Nippon Shokubai's materials business revenue rose 3.6% in FY2025, driven by higher sales volume and selling prices for acrylic acid and acrylates. Operating profit increased 1.3%. The results indicate strengthening demand and upward price momentum for acrylic acid.
Asia
Asia experienced a notable increase in demand for Acrylic Maleic Copolymer in the first half of 2024, driven by the detergents, water treatment, and coatings sectors. Manufacturers maintained regular production, while buyers adhered to routine purchasing cycles. However, in the second quarter, shipping disruptions among major shipping companies led to higher freight rates, increasing the cost of transporting raw materials.
As a result, suppliers faced a sharp rise in prices due to delays and additional expenses affecting supply chains. In the third quarter, prices stabilized as supply conditions improved and buyers adjusted to the new costs. Upstream raw material costs declined, yet prices surged slightly in the fourth quarter as companies stocked up ahead of the holiday season.
Europe
In Europe, the Acrylic Maleic Copolymer pricing trend closely mirrored that of China. Prices remained stable at the start of the year before experiencing a notable increase in the second quarter. This rise was primarily driven by higher freight rates, partly due to disruptions in Red Sea shipping, which, in turn, raised raw material costs. The impact was significant, as European industries rely heavily on imports, leading to higher prices and supply challenges for manufacturers.
In the third quarter, economic conditions improved, and prices stabilized due to better inventory management and the normalization of shipping routes. In the fourth quarter, prices declined as both raw material costs fell and demand weakened. However, a slight price increase occurred in the final month of the year, as companies stocked up before year-end shutdowns, resulting in last-minute buying.
North America
In North America, Acrylic Maleic Copolymer prices followed the same trend as in Asia and Europe. Prices remained steady at the beginning of the year but surged in the second quarter due to rising geopolitical tensions and increased freight rates. Global shipping difficulties led to higher transportation costs, making raw material procurement more challenging. As the third quarter approached, supply conditions stabilized to some extent. However, in the fourth quarter, prices declined due to falling raw material costs and reduced demand. A slight price increase was recorded in December as buyers restocked before the holiday season.
Analyst Insight
According to Procurement Resource, looking ahead, the Acrylic Maleic Copolymer price curve is expected to witness a fluctuating trajectory in the upcoming quarter.
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Asia
A striking dip in the prices of acrylic maleic copolymer was observed in the last two quarters of 2023 due to insufficient support from the downstream industries. The market fundamentals also wavered on the lower end due to the excessive rise in inventory levels and sudden fluctuations in feedstock prices. Initially, the increasing cost of raw materials favored the surge in the prices of acrylic maleic copolymer, but soon, the inclination turned against the market as the consumer shifted towards other alternatives, leading to a decline in acrylic maleic copolymer price trends.
Europe
The decline in acrylic maleic copolymer price trend was not only limited to the Asian countries as Europe also incurred a similar fate. During both the third and fourth quarters, the acrylic maleic copolymer market failed to acquire sufficient support from the downstream industries. The lack of interest of consumers was based on the economic turmoil being experienced by the European countries, which only caused an inclination in the level of inventories.
North America
Many factors influenced the southwards movement of acrylic maleic copolymer price trends during the last two quarters of 2023. Initially, the bullish run supported by the positive momentum of the paints and coatings industries was halted by the downslide in other downstream industries. The suppliers soon had to revise their quotations to match the existing dynamics of the acrylic maleic copolymer market. Additionally, there were certain instances where inventories surpassed the demand rate by a huge margin, raising the concerns of traders and the manufacturing sector.
Acrylic Maleic Copolymer, a high-density charge polymer, is the copolymer of acrylic and maleic acid. It is thermally stable and can be used at high temperatures. It is widely used in centralized heating and air conditioning. It is a highly versatile cooling system and is often used as a chelating agent in textiles during dyeing processes.
(C21H24O18)n
Cooling Systems, Low-pressure boilers, Chelating Agent, Distillation Units
(z)-2-butenedioic acid polymer with 2-propenoic acid, Maleic acid-acrylic acid copolymer, POLY(ACRYLIC ACID-CO-MALEIC ACID)
Xingrui Industry Co., Limited, Hangzhou Dayangchem Co. Ltd., Xiamen Equation Chemical Co., Ltd
CurrencyUS$ (Data can also be provided in local currency)
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Maleic acid and distilled water are added along with RAFT reagent in the reactor with constant stirring and dissolving. The acrylic acid and peroxide initiator are added slowly at a controlled temperature. The mixture is continuously stirred at a constant speed. Later, an alkali is added to the mix to obtain the desired acrylic maleic copolymer.
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