Propylene Oxide Prices

Propylene Oxide Prices June 2024

The propylene oxide prices in the United States for Q2 2024 reached 1,625 USD/MT in June. The country experienced several fluctuations owing to various factors. While prices remained relatively stable for the most part, minor fluctuations occurred as feedstock propylene prices varied. Furthermore, the market observed a surge in prices at the end of the quarter, driven by the peak in shipping prices.     

The price trend for propylene oxide in Japan for Q2 2024 was 1,075 USD/MT in June. The market exhibited notable volatility, with an overall price increase in the quarter. Prices initially dipped but then stabilized for a period. This stability, despite broader market fluctuations, was driven by a balance between moderate demand and supply constraints.

Germany’s propylene oxide prices for Q2 2024 reached 1,530 USD/MT in June. Price changes were most significant, and the trend remained steadily downward during the quarter. Seasonal factors like reduced demand in the early summer months, along with operational disruptions on account of floods in the Rhine valley, contributed to the decline in prices.

Propylene Oxide Prices December 2023

The propylene oxide prices in the United States for Q4 2023 reached 1305 USD/MT in December. The market was stable initially but fell as the quarter progressed due to lower feedstock propylene costs and weak energy prices. Additionally, despite subdued construction demand, commercial construction saw a rise in polyurethane procurement. Consumer spending remained robust, particularly in pharmaceuticals, driven by rising healthcare prices. Towards the quarter’s end, prices increased slightly due to higher shipping costs.

The price trend for propylene oxide in China for Q4 2023 reached 1307 USD/MT in December. The country’s demand for propylene oxide saw fluctuations, with prices stabilizing mid-quarter but falling by December. Import levels remained high, primarily from North America and Europe. Moreover, the demand from the construction sector remained low, although the market saw growth in heat insulation and energy-efficient refurbishments. By the quarter's end, prices stabilized amidst lower new inquiries owing to ongoing logistical challenges.

The price trend for propylene oxide in Europe for Q4 2023 reached 1625 USD/MT in December. The prices fluctuated in this quarter, with a spike in November due to supply disruptions. The demand from the commercial construction sector showed a brief increase, although this momentum slowed down towards the end of the quarter due to winter and logistical issues. Consumer demand in the pharmaceutical and cosmetic sectors provided some stability, but overall market conditions remained mixed.

Regional Coverage

The report provides a detailed analysis of the propylene oxide 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 propylene oxide price trend.

Global Propylene Oxide Price

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

The report also delves into propylene oxide 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 propylene oxide 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 Propylene Oxide Price

Q2 2024: 

In Europe, the propylene oxide market in the second quarter of 2024 faced a weak pricing trend, with some periods having moderate recovery. The primary factors contributing to the price decline are oversupply, increased inventory levels, and low demand from downstream polyol producers. Additionally, fluctuations in crude oil prices, with Brent crude rising, put upward pressure on feedstock propylene costs. In addition, the European market experienced bearish market dynamics owing to subdued activity in sectors like construction. The market was further worsened by adverse weather conditions that impacted construction permits and overall demand.

Q4 2023:

In Europe, propylene oxide prices showed varied trends during the fourth quarter of 2023. There was a notable price hike in November, majorly due to a closure and the shutdown of Spain's Repsol Quimica facility. Lowered costs of feedstock and reduced energy costs also contributed to the overall price fluctuations. Moreover, supply remained mostly domestic, with lower construction demand and accumulated orders, though there was a brief uptick in polyurethane procurement from the commercial construction industry. The market remained relatively strong due to pent-up demand and festive seasonality. However, prices pulled back towards the end of this quarter owing to increased shipping rates and container shortages exacerbated by the Suez Canal and Panama issues.

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

North America Propylene Oxide Price

Q2 2024:

The North American propylene oxide market saw notable price fluctuations during Q2 2024 due to a combination of supply and demand factors. Early in the quarter, propylene oxide prices began to rise, driven primarily by increased upstream propylene costs. These costs were influenced by supply constraints, geopolitical tensions, and scheduled refinery maintenance. In line with this, the anticipation of tropical hurricanes led to uncertainty in feedstock prices, thereby tightening market conditions. Furthermore, the United States experienced the most significant fluctuations.

Q4 2023:

In the final quarter of the fiscal year 2023, propylene oxide prices in North America exhibited mixed trends. The quarter started with steady prices, but a decline followed due to lower propylene costs and feeble energy costs. This trend was influenced by diminished demand for polypropylene and robust US gas and crude production. The supply remained largely domestic, with subdued construction demand resulting in delayed orders. However, the construction sector saw a rise in polyurethane procurement. Consumer demand in pharmaceuticals and body care segments stayed strong despite increasing healthcare costs. Polymer and automotive industries also continued to drive the demand for propylene oxide derivatives.

