Ethylene Acrylic Elastomer Price Trend and Forecast

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Historical Data Since 2015
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Forecast for 2026

ethylene acrylic elastomer Price Trends by Country

usUnited States
brBrazil
beBelgium
trTurkey
inIndia
thThailand
cnChina
idIndonesia

Global ethylene acrylic elastomer Spot Market Prices, Trend Analysis and Forecast

Ethylene Acrylic Elastomer (AEM) Price Trend Q3 2025

In Q3 2025, the global Ethylene Acrylic Elastomer (AEM) market has experienced a general decline in prices, with various regions reflecting a 2% drop in pricing trends. The overall market has been influenced by a combination of factors, including weaker demand from key sectors like automotive and industrial manufacturing, which have contributed to the downward pressure on prices. Raw material price fluctuations and sufficient supply in certain regions have further added to market softness.

Despite steady production levels in most regions, the reduced demand and shifts in global supply chains have played a significant role in the market decline. As the price trend has reflected broader economic uncertainties, companies across regions have adjusted their strategies to manage these market dynamics. The global market has shown signs of caution, with stakeholders closely monitoring the situation for any signs of stabilization.

USA

Ethylene Acrylic Elastomer Export prices FOB Houston, USA, Grade- MV 29.

According to the PriceWatch, in Q3 2025, the Ethylene Acrylic Elastomer (AEM) prices in the USA have experienced a declining market trend with 2% price drop, driven by weakening demand and fluctuating market conditions. Global economic uncertainties, raw material cost shifts, and regional supply have influenced the market’s movement. Despite stable production levels, the reduced demand from automotive and industrial sectors has contributed to this decline.

In September 2025, the Ethylene Acrylic Elastomer (AEM) prices in the USA have continued their downward movement, with a 2% decline from the previous month. The ongoing price decrease has suggested that the challenges faced in Q3 have persisted into the following month, with limited indications of recovery.

Thailand

Ethylene Acrylic Elastomer Import prices CIF Laem Chabang (USA), Thailand, Grade- MV 29.

In Q3 2025, the Ethylene Acrylic Elastomer (AEM) price trend in Thailand has followed a declining market trajectory, with a 2% drop in prices. The market has been influenced by weaker demand, especially in sectors reliant on durable elastomers like automotive and manufacturing. Raw material volatility and shifting global supply-demand conditions have played a key role in this price decline.

Despite a stable supply in the region, the reduction in demand from key industries has contributed to the softening market trend. In September 2025, the Ethylene Acrylic Elastomer (AEM) prices in Thailand have continued their downward movement, with a 2% decrease from the previous month, indicating that the market’s bearish sentiment has persisted into the following month.

China

Ethylene Acrylic Elastomer (AEM) Import prices CIF Shanghai (USA), China, Grade- MV 29.

In Q3 2025, the Ethylene Acrylic Elastomer price trend in China has experienced a 2.5% decline. This price movement has been driven by weaker demand in key sectors like automotive and industrial manufacturing, alongside fluctuating raw material prices. The decline in the Chinese market has been exacerbated by global supply chain disruptions and shifting demand patterns.

Despite steady production levels, the reduction in demand has put downward pressure on AEM prices. In September 2025, the Ethylene Acrylic Elastomer prices in China have continued the bearish price trend, with a 2% decline, reflecting ongoing softness in the market. This persistent downward trend has highlighted ongoing challenges faced by the AEM market in China, with limited signs of stabilization.

Turkey

Ethylene Acrylic Elastomer (AEM) Import prices CIF Mersin (USA), Turkey, Grade- MV 29.

In Q3 2025, the Ethylene Acrylic Elastomer price trend in Turkey has shown a 2% decline, driven by reduced demand and shifts in global market dynamics. Despite stable supply levels, the sluggish demand from key industries such as automotive and manufacturing has contributed to the price drop. The volatility of raw material prices and broader economic conditions have played a role in the market downturn.

In September 2025, the Ethylene Acrylic Elastomer prices in Turkey have continued their decline, with a 2% drop compared to the previous month. This extended bearish market trend has suggested that the challenges in the Turkish market have persisted into the following month.

Brazil

Ethylene Acrylic Elastomer (AEM) Import prices CIF Santos (USA), Brazil, Grade- MV 29.

