Asia
The meta-xylene prices in China oscillated in a narrow range due to high freight rates and limited ship availability, hindering trading activities. The strong demand from the downstream industry further, although supported by an uptrend in prices, contributed to an upward trend in the regional market. Similarly, in India, meta-xylene prices saw a notable increase driven by heightened buying interest from the downstream isophthalic acid industry, leading to short-term supply constraints. Despite recent rallies in crude oil prices lowering domestic production costs, feedstock mixed xylene prices decreased, having minimal impact on meta-xylene prices.
Additionally, domestic manufacturing firms reduced production rates due to a heatwave, resulting in limited material availability to meet existing downstream demand. Imports from South Korea, Singapore, and China into India also decreased due to severe port congestion in Asia causing significant delays in vessel schedules. The surge in ocean rates for Far East trades to India, coupled with ongoing congestion, exacerbated vessel schedule and space availability pressures, further influencing the meta-xylene price trajectory.
Europe
In Europe, meta-xylene prices edged lower during the second quarter of 2024, following a decline in feedstock prices. Despite stable demand from downstream derivatives supported by moderate inventories across the region, the downward adjustment in meta-xylene prices persisted. In the German market, prices continued to decline, with limited support from feedstock mixed xylene prices, which remained lower domestically.
The demand from the isophthalic acid industry also remained moderate, driven by steady consumption in the PET resin sector. Despite lower operating rates, sufficient material availability prompted manufacturers to adjust their offers downward in the domestic market. The overall stability in demand and ample inventories contributed to the declining price trend of metaxylene in Europe during this period.
North America
The North American market mirrored similar trends observed in Asia and Europe as the prices experienced consistent fluctuations throughout the second quarter of 2024. The interplay of feedstock costs, regional demand fluctuations, and logistical challenges exerted a significant influence on meta-xylene prices. Therefore, significant disruptions in supply chains and changes in downstream industry demand played crucial roles in determining the southward-moving price trajectory in this region.