In Q1 2024, the global Hydrogen Peroxide market experienced a downward trend, particularly in South Korea, where prices were reported at $380/MT. This marked a decrease of -2.73% from the previous quarter. The decline was primarily driven by reduced demand from key sectors, including pulp and paper, and cleaning products, which are significant consumers of Hydrogen Peroxide. Additionally, increased production capacity in Southeast Asia contributed to the abundant supply situation, putting further downward pressure on prices. Meanwhile, Thailand and India showed relatively stable demand, but overall market conditions in the APAC region leaned towards bearish sentiment.
Moving into Q2 2024, Hydrogen Peroxide prices in South Korea dropped to $356.33/MT, reflecting a further decline of 6.23% from Q1. The continued drop in prices can be attributed to a combination of factors, including persistent abundant supply in the market and reduced production rates in certain sectors. The lack of significant recovery in demand, particularly in industrial applications, further worsens the situation. In Thailand and India, the market remained somewhat steady, but overall, the bearish trend in South Korea overshadowed regional stability, affecting pricing dynamics across the APAC region.
By early Q3 2024, the Hydrogen Peroxide market showed some signs of recovery, with prices in July reported at $355/MT, indicating an increase of +1.72% from June 2024’s price of $349/MT. This slight uptick can be attributed to improved demand in certain sectors and temporary production adjustments in response to seasonal needs. Globally, the market faced challenges such as ongoing logistical issues, but the overall sentiment began to shift as some industries showed signs of stabilization. In South Korea, while regional competition remained a factor, the combination of rising demand and tighter supply dynamics contributed to this modest price recovery.
Looking ahead to Q4 2024, the Hydrogen Peroxide market may see further fluctuations, depending on various factors. Potential increases in demand from the cleaning and disinfectant sectors during the holiday season could provide some upward pressure on prices. However, the ongoing abundant supply situation and competitive pricing in the APAC region, particularly in South Korea, may counteract any positive developments. Additionally, any changes in raw material costs or production capacity could significantly influence market behavior as we move into the final quarter of the year. Overall, the Hydrogen Peroxide market will likely continue to navigate a complex landscape of supply and demand factors in the upcoming months.