surplus supplies and slow demand rebound. The prevailing pessimistic landscape indicates ongoing pressure on the industry with limited prospects for speedy improvement.

In Germany, the linear alpha olefin prices for Q2 2024 reached 1,131 USD/MT in June. The country experienced pronounced fluctuations in prices, with a sharp decline influenced by seasonal factors and industrial activity levels. During the second quarter, prices dropped significantly, intensified by interruptions and facility closures, which had a notable impact on supply networks. The overarching market sentiment remained negative, shaped by weakened requirements, increased competitiveness, and ongoing operational issues.

The prices of linear alpha olefin for Q2 2024 in Saudi Arabia settled at 1,292 USD/MT in June. The country experienced significant fluctuations in prices, with an overall declining trajectory. Seasonal influences, including diminished manufacturing activity, contributed to the pessimistic market sentiment. The imbalance between oversupply and weakening requirements led to a notable decrease in prices over Q2. Although no extensive facility closures occurred, the industry encountered logistical issues stemming from international uncertainties and variations in crude oil production.

Linear Alpha Olefin Prices March 2024

The linear alpha olefin prices in the United States for Q1 2024 reached 997 USD/MT in March. The country witnessed significant fluctuations in prices, exhibiting a pessimistic market environment during the former half of Q1. Prices declined substantially compared to Q4 2023. This trend was driven by reduced requirements and lower raw material costs. Year-over-year, linear alpha olefin prices recorded a significant decrease compared to Q1 2023, reflecting the intensified market downturns amid broader economic issues impacting the market.

The price trend for linear alpha olefin in Japan for Q1 2024 settled at 1,423 USD/MT in March. The country experienced notable fluctuations in prices this quarter, driven by several key factors. Inventory constraints, heightened supply needs, and strong domestic demand significantly influenced the industry. Festive celebrations further boosted demand across various sectors, including the homecare products and cosmetics industries. In addition, rising transportation costs and international inflationary pressures contributed to the pricing dynamics.

In Belgium, the linear alpha olefin prices for Q1 2024 reached 1,352 USD/MT in March. The country experienced notable fluctuations in prices throughout Q1. The industry displayed a bullish trend as producers benefited from improved supply conditions through new contracts for raw materials and feedstock with suppliers from the United States and the Middle East. Meanwhile, the consumer market in Belgium faced the effects of higher rates of interest and elevated prices. Despite these challenges, pricing trends exhibited a persistent upward movement in the Belgian market, increasing significantly in comparison to Q4 2023.

The prices of linear alpha olefin for Q1 2024 in Saudi Arabia settled at 1,242 USD/MT in March. The country experienced significant fluctuations in prices, driven by supply constraints. While suppliers increased supply levels to fulfill delivery schedules, local inventories remained limited on account of robust purchasing activities. Prices nearly rebounded to the same observed in the preceding year, largely influenced by supply restrictions aimed at maintaining pricing stability. Requirements for linear alpha olefin ranged from modest to strong, supported by strong industrial activity and an increase in new orders. The industry exhibited a mix of optimistic and pessimistic trends throughout the period.

Linear Alpha Olefin Prices December 2023

The linear alpha olefin prices in the Brazil for Q4 2023 reached 860 USD/MT in December. The market saw a bearish trend during Q4 2023 due to declining local demand along with increased imports from the U.S. economic constraints, including reduced government spendings and financial pressures on major players, contributed to a challenging market environment.

The price trend for linear alpha olefin in Saudi Arabia for Q4 2023, reached 1150 USD/MT in December.  The market experienced price volatility amid fluctuating crude oil prices and feedstock shortages. The market saw a major rise in the C10 blend price, influenced by global supply constraints and geopolitical factors. However, overall market conditions remained mixed, with some price reductions observed towards the quarter's end as supply tensions eased slightly.

Regional Coverage

The report provides a detailed analysis of the linear alpha olefin 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 linear alpha olefin price trend.

Global Linear Alpha Olefin Price

The report offers a holistic view of the global linear alpha olefin pricing trends in the form of linear alpha olefin 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 linear alpha olefin historical price trends, enabling stakeholders to understand past fluctuations and their underlying causes.

