Polypropylene Glycol Price Trend and Forecast

Polypropylene Glycol Regional Price Overview

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

Polypropylene Glycol Price Trend for the Q3 of 2024

Asia

The price trajectory of polypropylene glycol showed an overall steady trend with occasional declines during Q3'24, closely resembling that of its feedstock, propylene oxide. Throughout the quarter, the polypropylene glycol market witnessed range-bound oscillations, with some sudden dips primarily due to falling prices of upstream propylene. Market sentiment toward other propylene derivatives turned increasingly pessimistic towards the end of the quarter, influenced by weak demand in the propylene sector.
 

Polypropylene Glycol Price Chart

Please Login or Subscribe to Access the Polypropylene Glycol Price Chart Data
 

The downstream procurement market adopted a wait-and-see attitude, focusing on on-demand purchasing of raw materials. While new orders and an increase in order volume initially sparked enthusiasm among manufacturers, this optimism was not sustained, as the fall in upstream prices led buyers to expect further price declines. Overall, market sentiment remained weak, but prices stayed relatively stable.

Europe

In a slight contrast to the Asian market, the European polypropylene glycol market maintained a positive outlook in Q3'24, with prices rising despite weak demand. The primary driver behind this price increase was the rising cost of upstream propylene, caused by constrained supply due to reduced shipping cargo availability and lower domestic production. This, in turn, pushed production costs higher, ultimately squeezing manufacturers' profit margins. Overall, prices were supported by the rising cost of upstream raw materials, even amidst low downstream demand.

North America

The North American propylene market experienced oscillating prices, mirroring global trends. Initially, market sentiment was positive; however, in September, influenced by declining propylene prices in the Asian market, a downward shift occurred. Demand for polypropylene glycol softened as market participants anticipated further price declines. Additionally, logistical challenges arose from seasonal hurricanes, disrupting production at some facilities. While these storms temporarily halted operations, the impact was limited, and supply levels were restored relatively quickly. Overall, the North American market continues to navigate these fluctuations as producers adjust to shifting conditions.

Analyst Insight

According to Procurement Resource, the prices of polypropylene are expected to show range-bound oscillations in the coming months as well influenced by feedstock price fluctuations and other regional variations.
 

Polypropylene Glycol Price Trend for the Q2 of 2024

Asia

The Chinese polypropylene glycol market registered a bearish trend in the second quarter of 2024, with some mild fluctuations month-on-month. In the first month of this quarter, the trend was stabilized by the feedstock costs and under pressure functioning of supply chains. However, as the quarter progressed, the demand for the commodity became tepid, and thus, the manufacturing sector of Shandong responded by lowering their quotations to sustain the market's stability.

However, it was not sufficient to balance weak demand and excessive supply as the downstream industry's outlook declined consistently. By the end of the quarter, most consumers opted for a cautious stance, pressuring the momentum of the commodity and keeping its prices southwards. Apart from the supply-demand dynamics, the cost of raw materials and, in turn, production also witnessed a southward movement, further pushing the polypropylene glycol prices downwards.

Europe

The price trend for polypropylene glycol in Europe followed a deflationary trend in the second quarter after ending the first quarter on a higher note. The reduced construction activities and weak momentum of the downstream polyol sector were the primary causes of this subdued dynamics of the market. The producers thus prioritized price stability over their profit margins to keep the polypropylene glycol market momentum afloat.

This move was also based on the requirement of reducing older inventories and sustaining the supply-demand equilibria. However, by the end of the quarter, there were even fewer new orders for polypropylene glycol, while the price of polyether polyols increased as a result of restocking in China. Significant stocks, a decline in the building industry in many European countries, and weakened propylene prices all contributed to pricing pressure.

North America

The pricing trajectory of polypropylene glycol in the US remained more-or-less stable in the second quarter of 2024. The upstream commodities, such as propane, reported a slight incline in their prices as a result of downstream suppliers stocking their inventories in view of adverse weather conditions and the anticipated decline in the efficiency of supply chains.

