Butyl Acrylate Price Trend and Forecast

Regional Price Overview

Get the latest insights on price movement and trend analysis of Butyl Acrylate in different regions across the world (Asia, Europe, North America, Latin America, and the Middle East & Africa).

Butyl Acrylate Price Trend for H1 of 2023

Asia

The price trends for Butyl acrylate in the Asia-Pacific region registered an oscillating pattern in the first two quarters of 2023. Initially, the prices turned positive and rose, given the rise in downstream demand. However, the demand was short-lived, and the prices fell. The fall in the market's productivity due to the holiday season in the Chinese domestic market affected the pricing fundamentals. The prices suffered from the rising uncertainties in the fertilizer market along with the declining demand for sulphuric acid in the regional market.

In addition, the feedstock market also suffered from low sales, and a constant struggle between supply and demand in the region led to a rise in inventory levels. This same lowered trend continued in the fourth quarter. Overall, the butyl acrylate prices kept towards the lower end in Q4 with series to inclines and declines given the market uncertainties. The prices of butyl acrylate averaged around 8485 RMB/MT in the Chinese domestic market in June '23.

Europe

The prices of butyl acrylate plummeted in Europe in view of weak demand and rising inventories. The acrylic acid demand from Asian importers decreased, and the shipments of feedstock increased, which led to an increase in the level of stockpiles in the region. The prices also suffered from the rising competition and see-saw trend followed by the supply-demand equilibria that forced the retailers to sell their products at reduced rates.

North America

The price trends for butyl acrylate in North America were similar to that observed in the European and Asia-Pacific regions. The rising inflation rates in the region supported the declining trajectory of prices. The banking sector increased the interest rates to keep up with the inflation speed, which had a negative impact on the prices of butyl acrylate. As a result, the region's economic activities slowed down, aiding the significant decline in demand, especially from the adhesives and sealant industries.

Analyst Insight

According to Procurement Resource, the price trends for butyl acrylate are expected to remain volatile in the upcoming quarter. The prices are estimated to suffer from low demand from the end-user industries and the weakening of the global economy.

Butyl Acrylate Price Trend for H2 of 2022

Asia

The price trends for butyl acrylate remained on the lower side of the scale during the second half of 2022. The covid mandated shutdowns by the Chinese government, coupled with the power rationing norms, affected industrial production. The falling upstream cost pressure owing to dwindling costs of crude oil and n-butanol further aided this plunge. The lowered demand from the downstream construction and adhesive industries amid the fears of a global recession negatively affected the buying sentiments of consumers, thereby affecting the overall pricing fundamentals of the market.

Europe

The acute energy crisis unveiled by the Russian invasion of Ukraine led to economic backlash giving rise to runaway inflation. With the unprecedented price rise of almost all commodities, the European markets suffered from demand destruction for the second half of 2022. Despite the high upstream cost pressure, the manufacturers were forced to lower their quotations given the weak demand. With the normalization of supply chains and opening of ports in the fourth quarter, no significant rise in the butyl acrylate prices was seen. Overall, the price trends for butyl acrylate kept negative.

North America

The US domestic market mimicked the global outlook in terms of prices and demand for butyl acrylate. The falling feedstock prices, oversupplied inventories, and plunging demand caused the price trends to decline. The port congestion and supply chain disruptions did not impact the market's falling fundamentals. The manufacturers actively participated in destocking to make room for new production.

Analyst Insight

According to Procurement Resource, the price trends for butyl acrylate are likely to remain negative in the coming quarter. As the supply chains stabilize and markets open for trade, the rate at which the demand rebounds (provided the other market variable holds constant) will dictate the trends for butyl acrylate.

For the Second Quarter of 2022

Asia

As the major Asian economies had divergent market emotions for butyl acrylate in Q2 2022, the Asian market as a whole displayed conflicting sentiments. After the pandemic restrictions were lifted China tried to return to normalcy, however the factories were not working at optimum rates. Due to the nation's zero covid policy, manufacturers in the country were always threatened by the possibility of a fresh wave of new cases, which had the potential to trigger new restrictions.

The price trends for butyl acrylate fell in the last month of the quarter after climbing for the previous two. The price of butyl acrylate was roughly 2210 USD/MT in the first week of May in China. On the other hand, the price dropped in June as a result of a lacklustre domestic and specialised customer demand.

Europe

Despite the ongoing war situation in the market, butyl acrylate prices increased throughout the quarter across the European market due to stable fundamentals in downstream sectors' demand. Because of growing feedstock values and inflationary pressure brought on by rising natural gas costs, butyl acrylate prices increased on the domestic market.

On the supply front, the German market saw constrained supplies as producers were under pressure due to decreased production rates and rising upstream prices. Furthermore, butyl acrylate prices increased in the European market due to high freight costs and ongoing logistical difficulties. The average price for butyl acrylate in April was estimated to be USD 3228 USD/MT FD Hamburg.

North America

The Butyl acrylate market was under constant inflationary pressure during the quarter as producers had to adjust their product prices to maintain profit margins. The Russo-Ukrainian war increased the upstream costs which had an impact on the pricing of several commodities on the US market, including butyl acrylate.

After the conflict intensified, a significant shift in demand for natural gas from Europe was seen, shifting from Russia to the USA. This led to a sharp increase in the price of gas on the domestic market. High natural gas prices put downstream consumers under inflationary pressure and unease throughout the market.

Analyst Insight

According to Procurement Resource, the market for butyl acrylate will remain sluggish in the upcoming quarter. With stagnant buying sentiments fueled by the speculations of global recession and pandemic-related supply disruptions in the industrial powerhouse China, acrylates prices are affected worldwide. Moreover, the low consumption levels from the electrical and paint/adhesives sector further affect the pricing patterns.

