Malaysia
Saudi Arabia
Germany
Thailand
United States
Netherlands
South Korea
IndiaIn Q1 2025, the FOB price of Isobutanol from Malaysia decreased by 6.03%, reaching 803 USD per MT, continuing the downward trend from the previous quarter (Q4 2024) where a 6.01% drop was observed. This decline can be attributed to weaker demand from downstream industries, particularly in South Korea and Thailand, both major CIF importers of Malaysian Isobutanol. Seasonality plays a role in reducing demand for Isobutanol as the paint and coatings industry experiences lower activity during the winter months.
On the other hand, Saudi Arabia’s price saw a slight increase of 5.85%, indicating a recovery in the export market, likely driven by stronger demand from the automotive and chemicals industries. The USA observed a price drop of 4.76%, reflecting a seasonal lull and weaker domestic consumption, especially in the production of automotive coatings and plastics.
Meanwhile, Germany and Netherlands experienced price increases (6.71% and 7.53%, respectively), potentially due to increased demand for higher-grade Isobutanol in the European chemical sectors. The rise in European prices could also be linked to supply constraints and increased export opportunities as demand rebounds in the post-holiday season.Â
According to PriceWatch, In Q2 2025, Malaysia’s Isobutanol prices increased by 7.14%, reaching 860 USD per MT. This increase was driven by higher demand in CIF countries like Thailand and South Korea, where consumption in the automotive and coatings sectors picked up after the seasonal slowdown.
Feedstock prices for propylene and butane remained relatively stable, but the stronger regional demand pushed prices higher. In contrast, Germany’s Isobutanol prices decreased by 2.06%, falling to 1037 USD per MT. This decline was largely attributed to slower demand in Germany’s domestic market and a weaker demand from its key CIF countries, including South Korea and Thailand.
According to PriceWatch, Germany’s market faced downward pressure due to lower consumption in key industrial sectors like coatings and plastics. Isobutanol prices reflects the opposing trends, with Malaysia showing growth while Germany saw a slight decline in Q2 2025.Â
In Q1 2024, Malaysia’s Isobutanol price showed a moderate increase of 0.60%, reaching 922 USD per MT, which can be attributed to stable demand from Thailand and South Korea, especially in industrial applications like paints and coatings. The increase was relatively subdued, reflecting a typical seasonal demand lull after the year-end holidays.
Saudi Arabia’s price surged significantly by 17.74%, primarily driven by higher demand from its key export markets. The rise also likely reflects a tight supply and strong export performance, despite the global economic uncertainties. In the USA, prices dropped by 3.39%, influenced by a decrease in consumption following the winter season and reduced demand in key markets such as automotive coatings.
Germany saw a decline of 4.03%, likely due to lower industrial demand post-holiday season and supply chain disruptions, while Netherlands also recorded a drop of 3.83%, reflecting similar trends in Europe during the colder months.Â
Q2 2024 marked a period of price increase for Saudi Arabia, where Isobutanol prices surged by 26.13%, reflecting stronger demand from the automotive and coatings sectors, particularly in emerging markets. The spike in Saudi exports could also be influenced by favorable feedstock prices and increased industrial activity. Malaysia observed a sharp decrease of 3.92%, with prices dropping to 886 USD per MT, potentially driven by reduced exports to South Korea and Thailand as these countries likely saw a slowdown in their downstream industries.
In contrast, Germany and Netherlands saw increases of 4.86% and 4.64%, respectively, which could be attributed to higher demand for high-quality Isobutanol in the European chemical and pharmaceutical sectors. Meanwhile, the USA experienced a price drop of 3.65%, which may be due to reduced consumption in its domestic market following high prices in Q1.Â
In Q3 2024, Malaysia experienced a slight price increase of 2.60%, reaching 909 USD per MT, which could be attributed to improved demand from Thailand and South Korea, where the chemical and coatings sectors typically see moderate seasonal growth. Saudi Arabia saw a price reduction of 4.25%, likely driven by the stabilization of market conditions following a strong price surge in Q2 2024.