However, as the end month of the quarter approached, there was a marginal increase in in-house polypropylene glycol usage despite propylene prices trailing these fluctuations. However, rising downstream market downturns and quarter-end stocking efforts were expected to stabilize prices. The number of inquiries and orders was further supported by the better performance in the food, cosmetics, and nutraceuticals sectors, but demand for polyether polyols stayed muted.

Analyst Insight

According to Procurement Resource, the price trend of Polypropylene Glycol is estimated to fluctuate in the next quarters as the downstream commodities are likely to extend positive support but the feedstock prices and uncertainties in the crude oil sector will limit the growth of the market.
 

Polypropylene Glycol Price Trend for the Q1 of 2024

Asia Pacific

In Q1 2024, the Polypropylene Glycol market across the Asia Pacific region encountered a varied pricing landscape characterized by shifts throughout the quarter. Initially, prices trended downward in January due to diminished consumption in downstream sectors. This decline was further impacted by the depreciation of the South Korean won against the U.S. dollar, which drove up the cost of imports, including Polypropylene Glycol, leading to decreased demand from businesses and consumers alike. However, by February, prices surged as demand from key industries such as food and pharmaceuticals rebounded sharply.

This recovery was fueled by improved market sentiment, marked by a notable increase in new orders and inquiries, which propelled overall demand beyond supply levels and triggered a significant price increase. Towards the end of the quarter, however, prices eased again, largely due to weaker consumption across multiple sectors, compounded by slow improvements in financing conditions due to elevated interest rates. The market concluded the quarter with mixed price trends shaped by fluctuating demand, currency movements, and economic conditions.

Europe

In the first quarter of 2024, the European Polypropylene Glycol market navigated a complex pricing environment driven by various factors. Prices saw an upward trend, influenced by geopolitical challenges, logistical disruptions, and constrained inventories. Strong demand from the food, healthcare, and pharmaceutical sectors further intensified these dynamics. Additionally, the weakening of the Euro against the U.S. dollar played a role in elevating prices, as more favorable export conditions spurred international demand for Polypropylene Glycol. The cost of raw materials, such as propylene oxide, also added to the upward pricing momentum. Anticipating further price increases, market players prioritized restocking, reinforcing the overall price ascent throughout the quarter.

North America

In Q1 2024, the North American Polypropylene Glycol market experienced notable price volatility, ultimately fostering a positive pricing environment. Prices consistently rose throughout the quarter, fueled by strong demand from key downstream sectors, including food, pharmaceuticals, and healthcare. A significant factor contributing to these price increases was the growing demand for warehousing, which strained already limited storage capacity and led to higher distribution and storage costs.

These expenses were subsequently passed on to consumers, driving up Polypropylene Glycol prices. Additionally, robust demand from downstream industries placed further pressure on the domestic supply chain, exacerbating the tight market conditions and contributing to the upward pricing trend. Despite these challenges, the U.S. market remained stable. Overall, the pricing landscape for Polypropylene Glycol in North America during Q1 2024 reflected a positive yet dynamic market driven by shifting supply-demand dynamics and economic stability.

Analyst Insight

According to Procurement Resource, not much change is anticipated in Polypropylene Glycol’s pricing dynamic going forward; current supply and demand variations suggest a positive outlook.
 

Polypropylene Glycol Price Trend for the October - December of 2023

Asia

The polypropylene glycol prices wavered at the lower end of the price curve during the fourth quarter of the year 2023. Polypropylene Glycol, produced primarily with the help of propylene oxide, is an important feedstock for manufacturing polyurethane foams, lubricants, and personal care products. So, the market demands from these consuming industries and the feedstock price patterns all influence the Polypropylene Glycol market trend.

Since the raw material prices were depreciating throughout the said period, it also pushed the Polypropylene Glycol prices down. Similarly, the overstocked inventories pressurized the suppliers to discount the prices in order to promote stock movement. Further, the lackluster demands also could not provide any substantial support to the price trajectories. Overall, low-swinging market trend were witnessed.