For the First Quarter of 2022

Asia

Butyl Acrylate saw a rise this year after seeing a steady fall in pricing during Q4 2021. The general price dynamics for the commodity across regional markets were supported by economic recovery and stable to firm offtakes. However, the conflict between Russia and Ukraine pushed up the price of upstream crude oil, affecting the cost of the feedstock acrylic acid in the region.

However, in China, lunar holidays combined with the Beijing Olympics contributed to a sharp increase in the price of a variety of goods, including butyl acrylate, in the local market. Butyl acrylate prices in India in February 2022 were roughly USD 2234/MT.

Europe

The European market is principally impacted by the Russia-Ukraine conflict, which has caused significant disruptions across the area as a result of the abrupt escalation of the war situation. The expected rise in natural gas prices, along with the rising price of crude oil, created uncertainty in the worldwide market, shaking market fundamentals for regional purchasers.

Due to their reliance on Russian natural gas, several German manufacturers have been heard opting for an energy surcharge, encouraging dealers to adjust their offerings on a regular basis. Furthermore, due to a persistent rise in crude oil value amidst disrupted trade activity along the Black Sea, the price of feedstock acrylic acid increased dramatically across the regional market. However, the price of the monomer in the European market remained stable during the quarter.

North America

Despite the pressure from global concerns, butyl acrylate prices in the US market continued to rise during the quarter. The product's demand fundamentals remained stable, but improved economies and rising input costs pushed price revisions in the North American market.

Furthermore, since WTI and Brent crude oil prices surged dramatically during this quarter, tensions between Russia and Ukraine remained a key factor in the sharp rise in prices of feedstock acrylic acid in the US market. According to the estimates, butyl acrylate prices in February hovered at 2355 USD/MT, which was still 8% lower than October pricing.

For the Fourth Quarter of 2021

Asia

Due to poor offtakes from the domestic market, the whole acrylic acid market in China was boring throughout this fourth quarter. Production restrictions imposed to decrease emissions already lowered downstream consumer demand, influencing the price trend of acrylic acid and its derivative chemicals, notably butyl acrylate.

Meanwhile, despite varying raw material costs, pricing in the Indian market remained low during this quarter. Due to low demand during the holiday season, dealers were heard modifying their offers in order to maintain offtakes, while raw materials were also following the declining demand trend. However, as a result of the Omicron threat, raw material prices have begun to rise. Finally, in November, the price of the monomer hovered about USD 2502/MT after a steady fall.

Europe

Throughout the fourth quarter, the European market remained stable in terms of product price movement. During October and November, an exponential rise in energy costs kept raw material prices high, but demand fundamentals varied in a small to steady range.

Long-term buoyancy was noted for butyl acrylate throughout this era, according to the research, owing to continuously shifting raw material costs in key European nations such as Germany, the Netherlands, and Russia. Despite the fact that butyl acrylate prices continued to fall during the quarter, prices in Germany remained extremely high in November, at USD 1825/MT.

North America

Butyl Acrylate market dynamics revealed conflicting feelings in the North American market, while demand fundamentals in the domestic market remained constant to solid. Raw material costs also fluctuated, whereas n-Butanol prices remained stable. Acrylic Acid pricing in the US market followed a distinct trend.

Feedstock prices had been rebounding from the effects of the February freeze, which impacted the price of its downstream products. Furthermore, during November's Asian trade, crude oil prices plummeted due to growing concerns about pandemic-related uncertainty. Finally, due to low feedstock prices, butyl acrylate prices in the US market varied in a limited range during the quarter.

For First, Second and Third Quarters of 2021

Asia

Because of the considerable spike in the price of feedstock acrylic acid, butyl acrylate prices in Asia saw a significant increase in Q3. Furthermore, throughout this era, the value of the monomer increased due to increased demand from downstream industries and restricted product supply. However, the Chinese market saw a drop in upstream n-Butanol pricing, which was ascribed to the producers' ease in providing bids.

Furthermore, decreased production rates as a result of China's new energy policy caused ripples across the market. As a result, the FOB Wuhu-China monthly average in September was 2868 USD/MT, an increase of 852 USD/MT over July's rates. Similarly, the market in India witnessed a strong uptick, owing to decreasing imports of the feedstock and strong demand. However, due to cheaper n-Butanol and improved imports, butyl acrylate prices fell somewhat in September. As a result, Ex-Hazira prices in July were 2887.09 USD/MT.

Europe

Early in the third quarter, certain European Acrylates companies announced maintenance shutdowns, restricting regional supplies. To make up for losses in past quarters, leading manufacturer Arkema announced an increase in EU Acrylic monomer pricing compared to the previous quarter.

ABS (acrylonitrile-butadiene-styrene) was benefiting from high margins as demand increased. Spot ABS prices were seen increasing by double digits as buyer reaction improved as the year progressed.

North America

The monomer’s price increased in the third quarter of 2021 due to high demand and constrained supply in North America. Acrylic Acid, which serves as its feedstock, had seen its price rise steadily, putting downward pressure on the monomer and its downstream products. Furthermore, by the end of August, Hurricane Ida in the United States had interrupted not only the operation of various production units, including Butanol and Acrylic Acid, but also the supply chain throughout the international market.

Dow, for example, was forced to shut down its Acrylic Acid factory in August owing to power shortages caused by Hurricane Harvey. Besides, there was considerable growth in the usage for the monomer from downstream paints, adhesives, and coatings sectors after the revival in the industrial and commercial activity which further supported this higher price trajectory in North America.

Procurement Resource provides latest prices of Butyl Acrylate. Each price database is tied to a user-friendly graphing tool dating back to 2014, which provides a range of functionalities: configuration of price series over user defined time period; comparison of product movements across countries; customisation of price currencies and unit; extraction of price data as excel files to be used offline.