In Q3 2025, the Ethylene Acrylic Elastomer (AEM) price trend in Brazil has experienced a 2% decline, reflecting softer demand in the country’s key sectors, including automotive and industrial manufacturing. The global supply dynamics of AEM and fluctuating raw material prices have contributed to this market movement. Despite steady production rates, the lack of significant demand growth has put downward pressure on prices.

In September 2025, the ethylene acrylic elastomer (AEM) prices in Brazil have continued to experience a 2% price decrease, indicating that the decline has persisted. This continued price drop has pointed to sustained softness in Brazil’s AEM market, with little sign of recovery.

Indonesia

Ethylene Acrylic Elastomer (AEM) Import prices CIF Jakarta (USA), Indonesia, Grade- MV 29.

In Q3 2025, the Ethylene Acrylic Elastomer (AEM) prices in Indonesia have followed a declining price trend, with a 2.5% drop in prices. This decline has been driven by reduced demand across key sectors that rely on high-performance elastomers, including automotive and manufacturing. The market has also been impacted by global supply chain disruptions and fluctuations in raw material costs.

In September 2025, the Ethylene Acrylic Elastomer (AEM) price trend in Indonesia has continued to fall, with a further 2% decrease from the previous month. The sustained downturn has suggested that the Indonesian market has been facing ongoing challenges, with continued market pressure likely to persist unless demand improves or supply conditions stabilize.

Belgium

Ethylene Acrylic Elastomer Import prices CIF Antwerp (USA), Belgium, Grade- MV 29.

In Q3 2025, the Ethylene Acrylic Elastomer price trend in Belgium has followed a declining market trajectory, with a 2% decrease in prices. The market has been influenced by a combination of factors, including weaker demand in the automotive and industrial sectors, as well as fluctuations in raw material costs.

In September 2025, the Ethylene Acrylic Elastomer prices in Belgium have continued to experience a 2% price decline from the previous month, reinforcing the ongoing bearish trend. The price drop has reflected broader global market conditions and has suggested that Belgium’s AEM market has likely continued to face pressure in the near term.

India

Ethylene Acrylic Elastomer (AEM) Import prices CIF Nhava Sheva (USA), India, Grade- MV 29.

According to the PriceWatch, in Q3 2025, the Ethylene Acrylic Elastomer (AEM) price trend in India has shown relative stability, with only marginal changes in the market. The AEM prices in India have maintained a steady course despite global market fluctuations, reflecting consistent demand from automotive and industrial sectors. Factors such as local economic conditions, currency fluctuations, and global supply-demand dynamics have influenced the overall price trend in India.

However, in September 2025, the Ethylene Acrylic Elastomer (AEM) prices in India have experienced a slight 1% decline compared to the previous month. This change has been attributed to global shifts in raw material prices and supply chain disruptions, which have put downward pressure on the market.

Ethylene Acrylic Elastomer Price Trend Analysis: Q2 2025

According to the PriceWatch, In Q2 2025, within USA Ethylene Acrylic Elastomer (AEM) market, i.e., AEM MV 29 grade, witnessed a price decrease. The AEM MV 29, FOB Houston USA, price was observed at USD 16,663 per metric ton, which is 2.9% less than what was observed in earlier quarters. Among the most important drivers of AEM costs was the ongoing volatility in raw material costs, especially those involving petrochemicals.

AEM is mostly obtained from Ethylene, which is predominantly affected by crude oil price fluctuations. Yet another reason for the decline in AEM prices was weak demand from the automobile industry, specifically for manufacturing seals, gaskets, and hoses, which are major end uses for AEM.

The decline in automobile production helped reduce demand for AEM, further curbing price appreciation. The decline in prices of AEM MV 29 in Q2 2025 is due to an interaction of raw material prices, declining demand in the automotive market, and general global economic trends, all of which combined to determine the market landscape for AEM in this quarter.

According to the PriceWatch, during Q2 2025, the Indian Ethylene Acrylic Elastomer (AEM) market price, i.e., AEM MV 29, witnessed a decrease. The USA to Nhava Sheva, India CIF price for AEM MV 29 was around USD 17,380 per metric ton, which is a dip of 3.1% from the last quarter. There were various reasons behind this price reduction. A major driver of the price was international trade patterns, which affected the supply chain.