The report also delves into linear alpha olefin 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 linear alpha olefin 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 Linear Alpha Olefin Price

Q3 2024:

During the third quarter of 2024, prices of linear alpha olefin in Europe exhibited notable fluctuations, creating a dynamic pricing environment. Market trends were influenced by reduced requirements for personal care and home care products, which influenced the supply and demand conditions. Lower manufacturing volumes at major facilities also played a key role in shaping prices. Elevated transportation costs and constrained tanker availability added challenges to purchasing ventures. Plant disruptions and closures also influenced the market, collectively creating a complex and cautious pricing landscape.

Q2 2024:

Throughout the second quarter of 2024, prices of linear alpha olefin in the European market witnessed a significant decline due to various contributing circumstances. Increased availability of raw materials, reduced energy costs, and elevated supply volumes from prior stockpiling contributed to the downward trend in prices. The market experienced a pessimistic environment due to weakened requirements, a challenging economic environment, and a continued industrial slowdown. High transportation costs and seaport traffic further added to the pressure on prices, complicating import processes and raising logistical expenses. Additionally, heightened competitiveness from suppliers in Asia and the Middle East further intensified the decline in prices across the region.

Q1 2024:

In the first quarter of 2024, prices of linear alpha olefin in the European market exhibited a pessimistic sentiment despite periods of positive activity. This was driven by increasing costs of ethylene and a gradual recovery in production in Europe. The industry dynamics were shaped by stabilizing requirements, particularly in the surfactant and lubrication industries, which contributed to easing downturns. However, elevated rates of interest and high consumer prices impacted the overall end-user landscape, leading to reduced requirements for linear alpha olefin across the region.

Q4 2023:

During the fourth quarter of 2023, the prices in Europe experienced a decrease as a result of excess production coming from the U.S. and China. Large manufacturers operate their operations at less than full capacity due to a decrease in automotive demand. Ethylene prices decreased due to excess supply in the local market and rising imports from foreign countries. Low demand persisted due to large inventories and reduced government backing for green energy initiatives throughout Europe. Due to abundant natural gas reserves, the prices of feedstock decreased. Planned maintenance closures in European factories assisted in aligning supply and demand, however market conditions remained subdued due to global logistics obstacles and political tensions affecting supply chains.  

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

North America Linear Alpha Olefin Price

Q3 2024:

During the third quarter of 2024, the prices of linear alpha olefin in North America experienced a significant upward trend. This rise was driven by several factors, such as higher ethylene costs and planned closures for maintenance at key chemical facilities during storm season. Hurricanes also disrupted operations at key facilities, adding pressure to already strained inventory networks. This highlights the ongoing rising pricing trajectory, propelled by challenges in supply networks and increasing costs of essential feedstock.

Q2 2024:

Throughout the second quarter of 2024, prices of linear alpha olefin in the North American market followed a strong rising trajectory, influenced by various factors. Increased costs for feedstocks such as ethane and ethylene, combined with higher transportation rates and reduced tanker slot availability, played a significant role in driving up prices. Increasing costs of natural gas and the narrowing premium on ethane added to the pressure on prices. In addition, limited supplies stemming from unexpected facility closures further restricted the market. As a result, the North American linear alpha olefin market demonstrated a positive pricing environment in Q2 2024, supported by a solid industry foundation.

Q1 2024:

In Q1 2024, prices of linear alpha olefin in North America witnessed notable changes shaped by various factors. During the quarter, prices showed an upward movement between the former and latter halves, driven by new ethylene inventory contracts that introduced substantial cost increases for industry players. Overall, the market landscape remained bullish despite a minimal decline in prices in the middle of the quarter. A recovery in requirements and declining raw material costs were the primary conditions impacting these price fluctuations, though stability was maintained during the period.

Q4 2023:

In Q4 2023, the prices in North America showed a decline. This decrease was caused by an excess of ethylene feedstock and energy supplies, aligning with robust domestic production of crude oil and gas. The market had an abundance of supply and a shortage of demand for polyethylene grades, primarily due to elevated inventory levels and growing interest rates. Even though consumers remained strong in retail industries, the housing demand recovery was hindered by elevated mortgage rates, leading to a decreased consumption of the product’s lubrication grades. Inventories were reduced by suppliers due to inflationary pressures at the year's end, worsened by economic uncertainty and the Suez Canal crisis, leading to a weak market stance. 

Specific linear alpha olefin historical data within the United States and Canada can also be provided.

