Cumene Price Trend and Forecast

Cumene Regional Price Overview

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

Cumene Price Trend for the Q4 of 2024

Asia

In Asia, the Cumene market faced some pressure due to the fluctuating prices of its key feedstocks, benzene and propylene. The ongoing supply-side challenges were exacerbated by maintenance activities in key production units, which resulted in tighter supply.
 

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The price of benzene saw an upward trajectory in early November, while propylene prices remained volatile, further complicating the market outlook. As downstream demand weakened due to off-season procurement, especially in the plasticizer and other derivative markets, the overall demand for Cumene in Asia remained subdued. Buyers adopted a cautious approach, resulting in limited transactions and a relatively stable to slightly declining price trend by the end of December.

Europe

In Europe, the Cumene market mirrored the global trend, with some regional variations in response to supply and demand forces. The rise in feedstock benzene prices early in November provided upward support for Cumene prices, but the lacklustre demand in key downstream sectors like plastics and chemicals kept prices from rising significantly. Maintenance-related supply disruptions from refineries in key producing countries added to the market's volatility. However, by December, with the softer demand and the accumulation of inventory at ports, prices began to stabilize, as the market adjusted to a weaker demand outlook. In addition, a stronger U.S. dollar impacted European imports, contributing to price stability despite global economic uncertainties.

North America

In North America, the Cumene market experienced a relatively more stable trend, supported by the stability in feedstock prices for both benzene and propylene. However, demand remained tepid, driven by the off-season and lower procurement activity from downstream industries. The supply situation was relatively balanced, with few disruptions reported. Even as propylene prices showed slight increases, the overall pressure from weak downstream demand kept Cumene prices in check. Producers in North America, similar to their counterparts in other regions, remained cautious in their approach to new contracts, focusing on managing inventory and ensuring that price movements were in line with downstream market conditions.

Analyst Insight

According to Procurement Resource, Cumene prices are expected to continue facing downward pressure from weaker demand and possible fluctuations in feedstock prices. The balance between supply disruptions and demand recovery will dictate the market’s short-term outlook.
 

Cumene Price Trend For the Q3 of 2024

Asia

During the third quarter of 2024, the prices of cumene fluctuated intensely given the weak market performance of feedstocks benzene and propylene. This weak upstream cost support coupled with the tepid downstream demand heavily impacted the price trends for cumene. The continual tensions in the Middle East affected the crude oil prices which in turn impacted the petrochemical and allied industries.

The spot prices of feedstock benzene kept on the lower side of the scale throughout the said period. Although propylene started strong in July but soon the momentum fizzled out as the market adopted a cautious buying approach. Overall, the weak upstream cost support coupled with bearish downstream demands kept the cumene prices towards the lower end of the scale.

Europe

The European market witnessed extreme volatility given the current conflicts in its backyard. The persistent geopolitical tensions heavily affected the market confidence with more buyers adopting a cautious approach. The crude oil prices fell which impacted the petrochemical and allied sectors. The falling prices of both feedstocks- benzene and propylene negatively impacted the cumene industry which was already battling with low downstream demand. Hence, both these factors contributed towards the lower dynamics of cumene prices.

North America

The US domestic market mimicked the trends as seen in its European and Asian counterparts. The falling crude oil prices coupled with bearish downstream sentiments impacted the said market. Although there was a short-lived period of rebound in the middle of the quarter, soon the weak macroeconomic factors took over resulting in an overall falling trajectory.

Analyst Insight

According to Procurement Resource, the prices of Cumene are expected to remain volatile in the coming months given the current fragile state of world economy. The unrelenting geopolitical escalations amidst falling oil prices and tepid demand will likely impact the concerned market.
 

Cumene Price Trend for the Q2 of 2024

Asia

Cumene, also known as isopropyl benzene, is industrially produced primarily through the alkylation of benzene with propylene. Therefore, the fluctuations in its feedstock chemicals or the petrochemical sector drive the price fluctuations in global cumene markets as well. During the second quarter of the year 2024, the crude oil sector saw some temporary normalization in prices influenced by the upswing in the previous quarter.

Especially since both India and China enjoyed uninterrupted access to Russian oil, their inventories, and oil storages were generally full. This kept the upstream dynamic for cumene under check. Industrially, cumene is significant because it is a key intermediate in the production of phenol, acetone, and other crucial chemicals. Other sectors like plastics, paints, and adhesives also find cumene important for various purposes. Despite such extensive applicability, the supportive stock volumes kept the prices confined for cumene during Q2’24.

Europe

The downturn in the Asian markets influenced the cumene prices in the European markets. Along with the further progression of the Russia and Ukraine war, the tensions in the Middle East were also heated up. However, the armed confrontation between Israel and Iran did not escalate as per prior expectations. This saved the associated markets, especially the petrochemical markets, from any sudden and unforeseen deviation. To counterbalance the global oil and its associated markets, the OPEC countries discussed the extension of their voluntary production cuts further. In the coming days, this approach might help the cumene market to stabilize. However, during the concerned span, the prices rendered a dull outlook for the major part.

