SunSirs: In March Plasticizer Market Was Weak and DOP Price Fell Sharply

  • SunSirs: In March Plasticizer Market Was Weak and DOP Price Fell Sharply
  • SunSirs: In March Plasticizer Market Was Weak and DOP Price Fell Sharply
  • SunSirs: In March Plasticizer Market Was Weak and DOP Price Fell Sharply
  • What happened to plasticizer prices in 2023?
  • Operating rates for US-based plasticizer plants remained reduced but with the disappointing level of demand from the construction market – as well as the increasing presence of imports – the US market was still amply supplied. Prices have eroded throughout 2023 to date, although they have not fallen quite as steeply as they have in Europe.
  • How did plasticizer prices change in China?
  • In China, plasticizer prices moved up in January along with 2-EH prices, then fell back in February owing to slow demand recovery after the holiday. Prices only fluctuated slightly from March to May.
  • Why did the US plasticizers sector start afresh in 2023?
  • The US plasticizers sector began 2023 afresh following a heavy period of de-stocking during the fourth quarter of 2022 when demand slowed down dramatically. However, hopes of a rebound in Q1 were quickly dashed. This was largely due to downstream stock levels reflecting what turned out to be more than sufficient for the then-current demand level.
  • Why are plasticizer prices going down?
  • Competition for volume has been strong amongst domestic players and in response to imports. TOTM (tris (2-ethylhexyl)trimellitate) - an alternative plasticizer for PVC medical devices - saw very sharp price erosion early in the year. But TOTM was not alone and all plasticizers markets saw prices moving down substantially.
  • How have plasticizer imports impacted the oxo-alcohol industry?
  • Imports of all general-purpose plasticizers have been competitive, as freight rates fell and the local markets in Asia failed to show any demand improvement, particularly China on which hopes had been pinned. As gas prices and propylene costs have gradually come down, oxo-alcohol producers have been less squeezed.
  • Why are European plasticizer plants reopening?
  • Producers have continued to operate European 2-EH and plasticizer plants at reduced rates in line with demand. Imports of all general-purpose plasticizers have been competitive, as freight rates fell and the local markets in Asia failed to show any demand improvement, particularly China on which hopes had been pinned.

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