On the demand side, AEM is extensively used in the auto market, especially for seals, gaskets, and hoses. But in Q2 2025, the Indian auto market slowed down, and hence the demand for AEM in the auto segment was weaker. This slowdown was due to a combination of factors, such as reduced consumer demand and slower production growth, limiting the demand for automotive components such as AEM.

Demand for AEM in other sectors, including industrial applications and consumer goods, also declined. The general economic slowdown in India led to a defensive market attitude that reduced the demand for materials such as AEM across most sectors. With the slowing of demand from the industrial and automotive segments, AEM prices experienced downward pressure.

In Q1 2025, the Ethylene Acrylic Elastomer (AEM) market demonstrated signs of stabilization, with prices hovering around USD 17,150/MT on an MV 29 FOB Houston basis registering a slight uptick of 0.45% from the previous quarter. The marginal increase was driven by steady demand from the automotive and industrial sectors, as manufacturers resumed regular procurement following year-end inventory corrections.

While supply conditions remained relatively stable, minor fluctuations in raw material costs and cautious optimism surrounding the global economic outlook contributed to the modest price movement. Overall, the market maintained a balanced tone, supported by consistent interest in durable and environmentally compliant elastomer solutions.

In Q1 2025, the Indian Ethylene Acrylic Elastomer (AEM) market experienced a slight upward trend, with prices for AEM MV 29 CIF Nhava Sheva imported from the USA averaging around USD 17,940/MT, marking a 0.64% increase from the previous quarter. The rise was supported by steady demand from the automotive sector, particularly in high-performance applications such as turbocharger hoses, and seals.

Firm upstream costs, notably for ethylene and acrylic ester monomers, also contributed to the pricing strength. Despite global logistics pressures, import flows remained stable, ensuring consistent supply and smooth delivery schedules. Overall, the Indian AEM market maintained a resilient performance, backed by robust downstream consumption and healthy industrial activity, especially in the mobility sector.

Ethylene Acrylic Elastomer Price Trend Analysis: Q4 2024

In Q4 2024, the Ethylene Acrylic Elastomer (AEM) market witnessed a modest downturn, with prices softening to approximately USD 17,075/MT on an MV 29 FOB Houston basis marking a 1.07% decline from the previous quarter. This price retreat was largely attributed to a slight easing in demand from the automotive sector, where inventory adjustments and cautious procurement strategies came into play.

Additionally, improved supply chain efficiencies and stabilization in freight rates alleviated some of the cost pressures seen earlier in the year. While long-term interest in sustainable and high-performance materials remains intact, the quarter reflected a temporary market correction amid a more balanced supply-demand dynamic.

In Q4 2024, the Indian Ethylene Acrylic Elastomer (AEM) market registered a marginal reduction in prices with AEM MV 29 CIF Nhava Sheva from the USA averaging at about USD 17,830/MT, down by 0.93% compared to the last quarter.

The downward trend was induced by a marginal drop in demand from the auto and industrial sealing segments. While supply was steady and logistics were smooth, purchasing was cautious, with a priority on inventory management and order rationalization.

Despite the modest pullback, market fundamentals were firm, with steady offtake across major applications. Indian AEM market in Q4 2024 overall exhibited a mildly bearish sentiment, driven by muted procurement activity and softening input costs.

In Q3 2024, the AEM market gained upward momentum, with prices rising to around USD 17,260/MT for MV 29 FOB Houston basis, reflecting a 1.5% increase. This growth was fuelled by strengthening demand from the automotive sector, particularly for high-performance elastomers. Production capacity limitations and elevated freight costs, stemming from ongoing supply chain disruptions, added further upward pressure on prices.

Additionally, the market benefited from a growing focus on sustainable materials and the push to comply with stricter environmental regulations, both of which supported increased adoption of AEM in next-generation vehicle designs and boosted overall market sentiment.

In Q3 2024, the Indian Ethylene Acrylic Elastomer (AEM) market registered a noticeable upward trend, with prices for AEM MV 29 CIF Nhava Sheva, imported from the USA averaging around USD 17,995/MT, reflecting a 2.84% increase from the previous quarter. The price rise was primarily driven by strong demand from the automotive sector, particularly for turbocharger hoses, seals, and gaskets in high-performance engines.

The tightening in global availability and extended lead times on U.S. shipments contributed to elevated import costs. Despite some logistical challenges, Indian importers-maintained supply continuity to meet steady downstream consumption.