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

Middle East and Africa Propylene Oxide Price

The report explores the propylene oxide 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 propylene oxide prices for countries can also be provided.

Asia Pacific Propylene Oxide Price

Q2 2024: 

The propylene oxide market in the Asia Pacific region in Q2 2024 showcased a mixed price movement influenced by various market dynamics. Several factors shaped the pricing trends such as supply constraints, currency fluctuations, and high demand from automotive, construction, polyols, and personal care sectors. Key production facility closures and maintenance exacerbated supply shortages, while the bullish propylene markets pushed up feedstock costs, leading to higher product prices. Additionally, rising logistical challenges and freight costs further contributed to the high pressure on prices, with suppliers facing increased premiums. 

Q4 2023:

During the last quarter of the fiscal year 2023, propylene oxide prices in Asia Pacific fluctuated, with stability in the first half, followed by a sharp decline in December. This drop was driven by lower feedstock propylene costs and weak energy prices, partly due to oversupply and strong US crude production. Supply remained steady, with significant imports from North America and Europe. Additionally, construction-related demand was weak, with orders stocking up, though the construction sector saw some growth in polyurethane procurement. Moreover, consumer spending continued to remain low due to high financial debts. Additionally, the rising demand for refurbishments and heat insulation also continued to rise in some regions, driven by government initiatives for energy efficiency.

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

Latin America Propylene Oxide Price

The analysis of propylene oxide 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.

Propylene Oxide Price Trend, Market Analysis, and News

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

The report examines the elements influencing propylene oxide 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.

Propylene Oxide Market Analysis

The global propylene oxide market size reached US$ 21.0 Billion in 2023. By 2032, IMARC Group expects the market to reach US$ 32.4 Billion, at a projected CAGR of 4.80% during 2023-2032.

• The propylene oxide is largely utilized in the production of polyurethanes, which has extensive applications in foam insulation, bedding, and furniture.
• Stringent environmental regulations in several countries regrading emissions and sustainable practices are driving the market dynamics of propylene oxide.
• As per IMARC Group’s report, the global propylene glycol market size reached US$ 4.3 Million in 2023. Propylene oxide is gaining traction as a key raw material for producing propylene glycol, which is used as a solvent, antifreeze agent, and humectant in industries, such as pharmaceuticals, cosmetics, food processing, and automotive fluids.
• Ongoing research and development (R&D) activities are focusing on enhancing production processes, improving product quality, and reducing production costs of propylene oxide.
• The market share is also expanding due to propylene oxide's increased demand in the chemical, automotive, and electronic sectors, owing to rising industrialization and urbanization in emerging nations.
• The market is propelling due to the growing employment of propylene oxide in the synthesis of pharmaceutical intermediates and active pharmaceutical ingredients (APIs). It serves as a building block to produce antibiotics, antifungal agents, anesthetics, and other pharmaceutical compounds.
• A positive trend for the market is also being created by the increased use of propylene oxide in the wastewater treatment and disinfection applications, to control microbial growth and improve water quality. As per the United Nation (UN) report of 2021, globally 56% of household wastewater flows were safely treated in 2020.
• The growing shift towards bio-based propylene oxide, produced from renewable feedstocks like biomass or waste materials, is supporting the market growth.
• The increasing adoption of propylene oxide in the petrochemical industry as a fuel additive to improve the octane rating and combustion characteristics of gasoline, enhancing engine performance and reducing emissions.
• The growing demand for aerosol products, such as spray paints, insecticides, air fresheners, and personal care products is bolstering the growth of the market.

Propylene Oxide News

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

Latest developments in the propylene oxide industry:

• In 2022, AGC Chemicals Americas announced its collaboration with Deveraux Specialties due to their presence in the cosmetics and personal care industries and their focus on natural, functional and future-friendly products.
• In 2024, BASF Monomers and Xuchuan Chemical further strengthen strategic partnership to reduce carbon emissions in the production of polyurethanes for the industry.

Product Description

Propylene oxide (PO), formally 2-methyl oxirane, is a low-boiling liquid useful for making many commercial materials. It appears as a clear, colorless, volatile liquid with an ethereal odor. It can be produced through several technologies, like the Shell proprietary 'SM/PO' process. Due to its excellent chemical properties, it is known as a universal reagent.

The initial method for producing PO was chlorinating propylene in water to give a mixture of chlorohydrins, followed by dehydrochlorination with potassium hydroxide. Subsequently, this process developed was the direct result of oxidizing propylene with an organic hydroperoxide.

Propylene oxide is used in the production of polyethers and propylene glycol. It is also utilized in the fumigation of foodstuffs and plastic medical instruments. Besides this, it is employed in the production of di propylene glycol and glycol ethers, as herbicides, as solvents, and in the preparation of lubricants, surfactants, and oil demulsifiers.

Report Coverage

Key Benefits for Stakeholders:

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