Middle East and Africa Linear Alpha Olefin Price

Q3 2024:

During the third quarter of 2024, prices of linear alpha olefin in Middle East and Africa experienced a marked downturn. Seasonal trends played a key role, with September 2024 prices showing a 17% decrease compared to the same month in 2023. This decline was driven by factors such as oversupply, reduced polymer rates, lower costs for raw materials such as ethylene, and subdued demand. A quarter-over-quarter analysis found a notable drop in prices. Overall, Q3 was characterized by a difficult industry environment dominated by negative market sentiment.

Q2 2024:

During Q2 2024, prices of linear alpha olefin in Middle East and Africa witnessed a notable decrease, influenced by numerous interconnected circumstances. Rising costs of crude oil significantly increased raw material rates, placing added strain on the end-use ethylene sector, including linear alpha olefin production. Additionally, international pressures and interruptions in shipping routes caused delays and increased transportation rates, discouraging foreign clients and intensifying the pessimistic sentiment in the market.

Q1 2024:

In Q1 2024, prices of linear alpha olefin in Middle East and Africa experienced fluctuating trends shaped by various contributing circumstances. Export requirements played a significant role in driving an optimistic market landscape and supporting price increases. In addition, increasing costs of ethylene raw materials influenced the end-use detergent and surfactant industries, contributing to further upward pressure on prices. While the market showed both positive and negative movements, the overall pricing environment throughout Q1 was predominantly bullish.

Q4 2023:

The Middle East and Africa's market had varying results during Q4 2023. A moderate supply was witnessed, but it was impacted by worldwide ethylene shortages, resulting in reductions in production. Demand varied due to seasonal fluctuations and higher costs of raw materials. Geopolitical unrest and elevated crude prices continued to weigh on the market. The prices of the C10 blend varied greatly across Saudi Arabia due to these worldwide factors. The trading landscape was made complex by a mix of supply challenges and geopolitical issues present in the overall market environment.  

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

Asia Pacific Linear Alpha Olefin Price

Q3 2024:

Throughout the third quarter of 2024, prices of linear alpha olefin in Asia Pacific experienced a significant downturn. The period was characterized by a difficult market landscape influenced by various circumstances. Supply constraints, driven by closures for maintenance at major manufacturing plants, contributed to tighter availability, intensifying the negative pricing trend. Additionally, reduced requirements for downstream goods and surplus stockpiles further propelled the decline in market prices.

Q2 2024:

In the Asia Pacific market, Q2 2024 presented significant challenges for linear alpha olefin, marked by a persistent decline in prices. Numerous circumstances influenced this negative industry environment. Weak requirements in the lubrication sector and a steady but inadequate need from surfactants added to the negative pricing trend. In addition, reduced prices of ethylene further intensified pressures on costs. Oversupply conditions persisted due to high inventory levels, further aggravated by operational disruptions and port traffic at key locations.

Q1 2024:

During Q1 2024, prices of linear alpha olefin in Asia Pacific witnessed mixed trends. The industry largely exhibited an optimistic momentum, with a rising pricing trajectory. Inventory levels remained moderate, supported by suppliers boosting stockpiles to address increasing requirements. However, supply chains were impacted by storage vessel constraints and logistical interruptions. Year-over-year price comparisons indicate positive growth, reflecting a stabilized landscape despite occasional unpredictability during Q1.

Q4 2023:

The Asia Pacific region witnessed a bearish sentiment in linear alpha olefin prices during Q4 2023. There was a mix of stability and decline in feedstock ethylene costs, with lower demand from sectors such as construction and automotive in China due to economic constraints like the real estate catastrophe and high fuel prices. The market also saw reduced automotive demand in Latin Korea and Japan, compounded by a drop in global export levels. Exports of linear alpha olefin-based products to other markets were affected by seasonal downturns and high shipping costs, keeping the overall market subdued despite slight improvements in trade volumes with North America.  

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

Latin America Linear Alpha Olefin Price

Q3 2024:

During the third quarter of 2024, prices of linear alpha olefin witnessed a significant rise in Latin America. This increase was on account of factors such as plant shutdowns leading to supply disruptions, heightened requirements for end-use products, and elevated transportation expenses. The industry maintained an optimistic outlook for the entire duration of Q3, supported by constrained inventories and robust demand. This rising trajectory underscores the resilience of the industry despite continual challenges and economic variability.

