- 1,3-Propanediol prices followed a stable-to-firm trend in Q1 2026 as freight, energy, and petrochemical feedstock risks increased after the Iran war disrupted Strait of Hormuz-linked trade routes.
- Feedstock pressure varied by production route. Bio-based producers were supported by corn-derived glucose availability, while petrochemical routes faced higher naphtha, ethylene, and logistics pressure.
- Downstream demand from PTT/polyester, cosmetics, coatings, functional fluids, polyurethanes, and personal care stayed steady, with buyers purchasing mainly for near-term requirements.
Asia
In Asia, 1,3-Propanediol prices moved firm during Q1 2026 as the region faced stronger exposure to petrochemical feedstock and freight disruption. Asia’s naphtha-dependent chemical chain came under pressure after the Iran war disrupted Middle East-linked cargo flows. Regional operating concerns increased as Chinese naphtha-fed crackers were expected to reduce operations by 20.0%, while a South Korean cracker cut rates by 20.0% to 63.0%-65.0% from 83.0%-85.0% in February. This raised replacement-cost pressure for petrochemical-based PDO and related intermediates. Downstream demand from polyester, coatings, cosmetics, and industrial applications remained stable but cautious.
Europe
Europe recorded a firm 1,3-Propanediol trend in Q1 2026, mainly due to higher energy, naphtha, and ethylene-chain costs. The March ethylene contract settled higher from February, reflecting stronger naphtha pressure after Middle East tensions. Since PDO routes and solvent/intermediate markets are exposed to petrochemical feedstock shifts, buyers faced higher replacement-cost expectations. Demand from cosmetics, coatings, functional fluids, and polymer applications stayed steady, but procurement remained need based.
North America
North America stayed comparatively balanced because bio-based PDO supply and corn-derived feedstock availability supported the regional market. The main product-side development was the completion of full ownership transfer of a major BioPDO business effective February 27, 2026, supporting supply continuity. Freight risk still affected sentiment, as polymer transactions from Asia and the Middle East to the Americas slowed on March 2. US Gulf Coast chemical container exports rose 12.0% in March, with 20.0% surge capacity available, helping regional logistics remain flexible.