The decrease might also indicate a reduction in exports due to weakening demand from downstream sectors such as construction and automotive manufacturing. The USA showed a small increase of 0.72%, indicating a recovery in demand for Isobutanol as industrial applications picked up.
Germany saw a mild reduction of 1.22%, possibly driven by fluctuations in upstream feedstock costs or temporary disruptions in production. Similarly, Netherlands saw a minor decline of 2.91%, potentially reflecting lower regional demand for solvents and chemicals during this period.Â
In Q4 2024, Malaysia’s Isobutanol prices decreased by 6.01% compared to the previous quarter, with prices dropping to 855 USD per MT. This decline can be attributed to reduced export demand from Thailand and South Korea, possibly due to their domestic oversupply and inventory build-up during the earlier part of the year.
Saudi Arabia’s price fell by 13.96%, which reflects a significant slowdown in demand from the global chemical and plastic sectors. The dip in price could also stem from an oversupply issue following the high prices in Q2 and Q3 in 2024. The USA witnessed a slight increase of 0.90%, likely a response to a small uptick in demand from the automotive and consumer goods industries, which continued to push for Isobutanol for coatings and adhesives.
Germany saw a modest decline of 2.41%, possibly due to seasonal shifts in chemical production and demand for solvents. Netherlands experienced a substantial price drop of 6.60%, which might be linked to reduced European market demand for solvents used in coatings during the colder months.Â
In Q1 2025, Iso Butanol prices in India are projected to face downward pressure, with CIF prices dropping by 5.62% to 861 USD per MT compared to the previous quarter. The reduction is largely driven by a slowdown in demand from downstream industries such as paints, coatings, and adhesives, compounded by a weaker overall economic environment in India.
This decline is further exacerbated by the continued volatility in crude oil prices, which impacts the production cost of feedstocks like propylene, directly affecting Iso Butanol production costs. Ex-Kandla prices are also expected to fall by 6.24%, from 1016 USD per MT in Q4 2024 to 953 USD per MT, influenced by sluggish demand, particularly in the automotive and construction sectors.
Logistical bottlenecks at ports and rising freight costs, alongside a weak domestic currency, add to the pressure on local market prices. Despite Malaysia maintaining a steady export flow to India, delays in feedstock availability and production constraints in the region may affect overall supply, contributing to a more restrained market outlook for Q1 2025.Â
According to the PriceWatch, In Q2 2025, India’s CIF prices for Isobutanol increased by 6.89%, reaching 920 USD per MT. This rise was driven by stronger demand in India’s downstream sectors, particularly in coatings and plastics, as these industries ramped up production after the seasonal slowdown.
Malaysia, as the key exporter to India, saw a slight uptick in exports, responding to the recovering demand from India. Additionally, feedstock costs for propylene and butane remained relatively stable, supporting price growth.
India’s Ex-Kandla prices also increased by 3.50%, reaching 986 USD per MT, reflecting positive domestic market activity despite global challenges. The PriceWatch price index shows a positive price trend in both CIF and domestic markets in India.
The PriceWatch price chart highlights the rebound in India’s Isobutanol prices following the previous quarter’s decline, with India’s market showing resilience due to strong demand across key sectors.Â
Iso Butanol prices in India saw a notable increase in Q1 2024, with CIF prices rising by 2.79%, from 957 USD per MT in Q4 2023 to 984 USD per MT. This price increase was primarily driven by a seasonal uptick in demand as downstream industries, particularly automotive and coatings, began to ramp up production post-holiday season.
Additionally, rising feedstock prices, especially for propylene, contributed to the higher production costs, which were passed down the supply chain. Ex-Kandla prices saw a significant increase of 12.91%, moving from 1090 USD per MT in Q4 2023 to 1231 USD per MT.
This price hike was influenced by the recovery in domestic demand, the rebuilding of inventory, and supply chain adjustments as the Indian economy saw a brief recovery from the previous quarter’s slowdown. Feedstock availability from domestic refineries helped ensure a steady supply, although challenges in global freight rates and logistical inefficiencies pushed prices upward.
