Hamburg, Germany: In the global market, the prices of Sulphuric Acid are experiencing an incline in their trend due to the increase in the production cost of the product as well as the heightened demand from the downstream Agrochemical sector. However, in Japan, the prices of Sulphuric Acid are maintaining their stability at the lower end, however, an increase in energy costs occurred due to rising prices in the upstream Crude Oil market. Despite moderate demand from downstream Agrochemical enterprises, existing inventory levels in storage units adequately compensated for it.
In the German market, Sulphuric Acid prices are experiencing a notable increase of 11.11%, reaching USD 50/MT (FOB-Hamburg) on 22nd March 2024. The upward trend can be attributed to several factors, with one significant factor being the increased demand for phosphoric acid and phosphate fertilizers, resulting in heightened utilization of sulfuric acid as a feedstock. This heightened consumption rate is resulting in insufficient inventory levels to meet the escalating demand from the downstream Agrochemical sector. Furthermore, in the upstream market, Crude Oil prices are witnessing an upward trajectory. This rise in Crude Oil prices is leading to an increase in energy costs, thereby elevating the overall production expenses of Sulphuric Acid. Consequently, to cope with the growing demand, production rates are increasing, and trade between significant manufacturing units intensified. Sulfuric Acid Application
Similarly, Sulphuric Acid prices in Saudi Arabia saw a 7.69% increase during the week ending on 22nd March 2024. This rise is primarily driven by the Phosphating sector's demand for Sulphuric Acid, which is crucial for producing Single Super Phosphate (SSP), Phosphoric Acid, and Phosphate Fertilizers. The uptick in prices can be attributed to higher production costs stemming from an increase in the prices of the Sulphur market, a key feedstock for Sulphuric Acid production. Additionally, the surge in Crude Oil prices is elevating energy costs, further impacting production expenses. Demand for Sulphuric Acid from downstream Agrochemical enterprises is high, therefore, the existing inventory levels are insufficient, prompting an increase in the production rates and trade activities among major manufacturing units to meet the growing demand. Market participants are capitalizing on the bullish Sulphuric Acid market by raising ex-quotations, thereby enhancing marginal profits. The widening spread between Sulphuric Acid and Sulphur prices suggests a positive outlook for the Sulphuric Acid market.
However, In Japan, the Sulphuric Acid market is maintaining stability with prices holding steady at the lower level. However, there was an uptick in energy costs due to the increasing prices in the upstream Crude Oil market. Despite moderate demand for Sulphuric Acid from downstream Agrochemical enterprises, existing inventory levels in storage units are sufficient to meet requirements. During its March 18–19, 2024, Monetary Policy Meeting, the Bank of Japan made significant shifts in its approach to monetary policy. It announced the discontinuation of its longstanding negative interest rate policy and ceased its guidance on controlling long-term interest rates in Japan, as well as its measures aimed at managing both short- and long-term rates. This decision marks a departure from the strategies the bank has employed in recent years, signaling a significant change in its monetary policy framework.
According to ChemAnalyst, the prices of Sulphuric Acid are anticipated to be inclining in the upcoming weeks due to the expectations of the increased demand from the downstream Agrochemical sectors. Therefore, the production rate as well as the trading activities might showcase an increase due to the increase in the demand from the downstream sector.
Sulphuric Acid Market Analysis: Industry Market Size, Plant Capacity, Production, Operating Efficiency, Demand & Supply, End-User Industries, Sales Channel, Regional Demand, Foreign Trade, Company Share, Manufacturing Process, 2015-2030
Skittles Fda Copyright © ChemAnalyst - 2020 | Terms & Conditions | Privacy Policy