Europe

The European Polypropylene Glycol market trend were no different from the Asian trend during the given period of Q4;23. The commencement of the Israel-Hamas war during the ongoing Russia-Ukraine war had disastrous consequences on the economy of Europe. The trade sentiments were observed to be highly fluctuating; overall, dull market trend were experienced.

North America

The North American polypropylene glycol market also experienced similar depreciation trend to the Asian and European markets. The economic uncertainties in the market, along with the logistic issues, disturbed the international trade patterns, and the prices were observed to be swinging low during the said period.

Analyst Insight

According to Procurement Resource, the Polypropylene Glycol price trend are expected to continue to waver within close limits in the approaching months. Market demands will continue to guide the trade sentiments.
 

Polypropylene Glycol Price Trend for the July - September of 2023

Asia

In Q3’23, the construction sector picked up pace in China, causing the demand for polypropylene glycol from the downstream polyurethane sector to rise, pushing the price index ahead. Further, as the manufacturing sector improved, various textile and chemical manufacturing firms posed queries for polypropylene glycol. However, the latter half of the third quarter saw some retardation in the polypropylene glycol price graph. The oversupplied inventories started dominating the polypropylene glycol market sentiments. Expansion of fuel additive sectors in India was also a positive indicator for the polypropylene glycol market during the said time period of July to September.

Europe

In Europe, the market stakeholders gradually found ways to deal with the war stresses that were hindering both domestic and offshore trades. The regional economy also gradually started improving. All these factors eased the upstream cost pressure for suppliers and resulted in a steady backtracking of polypropylene glycol prices in Europe. However, the price forecast suggests an increment in polypropylene glycol prices in the coming months since the current market drivers are supportive of the positive movement.

North America

The American banking sector went through mild tribulations during the said time period. The interest rates remained high, which subdued the manufacturing sector, forcing the demand spectrum down for polypropylene glycol. And as the demands depreciated, the price index followed along. Overall, muted market sentiments were observed.

Analyst Insight

According to Procurement Resource, mixed market sentiments are anticipated for Polypropylene Glycol going forward since the demand curve is relatively volatile compared to other factors.
 

Polypropylene Glycol Price Trend for the First Half of 2023

Asia

The price trend of polypropylene glycol is majorly dependent upon the market dynamics of its feedstock, propylene glycol, whose prices fluctuated in the first and second quarters of 2023. In the first quarter, the cost of raw materials and natural gas remained low, but the demand from the pharmaceutical and cosmetics sector supported the growth of the polypropylene glycol price trend.

In the second quarter, the production activities slowed down, with a fall in the number of new orders and the purchasing appetite of buyers. The demand for polypropylene glycol in the domestic as well as international sectors also remained low, which eventually caused the price trend of polypropylene glycol to face southwards.

Europe

The cost of raw materials and continuously receding demand from the pharmaceutical and related industries were the major causes of the mixed trend shown by the polypropylene glycol prices. The supply chains of the region strengthened, but with subdued demand, it only resulted in high stocks of stockpiles of the product in the region.

In the second quarter, there was a slight improvement in the polypropylene glycol sector in the month of May due to tight supply and improving market dynamics. However, in the other months, polypropylene glycol prices struggled with rising levels of inflation, interest rates, and the influx of cheap imports.

North America

As seen in the European and Asia-Pacific region, the cost of feedstock materials failed to provide the required support to the prices of polypropylene glycol in the North American region. The market for polypropylene glycol thus followed an oscillating trend. The demand from pharmaceutical and related industries inclined, keeping the price trend of polypropylene glycol afloat.

In the second quarter, the market activities and, in turn, the production rates of polypropylene glycol were not able to keep up with the strong demand. However, in the latter half, the spike in inflation and interest rates proved to be a challenge for the polypropylene glycol demand sector, and due to this, the price trend of polypropylene glycol followed a declining trajectory.

Analyst Insight

According to Procurement Resource, the price trend of Polypropylene Glycol is estimated to showcase an oscillating trajectory as the demand and market conditions are expected to fluctuate in the upcoming months.

Procurement Resource provides latest prices of Polypropylene Glycol. 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.