Q2 2024:

Throughout the second quarter of 2024, prices of linear alpha olefin in the Latin American market demonstrated a significant rising trajectory influenced by various circumstances. Elevated feedstock costs for ethylene and ethane, along with increased cargo rates and limited tanker slot availability, played a vital role in shaping the market. Additionally, rising prices of natural gas and a narrowing premium on ethane intensified the pressure on pricing. Consequently, the environment for linear alpha olefin prices in Latin America reflected a strong industry foundation and foreign challenges, contributing to a distinctly positive trend.

Q1 2024:

The analysis of linear alpha olefin 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.

Q4 2023:

The market in Latin America faced challenges in the fourth quarter of 2023, mainly due to oversupply and economic factors like high corporate debt along with steep interest rates. The decrease in local demand, combined with significant price fluctuations, resulted in increased dependence on imports, mainly from the U.S. In Brazil, major companies such as Petrobras faced financial constraints, leading to a decline in domestic consumption of linear alpha olefin. Despite lower local production levels, feedstock costs in comparison to U.S. prices stayed elevated, which continued to push down the market throughout the quarter.  

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

Linear Alpha Olefin Price Trend, Market Analysis, and News

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

The report examines the elements influencing linear alpha olefin 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.

Linear Alpha Olefin Market Analysis

The global linear alpha olefin market size reached US$ 9.7 Billion in 2023. By 2032, IMARC Group expects the market to reach US$ 13.6 Billion, at a projected CAGR of 3.70% during 2023-2032.

• The escalating demand for detergents and surfactants industry is expanding the market for cleaning products, particularly in developing countries. The demand for bio-based LAOs as raw materials for surfactants and detergents is growing. This increase is supported by a shift in consumer preferences toward environmentally friendly and biodegradable cleaning products. Consequently, the leading players are investing in plant expansion activities to meet the growing demand. In April 2022, Shell company secured an endorsement from the state Board of Commerce and Industry for an Industrial Tax Exemption Program break for the Geismar project of $1.4 billion. It aims to create a world-scale linear alpha olefin plant for producing detergents, waxes, plastics, and premium lubricants, which will be manufactured at this site. It is the sixth instance of Shell Chemical deploying its proprietary technology to produce linear alpha olefins at one of its locations, as revealed in documents received from the agency.
• The automotive lubricants market grows explicitly due to the demand for synthetic lubricants, which outperform other synthetics because LAOs are indispensable raw materials for synthetic lubricants and lubricant additives. The global automotive lubricants market reached US$ 78.6 Billion in 2023, according to the statistics provided by the IMARC Group. It is estimated to reach US$104.7 Billion by 2032, with a Compound Annual Growth Rate (CAGR) of 3.1% from 2024 to 2032.The rising concern about efficiency and maintenance costs increases the consumption of synthetic lubricants that contain LAOs. Base oils, gear oils, additives, transmission fluids, and engine oils all use LAOs as feedstock.
• The growing awareness of environmental hazards and regulatory requirements to limit carbon emissions have spurred the development of greener alternatives across various industries. Bio-based linear alpha olefins, derived from renewable sources, are emerging as ecologically acceptable solutions to replace petroleum-based LAOs.

Linear Alpha Olefin News

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

Latest developments in the linear alpha olefin industry:

• In 2023, ExxonMobil unveiled an investment of USD $2 billion to manufacture linear alpha olefin (LAO) with the startup of two (2) new chemical production units at Texas, Baytown producing facilities which is a part of their long-term growth plans to supply higher value products from their U.S Gulf coast chemical and refining facilities.

Product Description

Linear alpha olefins are a class of organic compounds with a general molecular formula of CnH2n. They are alkenes, which means they contain at least one carbon-carbon double bond. Linear specifies the compound’s straight-chain structure, emphasizing the absence of any side branches.

Linear alpha olefins are produced by ethylene oligomerization, a process in which a number of ethylene molecules combine to form longer carbon chains. Generally, this production route requires specialized catalysts and reaction conditions to ensure that the resulting LAOs are straight-chain and have the requisite length.

Linear alpha olefins are used in a variety of industries. Additionally, LAOs are widely used as comonomers in various polyethylene types, improving their flexibility, clarity, toughness, and many other characteristics. Surfactants and detergents, particularly high-quality surfactants, are closely related to linear alpha olefins. Linear olefins are also deployed in the formulation of engine oils and other lubricants to provide benefits such as viscoelasticity, thermal stability, and wear protection benefits.

Report Coverage

Key Benefits for Stakeholders:

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