Phthalic Anhydride Price Trend

Phthalic Anhydride Prices December 2023

The price of phthalic anhydride in the USA for Q4 2023 reached 1330 USD/MT in December. The market fundamentals reached their lowest point caused by rising storage facility stocks and lack of demand from downstream industries. Trade between the USA and Canada was noticeably constrained despite the lower trend in upstream Naphthalene costs, which affected the pricing dynamics of phthalic anhydride.

The imbalance between supply and demand caused phthalic anhydride prices to show a bearish trend in the Asia Pacific region. Upstream, naphthalene prices were steady while those of o-xylene were weak. A weak demand from downstream endeavors led to surplus inventory, eliminating the necessity for replenishment. Prices for phthalic anhydride in China reached 1050 USD/MT in December.

In Europe, phthalic anhydride prices reached 1390 USD/MT in Q4 of 2023. The market is characterized by high supply and low demand for phthalic anhydride. The price of phthalic anhydride saw a little decline in December 2023 due to a drop in the cost of its raw ingredients, ortho-xylene and naphthalene. This reduction in production costs led to a slight dip in Phthalic Anhydride prices overall.

The Q4 2023 phthalic anhydride price was 1470 USD/MT in the Middle East.

Phthalic Anhydride Price Trend, Market Analysis, and News

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

The report examines the elements influencing phthalic anhydride 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.

Phthalic Anhydride Market Analysis

The global phthalic anhydride market size reached US$ 4.4 Billion in 2023. By 2032, IMARC Group expects the market to reach US$ 6.9 Billion, at a projected CAGR of 5.20% during 2023-2032.

• In the agrochemical industry, phthalic anhydride is an important chemical precursor or reactant used in the manufacture of several herbicides and insecticides. Its chemical characteristics enable it to integrate into the molecular structures of these agrochemicals, improving their capacity to suppress undesirable vegetation and pest populations. The incorporation of phthalic anhydride in these formulations aids in enhancing the stability and efficiency of agrochemical products, thereby increasing agricultural output by shielding crops from weeds and pests. This use is critical for preserving crop health and yield, especially in large-scale farming operations where chemical agents are necessary to address a variety of agricultural problems. According to the Food and Agriculture Organization (FAO) of the United Nations (UN) report published in 2023, invading insects cost the world economy about $70 billion a year, and plant diseases over $220 billion annually. In addition, Pests cause an annual loss of 20% to 40% of the agricultural yield of the world.
• Phthalic anhydride is used in the construction sector to create unsaturated polyester resins (UPRs). Fiberglass-reinforced plastics, which are used to make a range of building components, including panels, fittings, and corrugated sheets, use UPRs.
• Phthalic anhydride is an essential element in the automotive sector as it improves the appearance and performance of car parts. It is an essential component in plasticizers, which are used to increase the strength and longevity of materials used in automobile interiors, including wire coatings and dashboard plastics. Phthalic anhydride is also necessary for the synthesis of alkyd resins, which are employed in coatings and paints for automobiles. These resins provide automobiles with a glossy finish and a protective layer that protects against mechanical wear and weathering. Thus, phthalic anhydride contributes to both the operational durability and visual appeal of modern automobiles. As per the statistics provided by the Society of Indian Automobile Manufacturers (SIAM), the industry produced 25,931,867 automobiles between April 2022 and March 2023, which is a notable rise over the 23,040,066 vehicles produced between April 2021 and March 2022. The vehicles produced were passenger automobiles, commercial vehicles, three-wheelers, two-wheelers, and quadricycles.

Phthalic Anhydride News

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

Latest developments in the phthalic anhydride industry:

• June 2023: KLJ Group inaugurated a state-of-the-art Plasticizers and Phthalic Anhydride production facility in Gujarat. The annual production capacity of Phthalate Plasticizers is 300,000 MT and Phthalic Anhydride is 100,000 MT to cater to market demands and expand product range.
• November 2021: IG Petrochemicals Ltd. invested Rs. 345 crores in a brownfield expansion to increase Phthalic anhydride capacity by 53,000 MTPA. The primary objective of this expansion is to meet the growing demand for Phthalic anhydride and address any supply gaps in the market.
• June 2021: Thirumalai Chemicals launched its Phthalic Anhydride plant in Dahej, Gujarat, with a capacity of 24,000 TPA, primarily targeting users in Western India. The investment of Rs 135 Crores, sourced from internal accruals and bank borrowings, underscores their commitment to expansion.

Product Description

Phthalic anhydride is a colorless to white, glossy solid chemical compound that has a faint, distinguishing smell. It is produced predominantly through the oxidation of ortho-xylene or naphthalene in the presence of a vanadium pentoxide catalyst. It plays a key role in the production of plasticizers like dioctyl phthalate, which are necessary for making flexible polyvinyl chloride (PVC) that is used in automobiles and construction. It is essential for the creation of alkyd resins, which are used in paints and varnishes to improve the longevity and visual appeal of products. It also finds application in the production of certain agrochemicals and polyester resins. In addition, phthalic anhydride serves as an intermediary in the production of pigments and dyes. It is employed in the synthesis of anthraquinone, a precursor to a number of colors used in inks and fabrics.

Regional Coverage

The report provides a detailed analysis of the phthalic anhydride 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 phthalic anhydride price trend.

Global Phthalic Anhydride Price

The report offers a holistic view of the global phthalic anhydride pricing trends in the form of phthalic anhydride 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 phthalic anhydride 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 phthalic anhydride 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 Phthalic Anhydride Price

In Q4 2023, the European Phthalic Anhydride market exhibited a bearish trend, with adequate inventory levels meeting domestic demand. Price trends were hindered by low product demand and sluggish purchasing activity in October despite higher naphthalene costs. Reduced downstream Plasticizer demand prompted producers to lower production rates, preventing oversupply. Phthalic anhydride prices decreased in November along with the naphthalene market, which reduced operational expenses.

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

North America Phthalic Anhydride Price

The North American phthalic anhydride market saw a negative trend in Q42023, with low prices in October as a result of excess supply and insufficient demand. Amidst excess inventory and decreased sales from users, manufacturers found it difficult to increase prices. November saw the maintenance of sufficient supply levels as key industrial facilities replenished their stocks to satisfy the demands of the downstream industry.

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

Middle East and Africa Phthalic Anhydride Price

The report explores the phthalic anhydride 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 phthalic anhydride prices for countries can also be provided.

Asia Pacific Phthalic Anhydride Price

The phthalic anhydride market in the Asia Pacific region saw a downward trend in Q4 2023. Suppliers offered discounts to clear stock during Golden Week despite higher trade prices to fulfill downstream agrochemical demand. This was due to large stocks. Price declines for o-xylene reinforced the pattern. Producers slowed output due to excess storage supplies and weak demand from downstream plasticizers, which resulted in a drop in price in November 2023.

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

Latin America Phthalic Anhydride Price

The analysis of phthalic anhydride 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 phthalic anhydride 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 phthalic anhydride 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 phthalic anhydride price charts ensure our clients remain at the forefront of the industry.