Malic Acid Price Trend and Forecast

Malic Acid Regional Price Overview

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

Malic Acid Price Trend for the First Half of 2024

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

Asia

In China, the appreciation of the yuan against the US dollar made Chinese exports more competitive, leading to increased export activity of malic acid during the first half of the year 2024. This currency shift created an attractive opportunity for Chinese suppliers, who responded by boosting exports, further tightening the domestic market. Additionally, geopolitical tensions disrupted trade flows, contributing to a scarcity of cargo and escalating prices. Domestic demand for malic acid remained robust, with increased inquiries from both local and international markets, pushing prices even higher.
 

Malic Acid Price Chart

Please Login or Subscribe to Access the Malic Acid Price Chart Data
 

The situation was compounded by scheduled maintenance shutdowns at several manufacturing plants, which led to a supply crunch. This shortage was exacerbated by insufficient inventories, causing further strain on the market. The surge in prices was also influenced by rising costs of raw materials, particularly maleic anhydride, which saw price increases due to higher feedstock benzene costs driven by strengthening international crude oil prices.

Europe

The extension of the arrival of shipments, particularly from the Asian countries, depleted the European inventories of malic acid at a much faster pace than anticipated by the market players. The persistent challenges of the trading sector due to the diversion of the traditional Red Sea route and the surge in transportation charges further constrained the functioning of malic acid supply chains. Meanwhile, the cost of feedstock commodities and overall domestic production of malic acid climbed by a significant margin and eventually led to a surge in the pricing trajectory of malic acid.

North America

In the United States, the malic acid market was heavily impacted by price increases in major exporting nations, particularly China. As a significant importer of malic acid, the US market felt the effects of global supply chain disruptions, including the ongoing crisis in the Red Sea and Gulf of Aden, which strained shipping capacity. Additionally, drought conditions affecting the Panama Canal and reduced vessel traffic further constrained capacity, leading to increased transportation costs. These supply chain bottlenecks, combined with soaring freight rates, container shortages, and longer lead times, compounded challenges for US importers, driving up Malic Acid prices.

The situation was further exacerbated by the implementation of a General Rate Increase (GRI) by shipping carriers in May, which led to higher shipping costs. This increase in transportation expenses added to the already escalating Malic Acid prices, underscoring the complex interplay of factors affecting the market. The US market's reliance on Chinese exports made it particularly vulnerable to these global disruptions, highlighting the interconnected nature of the global Malic Acid supply chain.

Analyst Insight

According to Procurement Resource, the price of Malic Acid is expected to escalate with the surge in global production costs and expanding demand for the commodity in the downstream markets.
 

Malic Acid Price Trend for the October - December of 2023

Asia

The year-end quarter of 2023 did not work in favor of malic acid prices as they inched lower as compared to the third quarter. The largest economies of the world experienced a slowdown in their economic sector, and thus, the rate of procurement of malic acid faced a consistent decline.

The cost of benzene, which serves as an important feedstock material, also witnessed a substantial fall, and on account of this, the entire production cost moved southwards. Amid these challenging economic conditions and rising uncertainties, consumer confidence in the malic acid market wavered, leading to a gradual decline in the malic acid price trend.

Europe

The malic acid price dynamics in Europe were no different than in the rest of the world. The subdued appetite of consumers and lower trading activities worried the traders and the manufacturing industries. The production sector of malic acid also witnessed a significant decline in the cost of maleic anhydride due to which the manufacturers had to reduce their price quotations. On the other hand, the production of malic acid in European countries surpassed the number of orders and inquiries from the end-user industries, eventually causing a shoot-up in inventory levels, which forced the traders to lower their malic acid prices.

North America

As the year and the quarter approached its end, the malic acid price trend declined. The manufacturing sector underwent significant constriction in its budgets as the economic challenges caused ripples in the entire market dynamics.

The consumer also adopted a pessimistic attitude and a need-to approach as their own spending was under the excessive pressure of rising inflationary pressure. Further, the decline in the cost of crude oil during the end phase of this quarter raised the number of struggles of the malic acid market and thus eventually resulted in the downfall of malic acid price trend.

Analyst Insight

According to Procurement Resource, the price trend of Malic Acid are estimated to grow but gradually. The slow and steady recovery of the global economy, along with the rise in construction activities, are expected to favor the uptick in malic acid prices in the upcoming months.
 

Malic Acid Price Trend for the July - September of 2023

Asia

The malic acid prices faced a steep decline in the third quarter of 2023 as the slow movement of the Asian economy hampered the sentiments of the malic acid market. Not only the malic acid market, but its feedstock materials also struggled to maintain its momentum.

The production activities gradually picked up their pace after a long stretch of COVID-19, but the number of new inquiries from the domestic and overseas industries declined by a significant margin. Amid the weak economic conditions, the consumers also remained hesitant in placing orders in bulk leading to the fall in the malic acid price trend.

Europe

In Q3, the malic acid market suffered from the oversupply of the product and subdued demand. The market sentiments also declined as domestic traders struggled to maintain trading activities while raw materials also faced a noticeable decline in their prices. As a result of this, the cost of production fell consistently. In addition to this, the rates of exports of European countries also suffered from lowering of procurement rates ultimately resulting in the downfall of malic acid prices.

North America

In North America, the inventories of malic acid rose significantly as the rates of production inclined with the revival of the industrial sector. However, the prices of raw materials consistently declined in turn adversely affected the malic acid price trend.

The trajectory of the malic acid price graph was also negatively affected by the sustained rates of inflation and the cautious buying attitude of the consumers. In addition to this, the strengthening of the Chinese currency as compared to the US dollar further escalated the downward journey of malic acid prices.

Analyst Insight

According to Procurement Resource, the price trend of Malic Acid are estimated to face southwards as the demand and support from the feedstock industries do not seem to improve in the upcoming quarters.

Procurement Resource provides latest prices of Malic Acid. 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.