By Q2 2024, the U.S. AEM market displayed a steady upward trend having prices around 17010 USD/MT MV 29 FOB Houston, supported by a recovering automotive sector and improved availability of key feedstocks such as ethylene and acrylic acid. However, supply chain disruptions, caused by tight inventories and efforts by suppliers to build stock, led to price increases. The ongoing drought at the Panama Canal further exacerbated raw material supply challenges, but robust domestic demand and resilience in key industries sustained market growth.

In Q2 2024, there was a minor upward trend in the Indian Ethylene Acrylic Elastomer (AEM) market with AEM MV 29 CIF Nhava Sheva, supplied from the USA averaging approximately USD 17,500/MT, a rise of 0.31% from the earlier quarter. There was a moderate price increase as demand from automotive and industrial units remained firm for applications involving heat and oil resistance elastomers.

Market participants observed stable import volumes, with no significant supply-chain disruptions, for consistent availability at major consumption centres. While the overall mood was balanced, incremental cost pressures and steady offtake provided lean support to prices.

In Q1 2024, the Ethylene Acrylic Elastomer (AEM) market saw a decline of approximately 1%, driven by several key factors and price reaches up to 1700 USD/MT for MV 29 FOB Houston. The primary reason for the price drop was the weakened performance of the manufacturing sector in major global economies. With ample AEM inventory, suppliers reduced their quoted prices, contributing to the overall market slowdown.

In Q1 2024, the Indian Ethylene Acrylic Elastomer (AEM) market witnessed a moderate upward trend, with prices for AEM MV 29 CIF Nhava Sheva, imported from the USA averaging around USD 17,445/MT, marking a 2.17% increase from the previous quarter. The price rise was primarily supported by improved import activity and stable downstream demand from the automotive and engineering sectors, particularly for high-performance sealing applications.

A consistent flow of material from the U.S. market ensured reliable availability, although slightly longer lead times and firm export offers from American suppliers contributed to the upward pricing pressure. Indian importers maintained healthy procurement levels to support production schedules, anticipating continued demand growth.

Technical Specifications of Ethylene Acrylic Elastomer Price Trends

Product Description

Ethylene Acrylic Elastomer (AEM) is a synthetic copolymer made primarily from ethylene and acrylic monomers, incorporating small amounts of cure-site monomers to enable vulcanization. It combines flexibility, strength, and excellent resistance to oils, chemicals, ozone, and aging. AEM exhibits a well-balanced set of mechanical and thermal properties, maintaining stability and elasticity under demanding conditions. Its molecular structure imparts both polarity and durability, allowing it to perform reliably where resistance to degradation and deformation is essential. This elastomer is valued for its strong performance consistency and compatibility with various curing and processing systems.

Identifiers and Classification:

  • CAS No – 9010-77-1
  • HS Code – 39069090
  • Molecular Formula – (C₂H₄)x (C₅H₈O₂)y
  • Molecular Weight[g/mol] – 150,000 and 250,000


Ethylene Acrylic Elastomer (AEM) Synonyms:

  • AEM
  • Ethylene acrylic Elastomers


Ethylene Acrylic Elastomer (AEM) Grades Specific Price Assessment:

  • MV 29 Price Trend


Ethylene Acrylic Elastomer (AEM) Global Trade and Shipment Terms

  • Quotation Terms (Product & Country Specific): 3-4 MT
  • Packaging Type (Product & Country Specific): 25 Kg Carton


Incoterms Referenced in Ethylene Acrylic Elastomer (AEM) Price Reporting

Shipping Term  Location  Definition 
FOB Houston  Houston, USA  AEM export price from USA 
CIF Laem Chabang  Laem Chabang, Thailand  AEM import price in Thailand from USA 
CIF Shanghai  Shanghai, China  AEM import price in China from USA 
CIF Mersin  Mersin, Turkey  AEM import price in Turkey from USA 
CIF Santos  Santos, Brazil  AEM import price in Brazil from USA 
CIF Jakarta  Jakarta, Indonesia  AEM import price in Indonesia from USA 
CIF Antwerp  Antwerp, Belgium  AEM import price in Belgium from USA 
CIF Nhava Sheva  Nhava Sheva, India  AEM import price in India from USA 

*Quotation Terms refers to the quantity range specified for the Ethylene Acrylic Elastomer (AEM) being quoted or offered in a commercial transaction.

