isobutanol Pricing Assessment

Markets Covered:

Malaysia

Saudi Arabia

Germany

Netherlands

Thailand

Korea

Isobutanol Price Trend, Analysis and Forecast

In Q1 2024 the Asian isobutanol market increased by 0.16% as compared to the Q4 of 2023. The Asian isobutanol market experienced an initial price increase at the start of the quarter, followed by a mid-quarter decline. This drop was driven by weak cost support, excess inventory, and sluggish downstream demand. Low market activity led traders to offer discounts to boost sales. Upstream propylene prices saw only minor changes, providing limited support to the isobutanol market. While there were signs of improvement and a slight uptick toward the end of the quarter, it was not enough to reverse the downward trend in isobutanol prices. The challenges in the Malaysian market have had a similar impact on South Korea and Thailand pricing, as Malaysia is a significant exporter to both countries. In contrast, the European market declined by 0.02% as compared to Q4 of 2023, but in the overall quarter prices increased from beginning towards the end of the quarter. By the end of the quarter in Germany, the price of isobutanol reached 990 USD per metric ton in March. In MEA region, particularly in Saudi Arabia, isobutanol market price increased towards the end of the quarter and settled at 926 USD per metric ton in March.

In Q2 2024, the Asian isobutanol market experienced a downward trend in beginning of the quarter towards the end of the quarter, attributed to reduced import costs, high inventory levels, and decreased demand from downstream industries. The European isobutanol market isobutanol prices rose steadily from the start of the quarter through mid-quarter but experienced a decline toward the end of the period. These fluctuations were influenced by various factors, including changing demand patterns in downstream sectors. By the end of the quarter in June, the price of isobutanol in the Netherlands settled at 1,011 USD per metric ton. Similarly, in MEA region trend was same as Europe and Saudi Arabia price settled at 1,083 USD per metric ton in June.

In Q3 2024, the isobutanol market will continue to experience upward price pressure due to ongoing supply limitations. The growing demand for automotive, solvent, and coating sector will expect to boost the isobutanol market in the APAC region as well as in Europe region. As of July 2024, isobutanol prices were fluctuating and reflecting around 0.44% decrease from the previous month.

In Q4 2024, the Asia-Pacific region will experience upward trend in isobutanol prices. Key factors driving these price fluctuations include differing demand trends across various countries. Additionally, rising raw material prices will affect production costs, while ongoing trade tensions will disrupt regional supply chains. In the short term, the isobutanol market will experience growth primarily due to rising demand from the automotive, solvent and coating sectors. In addition, the global production of isobutanol is expected to increase owing to the rising demand for coating and fuel additive from end use industries.

Why ?

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

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

Track ‘s benzene 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.

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

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

Track 's isobutanol 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.

Historically, several events have caused significant fluctuations in isobutanol prices

Russia-Ukraine Conflict (2022-Present):

Energy Supply Disruptions: The conflict has severely impacted natural gas and crude oil supplies from the region, which are critical to the production of isobutanol. Rising energy costs have driven up production expenses, causing price increases.

Raw Material Shortages: Sanctions on Russia and disrupted trade routes have led to shortages of key raw materials, such as propylene, essential for producing isobutanol. This supply strain has further pushed prices higher in various markets.

Logistical Challenges: The conflict has disrupted global logistics, increased transportation costs and creating delays in shipments, especially in Europe. This has affected the availability of isobutanol and contributed to price volatility.

Market Uncertainty: Geopolitical instability has created uncertainty in the global chemical markets, prompting stockpiling and increased demand from buyers concerned about supply disruptions, further driving price fluctuations.

COVID-19 Pandemic (2020):

Supply Chain Disruptions: Lockdowns and restrictions led to production halts, factory closures, and transportation delays, disrupting the supply of isobutanol. This caused supply shortages, which pushed prices higher in many regions.

Decreased Demand in Key Industries: Industries that use isobutanol, such as coatings, chemicals, and solvents, saw reduced demand during the early months of the pandemic. This led to a temporary drop in prices as industrial activity slowed.

Post-Lockdown Recovery: As economies began to reopen, demand for isobutanol surged, especially in sectors like construction and manufacturing. This increase in demand, coupled with limited supply, caused a sharp rise in prices.

Rising Production Costs: Increased operational costs due to safety measures, raw material shortages, and higher transportation expenses further contributed to price fluctuations.

Geopolitical Tensions (2018-2019):

U.S.-China Trade War: The trade war resulted in tariffs on chemicals, including raw materials like propylene, which are crucial for isobutanol production. These tariffs increased production costs and disrupted supply chains, causing price volatility in the global market.

Sanctions and Political Instability: Sanctions imposed on key regions like Iran and Russia, major players in the energy and petrochemical industries, affected the availability of feedstocks required for isobutanol production. This led to supply shortages and price hikes.

Energy Price Volatility: Geopolitical tensions in oil-producing regions caused fluctuations in global energy prices, which directly impacted the cost of isobutanol production. As crude oil and natural gas prices rose, the costs of producing and transporting isobutanol also increased, leading to pricing instability.

These events underscore the isobutanol market’s vulnerability to global disruptions and highlight the need for continuous monitoring of supply-demand dynamics.

Methodology and Specifications

isobutanol Pricing Assessment Research Methodology

Data Collection and Sources

Real-Time Market Data: 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 isobutanol production hubs. This ground-level intelligence is crucial for understanding localized market dynamics.