North America

The trajectory of the American cumene market was not much different from the Asian or European markets during the given period. An increased level of inventories was driving the prices southward as the upstream dynamics dwindled. With some occasional variations, the prices remained riddled for the most part. The anticipated delays in the interest rate cuts kept the US Dollar strong throughout affecting the commodity prices negatively.

Analyst Insight

According to Procurement Resource, the Cumene prices will likely not show any improvements in the near months; the market will take some time to regain its momentum going forward.
 

Cumene Price Trend for the Q1 of 2024

Stay updated with the latest Cumene prices, historical data, and tailored regional analysis
 

Asia

In Asian countries, cumene acts as an intermediate in the production of phenol, acetone, acetophenone, and styrene. During the initial months of the quarter, a problem of oversupply restricted the growth potential of the cumene market and hindered its upward trajectory.

During this duration, the surge in the volatility of feedstock benzene further raised the concerns of the traders. However, as the quarter progressed, the prices of downstream chemicals such as phenol started to rise due to limited availability of raw materials and inclining overseas demand, which in turn raised the procurement rates of cumene and helped in the northward movement of its price trend.

Europe

The cumene market in Germany saw a consistent incline in its pricing trajectory due to rising costs of upstream raw materials, elevating manufacturing expenses. Further, the diminished operating rates of manufacturing firms constrained the supply chains, reinforcing an upward price trend in the prices of cumene. The market also seemed to be driven by escalating raw material expenses such as benzene and crude oil.

Additionally, demand from the construction sector remains unchanged, but factors like a rise in interest rates and uncertainties in monetary policies adopted by the government restricted the expansion of the market and its pricing patterns. The tensions at the European ports, aggravated by the ongoing Israel-Hamas war and increasing sanctions on Russian imports, eventually narrowed the growth trend of the market and resulted in only a subtle incline in cumene prices.

North America

The cumene prices held steady amid the consistent attempts of the traders to balance production costs with demand from various sectors like methyl methacrylate, bisphenol A, and solvents. However, the continuous rise in benzene prices domestically impacted the price trend of cumene positively.

In other industries like energy and pharmaceuticals, similar investment trends were emerging, while the pressure of US inflation and banking crises seemed to be declining, favoring the uptick in industrial activities of the region. However, in the initial months of the quarter, the incline in cumene inventories attributed to refinery restarts post-winter shutdowns prompted the producers to reduce their operational rates in accordance with the demand dynamics, limiting the surge in cumene price trend.

Analyst Insight

According to Procurement Resource, the price trend of Cumene is estimated to grow on the back of increasing number of investments in this sector but uncertain demand dynamics of the product might emerge as a challenge for the global traders.
 

Cumene Price Trend for October - December of 2023

Asia

Cumene or isopropyl benzene is an important chemical compound that is used in various chemical processes and is extensively used to produce phenol and acetone. Cumene’s market performance in the Asian region during the final three months of the year 2023 was observed to be very average. Even though the market sentiments were largely positive during this time, the price trend reflected borderline stagnancy as they fluctuated within confined limits for the majority of the period.

These variations in the cumene price graph were directed primarily by the market trend of its feedstock materials, benzene, and propylene. Since benzene’s price trend were not as supportive in providing any substantial upstream cost support, market demands from the cumene-consuming industries held up the market outlook by positively balancing the supply and demand dynamics for cumene.

Europe

The European cumene market performance was not much different from the Asian market as the feedstock benzene costs and downstream demands drove the market sentiments here as well. With the festive season around the corner, industrial consumption dipped, and the price trend also started regressing. Overall, mixed market sentiments were observed.

North America

The North American cumene market, too, followed its Asian and European counterparts. With a price graph oscillating within limited ranges, the market trend were more or less stable during the given time. Market offtakes pushed the market forward, but the production costs were under check and evened out the supply and demand equation.

Analyst Insight

According to Procurement Resource, not much change is expected in the Cumene markets in the coming quarter as well. Inventories are well-supplied and are able to cater to the projected demands.
 

Cumene Price Trend for the July - September of 2023

Asia

The Asian cumene markets noted surging trend during the third quarter of the year 2023. Cumene price trend were positive, and the price graph showcased affluent growth. Various factors drove the cumene price trend uphill, but the market demands posed by various consuming sectors contributed the most.

With the rising construction sector, particularly in India and China, the downstream demands from the paints and adhesive industries surged, and likewise, the market grew. Another important market driver was the rising crude oil market. Since the production costs surged with the bullish trend in crude oil markets, the Cumene registered an elevated price point consistently during the said period.

