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Asia
In the Asian region, Dichloromethane prices demonstrated a mixed performance throughout 2024. The year started with a consistent decrease in Q1, as weak market fundamentals pushed prices down. The market stabilized in Q2, primarily underpinned by balanced supply-demand dynamics.
By Q3, the region experienced an upward price trend driven by increased demand from paints, coatings, adhesives, and pharmaceutical industries. The fourth quarter saw significant price volatility in China, with increases in October and November due to rising feedstock costs, followed by a decline in December as trading atmosphere weakened.
Europe
Europe's Dichloromethane market faced a challenging yet dynamic 2024. Q1 began with a bearish pricing environment characterized by declining prices due to sluggish movement and subdued buying activities. The market shifted to an upward trend in Q2, supported by heightened demand from downstream solvent industries. This stability continued through Q3, with Germany experiencing minor fluctuations. The final quarter displayed mixed trends, with prices declining in October, rising in November with seasonal increases from the paints sector, and surging sharply in December driven by significant supply disruptions in the Methanol market.
North America
The North American Dichloromethane market experienced significant volatility throughout 2024. The year began with a downward trend in Q1, driven by weak demand from the solvent and refrigerant sectors coupled with high inventory levels. By Q2, prices fell further as oversupply issues intensified, with major manufacturing plants increasing production rates while demand remained tepid.
Summer brought a reversal as the market saw upward movement in Q3, supported by robust demand from key sectors. The final quarter showed dynamic pricing with a slump in October due to limited downstream demand, followed by cautious optimism in November, and ending with a notable surge in December fuelled by strong industrial activity and supply chain challenges.
Future Outlook
According to Procurement Resource, Dichloromethane prices will likely remain sensitive to feedstock costs, supply chain disruptions, and environmental regulations while industrial demand provides market support.
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Asia
A sluggish trend in the prices of dichloromethane was observed during the third quarter of 2023 due to the significant improvement in supply chains and faint demand from the downstream industries.
In addition to this, the oscillations in the cost of feedstock materials also played a major role in restricting the growth trajectory of the market and keeping the dichloromethane price trend on the lower end of the spectra. In the last quarter of 2023, due to the slowing down of the industrial sector on the advent of the holiday season, the consumers of dichloromethane moved to a need-to-basics approach while the production rates remained the same and eventually resulted in the rise in inventory levels.
Europe
In European countries, the dichloromethane price trend maintained its bearish outlook throughout the third and fourth quarters of 2023. The market remained under pressure because of the pessimistic approach of customers and the frail confidence of the consumers in the industrial sector. Along with this, the limited trading activities and loss of export volumes due to the disruption of the Red Sea route increased the stockpiles of the commodity in the domestic market, prompting the traders to adopt destocking activities.
North America
A successive build-up of weak demand and overpowering production caused an upset in the dichloromethane market as the prices flickered on the lower end of the pricing spectra throughout the H2 of 2023. The bleak demand scenario of the market was fueled by weak trading activities and the frail condition of the US economy. The region also noticed a remarkable fall in the cost of production based on the limited support from the crude oil sector, further hampering the growth potential of the dichloromethane price trend.
Dichloromethane is a non-flammable colourless liquid which is highly volatile with a sweet ether-like odour. Its inhalation can cause respiratory tract irritation, drowsiness, and even death. It is used as a solvent and paint remover.
CH2Cl2
Solvent used in paint remover, pharmaceuticals, metal cleaning agents
Methylene Chloride
Dow Chemical(US), Occidental Chemical(US), AkzoNobel(NL)
CurrencyUS$ (Data can also be provided in local currency)
Supplier Database AvailabilityYes
Customization ScopeThe report can be customized as per the requirements of the customer
Post-Sale Analyst Support360-degree analyst support after report delivery
Note: Our supplier search experts can assist your procurement teams in compiling and validating a list of suppliers indicating they have products, services, and capabilities that meet your company's needs.
Dichloromethane can be produced by treating methane or chloromethane with chlorine gas at elevated temperatures to give various chlorinated products followed by separating DCM via distillation.
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