Supply Chain Monitoring: We track the entire isobutanol supply chain, from raw material availability (e.g., propylene, syngas, glycerol and methanol) to production and distribution channels. This includes monitoring feedstock prices, production capacities, and transportation logistics.

Event Tracking and Impact Analysis

Geopolitical Tensions: continuously monitors global geopolitical developments, such as conflicts or trade disputes, which can significantly impact isobutanol 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 isobutanol 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: evaluates macroeconomic trends, including global economic growth, inflation rates, and sector-specific demand (e.g., plasticizers, fuel additive), to predict shifts in isobutanol demand and corresponding price movements.

Production Capacity and Supply Analysis

Current Production Monitoring: We maintain a comprehensive database of global isobutanol 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 isobutanol 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: provides in-depth analysis of demand trends across key sectors, including packaging, 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 isobutanol pricing. This includes understanding the impact of shifts in manufacturing bases, trade policies, and environmental regulations.

Pricing Model Development

Dynamic Pricing Models: utilizes advanced econometric models to forecast isobutanol 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: 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 delivers the most accurate, timely, and actionable isobutanol pricing assessments, helping our clients stay ahead of market trends and make informed business decisions.

Specifications

Molecular Weight[g/mol]

74.122

CAS No

78-83-1

HS Code

29051490

Molecular Formula

C4H10O

isobutanol

Isobutanol is a colourless, flammable alcohol produced via the oxo process, utilizing propylene and syngas as feedstocks. Known for its moderate volatility and low solubility, it serves as a solvent in paints, coatings, and adhesives. Additionally, isobutanol is a vital intermediate in the production of esters, fuel additives, and plasticizers, ensuring efficiency in diverse industrial applications.

Packaging Type

Isotanks, Drums (India)

Grades Covered

Industrial

Incoterms Used

FOB Klang, FOB Hamburg, FOB Rotterdam, FOB Dammam, CIF Busan (Malaysia), CIF Laem Chabang (Malaysia)

Synonym

Isobutyl Alcohol 2-Methyl-1-Propanol Isopropyl carbinol

Quotation Terms:

10-15 MT (India) 50-60 MT (Global)

Ex-Location: This incoterm refers to a shipping agreement where the seller makes the goods available at their premises, and the buyer is responsible for all transportation costs, including shipping, insurance, and any other fees.
CIF: CIF refers to the Cost, Insurance, and Freight (CIF) terms for goods. Under CIF terms, the seller is responsible for the cost of goods, insurance, and freight charges until the goods reach the port of destination.
FD: FD stands for Free Delivered where the seller takes full responsibility for delivering goods to the location/port. This ensures the buyer receives the goods at the designated port with all necessary costs, except import duties, covered.
FOB: FOB refers to the Free On-Board shipping term, where the seller is responsible for the cost and risk of delivering the goods to the port. Once the goods are on board the vessel, the responsibility shifts to the buyer for all costs, including shipping and insurance.

Property	Specification
Appearance	Colourless liquid
Purity	99.5%
Density (20 °C)	0.801-0.803 g/cm3
Boiling Range	106 –108 °C
Surface tension (20 °C)	23.0 mN/m
Solidification point at 1013 mbar	–108 °C
Refractive Index	1.395 –1.396
Dielectric constant (0 °C)	21.1

Applications

Isobutanol is used mainly as a feedstock/intermediate to make other chemicals including: Isobutene: Isobutene is a key derivative of isobutanol and is widely used in the production of various petrochemicals. Isobutyl Acetate: This ester, derived from isobutanol, is commonly used as a solvent in paints, coatings, and adhesives due to its favorable evaporation rate and low toxicity. Plasticizers: Isobutanol is utilized in the production of various plasticizers, which enhance the flexibility and durability of plastics. Lubricant Additives: It acts as an intermediate in producing lubricant additives, contributing to the performance and stability of lubricants. Other Chemicals: Isobutanol can also be converted into other valuable chemicals through various chemical processes, including: Di isobutyl Phthalate: Used as a plasticizer. Acrylate and Methacrylate Esters: Important in the production of paints, coatings, and adhesives.

Disclaimer

Isobutanol price provided by 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 isobutanol. 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.

Request a Price Watch Demo

Frequently asked questions

What factors impact the pricing of isobutanol in the market? +

The pricing of isobutanol is influenced by several factors, including fluctuations in the cost of raw materials like propylene, energy prices, and overall market demand. Supply chain disruptions, transportation costs, and geopolitical factors, such as trade tariffs and sanctions, also play a role in determining prices. Additionally, seasonal demand from key industries like coatings, chemicals, and solvents can impact price trends.

How do regional supply and demand dynamics affect isobutanol prices? +

Regional availability significantly influences isobutanol pricing. In regions with abundant production capacities, such as Asia-Pacific, prices may be more competitive due to local supply. On the other hand, regions that rely on imports, like Europe or North America, may face higher prices due to transportation costs, import tariffs, and potential supply shortages. The balance between regional supply and industrial demand creates pricing variability across markets.

What is the current trend in isobutanol pricing, and how can procurement teams secure the best rates? +

Isobutanol pricing trends can be affected by factors such as feedstock prices, global demand, and supply chain disruptions. Procurement teams can secure better rates by monitoring market trends, negotiating long-term contracts with reliable suppliers, and leveraging bulk purchasing to gain volume discounts. Staying updated with industry reports and price indices will help in making informed purchasing decisions.