Europe

In the European market sphere as well, all the factors were working in favour of the cumene price trend as the price graph showed a stable rising pattern for the entire period of Q3’23. The downstream consumption sectors were posing market queries regularly. Further, the suppliers also had to import Cumene from other markets like Asia at higher prices in order to fulfil the growing demands. Overall, positive market sentiments were observed.

North America

Even though the American cumene market had a slow start, conflicting with the global trend, the pricing outlook soon shifted upwards here as well. Because of the difficult economic situation, the regional consumption sectors were struggling; however, the market caught up with the global price patterns as the upstream costs rose. The general market sentiments were mixed throughout the said period.

Analyst Insight

According to Procurement Resource, fluctuations are anticipated in the Cumene markets going forward, given the current market conditions and pricing fundamentals.
 

Cumene Price Trend for the First Half of 2023

Asia

Cumene observed mixed price trend throughout the first half of 2023. As the Chinese markets started opening after the lockdown restrictions, fresh demands from downstream plastic and paint industries boosted the market. These positive trend continued throughout the first quarter as procurement increased because of the Chinese Lunar New Year holidays.

But as the stocks started piling up because of rampant supplies, the market sentiments started deviating. As the quarter shifted, the demands started decreasing, and the inventories started rising, causing the cumene price trend to decline. Overall, the first quarter witnessed a rise and the second quarter saw a decline in cumene prices.

Europe

In the European cumene market, similar market sentiments to the Asian market were observed. Prices ran high for most of the first quarter, owing to the increased trade activities and demands from the downstream industries as the supply chains and crude oil prices started stabilizing amidst the ongoing Russia – Ukraine conflict. These trend continued till mid-Q2, but as the inventories started rising and demands started declining, the cumene prices also started decreasing and stayed low, swinging till the end of June’23.

North America

Cumene prices rose in the first quarter in accordance with high market demands and good upstream cost support from the feedstock materials. But as the quarters shifted, the market sentiment reversed, and prices went downhill with lowered market offtakes. With a series of inclines and declines, the cumene market fluctuated throughout the first half of 2023.

Analyst insight

According to Procurement Resource, the Cumene market is expected to behave in a similar manner in the upcoming months, given the unsettled pricing fundamentals and market dynamics.
 

Cumene Price Trend for the Second Half of 2022

Asia

The prices of cumene kept on the lower side of the scale in the Asia-Pacific region during the said period. This fall was due to the weakening of crude oil prices and rising inflation in the region which deeply affected the demand fundamentals.

The Asian currencies also took a major hit, and this impacted the demand for cumene in the domestic and international sectors. Many manufacturing units shut their production considering the new power rationing norms and high production costs. The downstream industries such as phenol and acetone saw a dip in their prices along with their demand, thereby affecting the overall price trend for cumene.

Europe

In the European region, the Russia-Ukraine conflict had serious implications for the commodities market. The lower cost support from the crude oil sector was somehow managed by the feedstock market but the declining demand had a negative impact on the cumene price trend.  The cheaper options from the Asian markets further affected domestic demand. Along with that, the doom of recession shadowed the region and led to a decline in cumene prices.

North America

The downward trend in the cumene prices was consistent in the North American region in both the third and fourth quarters of 2022. The rising inflation, decreased inquiries, and declining demand from the end-user industries severely affected the cumene market.

Analyst Insight

According to Procurement Resource, the price trend of cumene are expected to improve in the upcoming quarter given the steady improvement in the supply-demand dynamics. The demand is expected to turn positive in the coming months, however, it will be subject to occasional fluctuations.
 

Cumene Price Trend For the First Half of 2022

Asia

The price trend of Cumene remained strong throughout the Asian market during the first half of the said year. With the surging costs of crude oil and feedstock benzene and propylene amid the strong demand from automotive and chemical industries, the cumene prices increased in the domestic market.

However, a slight dip was seen in the prices because of the renewed production after removing covid restrictions, but soon the robust demand outmatched the supply and caused the prices to rise again. The cumene price averaged 1415 USD/MT in India, while feedstock benzene averaged 1410.58 USD/MT in China.

Europe

The staggering energy crisis unleashed in Europe owing to the Russia-Ukraine geopolitical confrontation caused the crude oil and natural gas prices to reach an all-time maximum. The feedstock benzene and propylene cost surged, averaging $1427/ton FOB Hamburg and 929.5 USD/MT CIF Northwest Europe, respectively. However, the prices stabilized towards the end of the second quarter as the upstream costs relaxed along with high-cost inflation and demand destruction.

North America

The US domestic market closely mimicked its European counterpart. The price trend of Cumene soared owing to the high crude oil prices, freight charges, labour shortages and trade bottlenecks. The cumene prices averaged 1240 USD/MT during the said period. The prices soared during the second quarter due to the solid downstream demand from phenol and acetone manufacturers.

Procurement Resource provides latest prices of Cumene. 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.