**Packaging Type refers to standard packaging size commonly used for Ethylene Acrylic Elastomer (AEM) packing, ease of handling, transportation, and storage in industrial and commercial applications.


Key Ethylene Acrylic Elastomer (AEM) Manufacturers and their brands

Brand Name  Manufacturer 
Vamac®  Celanese Corporation 

Ethylene Acrylic Elastomer Industrial Applications

ethylene acrylic elastomer market share end use

Historically, several events have caused significant fluctuations in Ethylene Acrylic Elastomer prices

  • Global Logistics and Shipping Crisis (2021-Present): The global logistics and shipping crisis has severely impacted the Ethylene Acrylic Elastomer (AEM) market, leading to supply chain disruptions and increased costs. Delays in the transport of key raw materials, such as ethylene and acrylic acid, have reduced production rates and caused plant shutdowns. Rising freight costs from container shortages and higher fuel prices have also made AEM more expensive for industries like automotive and construction. Supply chain volatility has caused stock shortages, complicating manufacturers’ ability to meet demand. Regions like Europe, reliant on imports, have been more affected, while Asia has seen relatively better stability.
  • Global Energy Crisis (2021-2023): The 2021-2023 energy crisis significantly impacted Ethylene Acrylic Elastomer (AEM) production, leading to supply constraints and price increases. Rising energy costs, driven by disruptions in natural gas supplies, higher oil prices, and supply chain issues, escalated operating expenses for AEM producers, particularly in Asia and Europe. This led to reduced production rates and even plant shutdowns, tightening global supply and pushing prices higher. Transportation costs also surged, further exacerbating the situation. The crisis prompted AEM producers to explore energy-efficient technologies and diversify energy sources to reduce future risks, while price volatility and supply instability affected downstream industries like automotive and construction.
  • Winter Storm Uri (February 2021, U.S.): This intense winter storm impacted vast regions of the U.S., particularly Texas an essential hub for petrochemical production being hit particularly hard. The storm caused widespread power outages, forcing the shutdown of numerous petrochemical plants and refineries. As a result, the production of key feedstocks for Ethylene Acrylic Elastomer (AEM) was disrupted, leading to shortages and price increases in the AEM market.

Why PriceWatch?

PriceWatch is your trusted resource for tracking global ethylene acrylic elastomer price trends. Our platform delivers real-time data and expert analysis, offering deep insights into the key factors driving price fluctuations in the ethylene acrylic elastomer market. By monitoring critical events such as geopolitical tensions, supply chain disruptions, and economic shifts, PriceWatch keeps you fully informed of market dynamics.

In addition, PriceWatch provides detailed forecasts and updates on production capacities, enabling you to anticipate market changes and make well-informed decisions. With PriceWatch, you gain a competitive edge in understanding all the elements that influence ethylene acrylic elastomer prices worldwide. Stay ahead of the curve with PriceWatch’s reliable, accurate, and timely ethylene acrylic elastomer market data.

Track PriceWatch's ethylene acrylic elastomer price assessment on a weekly basis since 2015 onwards, along with short-term forecasts, and get access to the detailed report in a downloadable format.

Data Collection and Sources​

  • Real-Time Market Data: PriceWatch aggregates real-time pricing data from a diverse range of sources, including global commodity exchanges, industry reports, and proprietary databases. This ensures that our assessments reflect the most current market conditions.
  • On-the-Ground Intelligence: Our team gathers insights directly from key market participants, including producers, suppliers, traders, and end-users, across major Ethylene Acrylic Elastomer (AEM) production hubs. This ground-level intelligence is crucial for understanding localized market dynamics.
  • Supply Chain Monitoring: We track the entire Ethylene Acrylic Elastomer (AEM) supply chain, from raw material availability (e.g., ethylene and acrylic acid) to production and distribution channels. This includes monitoring feedstock prices, production capacities, and transportation logistics.

Event Tracking and Impact Analysis​

  • Geopolitical Tensions: PriceWatch continuously monitors global geopolitical developments, such as conflicts or trade disputes, which can significantly impact Ethylene Acrylic Elastomer (AEM) prices. Our analysis includes potential disruptions to supply chains and their immediate and long-term effects on pricing.
  • Natural Disasters and Climate Events: We assess the impact of natural disasters, such as hurricanes or winter storms, on Ethylene Acrylic Elastomer (AEM) production facilities, particularly in vulnerable regions like the U.S. Gulf Coast. These events are factored into our price forecasts and supply outlooks.
  • Economic Shifts: PriceWatch evaluates macroeconomic trends, including global economic growth, inflation rates, and sector-specific demand (e.g., automotive), to predict shifts in Ethylene Acrylic Elastomer (AEM) demand and corresponding price movements.

Production Capacity and Supply Analysis

  • Current Production Monitoring: We maintain a comprehensive database of global Ethylene Acrylic Elastomer (AEM) production facilities, tracking their operational status, maintenance schedules, and output levels. This allows us to assess current supply availability accurately.
  • Future Capacity Projections: Our research includes detailed forecasts of upcoming Ethylene Acrylic Elastomer (AEM) production capacities, factoring in new plant constructions, expansions, and technological advancements. This helps in predicting future supply trends and potential price stabilization.

Demand Forecasting

  • Sectoral Demand Analysis: PriceWatch provides in-depth analysis of demand trends across key sectors, including automotive, and construction. We track year-on-year demand growth and project future consumption patterns based on economic indicators and industry developments.
  • Global Demand Dynamics: Our methodology considers regional demand variations and how they influence global Ethylene Acrylic Elastomer (AEM) pricing. This includes understanding the impact of shifts in manufacturing bases, trade policies, and environmental regulations.

Pricing Model Development

  • Dynamic Pricing Models: PriceWatch utilizes advanced econometric models to forecast Ethylene Acrylic Elastomer (AEM) prices, incorporating real-time data, historical trends, and projected market conditions. Our models are continuously refined to enhance accuracy and predictive power.
  • Scenario Analysis: We conduct scenario-based assessments to evaluate potential future market conditions. This includes best-case, worst-case, and most likely scenarios, helping our clients prepare for a range of market outcomes.

Reporting and Client Support

  • Comprehensive Reports: Our clients receive detailed reports that include current price assessments, future price forecasts, and in-depth analysis of market drivers. These reports are designed to be actionable, providing clear insights and recommendations.
  • Ongoing Support: PriceWatch offers continuous updates and personalized support to our clients, ensuring they have the most up-to-date information to make informed decisions. Our experts are available to discuss specific market developments and provide tailored advice.

This research methodology ensures that PriceWatch delivers the most accurate, timely, and actionable Ethylene Acrylic Elastomer (AEM)pricing assessments, helping our clients stay ahead of market trends and make informed business decisions.

Ethylene Acrylic Elastomer Market Price Trend provided by PriceWatch is a base price and excludes VAT/Taxes, discounts, or offers. The information herein is accurate to the best of our knowledge as of the date indicated and is provided solely for the convenience of our customers as a reference for ethylene acrylic elastomer. PriceWatch disclaims any warranties or representations regarding the accuracy of results derived from this information. It is the sole responsibility of the user to assess the suitability of the product for their specific application. This document does not constitute an endorsement to use the product in violation of any applicable patent rights.

Several factors influence the pricing of AEM, including the cost of raw materials such as ethylene and acrylic acid, both of which are derived from petrochemical processes. Fluctuations in crude oil prices, supply-demand dynamics, production capacity, and transportation costs also impact AEM pricing. Geopolitical events, plant shutdowns, and supply chain disruptions further affect price volatility. Additionally, the demand from end-use industries like automotive, aerospace, and electrical manufacturing plays a key role in price movements.

Raw material prices, especially for ethylene and acrylic acid, directly affect AEM pricing. Since these feedstocks are derived from crude oil, any fluctuations in oil prices can result in significant changes in AEM production costs. Supply constraints or surges in demand for these raw materials can either raise or lower the overall price of AEM. Monitoring raw material trends is essential for procurement heads to predict price movements and adjust purchasing strategies accordingly.

As of recent trends, AEM prices have shown volatility due to fluctuating raw material costs and supply chain disruptions. Procurement heads can optimize their buying strategies by closely monitoring market trends, securing long-term contracts when prices are favourable, and diversifying suppliers to mitigate risks. Staying informed about geopolitical factors and global demand fluctuations is crucial to making informed purchasing decisions and ensuring cost-efficiency in procurement.