Malaysia continued to supply Iso Butanol to India, although slight delays in exports and production constraints in Malaysian refineries played a role in price volatility. Overall, the first quarter saw a resurgence in market activity, driven by both seasonal demand and upstream feedstock price increases.Â
In Q2 2024, Iso Butanol prices in India (CIF) fell by 0.89%, moving from 984 USD per MT in Q1 2024 to 975 USD per MT. This price decrease was influenced by a combination of reduced demand from the automotive and construction sectors during the monsoon season and higher feedstock prices, which strained margins for producers. The impact of seasonality was particularly evident, as manufacturing activity in construction slowed down, leading to lower consumption of paints and coatings.
At Ex-Kandla, however, prices rose by 1.73%, from 1252 USD per MT in Q1 2024 to 1252 USD per MT in Q2 2024, largely due to the strengthening of domestic production and reduced imports in anticipation of summer demand. Despite the monsoon’s impact, local production rates remained steady, and logistical factors, such as improved port handling, helped maintain price stability.
Malaysia’s steady export levels to India helped balance the supply, though there were some minor delays in shipments. Despite a mixed price movement, the overall market remained constrained, with demand-side pressures offsetting any significant upward movement in Ex-Kandla prices.Â
In Q3 2024, Iso Butanol prices in India saw a slight uptick of 0.61%, moving from 975 USD per MT in Q2 2024 to 981 USD per MT. This increase can be attributed to the recovery in demand from industries such as automotive coatings and paints, which typically experience higher demand in the mid-year months. The uptick was supported by a rebound in fuel blending requirements and improved consumption in the chemical sector.
However, at Ex-Kandla, prices declined by 8.97%, from 1252 USD per MT in Q2 2024 to 1140 USD per MT in Q3 2024, driven by weaker domestic demand and higher inventory levels in anticipation of the upcoming festival season. Feedstock availability remained stable, but rising freight costs and logistical constraints impacted supply-side dynamics.
Malaysia continued to provide a steady export supply, but shipping delays and global logistical issues meant that price adjustments were less responsive to the rising demand in India. The combination of local and global factors created a mixed market outlook, with CIF prices slightly improving, while domestic prices at Ex-Kandla struggled due to the seasonal slowdown.Â
Iso Butanol prices in India experienced a sharp decline in Q4 2024, with CIF prices dropping by 6.97% to 912 USD per MT, compared to 984 USD per MT in Q1 2024. This price reduction was mainly attributed to a dip in demand from downstream sectors like automotive coating and adhesives, as the sector struggled to recover from the effects of earlier slowdowns in manufacturing activities.
Additionally, the decline in crude oil prices globally and its impact on feedstock costs played a role in reducing production costs for upstream suppliers. At Ex-Kandla, prices decreased significantly by 10.83%, moving from 1231 USD per MT in Q1 2024 to 1016 USD per MT in Q4 2024. The sharp drop was further influenced by seasonal demand fluctuations, as industries typically reduce consumption during the latter part of the year in anticipation of lower activity.
The Indian Rupee’s strength during the quarter somewhat mitigated these declines but failed to offset the broader market sentiment of reduced consumption. Malaysia’s steady exports to India were balanced by domestic production challenges, but Indian demand weakened due to the economic slowdown, causing a mismatch in supply and demand dynamics.Â
Molecular Weight[g/mol]
CAS No
HS Code
Molecular Formula
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
Isobutanol Grades Covered
Incoterms Used
Synonym
PriceWatch Quotation Terms:
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 |
Isobutanol Applications
Isobutanol is used mainly as a feedstock/intermediate to make other chemicals including:Â
Isobutene: Isobutene is a key derivative of isobutanol and is widely used in the production of various petrochemicals.Â
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.Â
Plasticizers: Isobutanol is utilized in the production of various plasticizers, which enhance the flexibility and durability of plastics.Â
Lubricant Additives: It acts as an intermediate in producing lubricant additives, contributing to the performance and stability of lubricants.Â
Other Chemicals: Isobutanol can also be converted into other valuable chemicals through various chemical processes, including:Â
Di isobutyl Phthalate: Used as a plasticizer.Â
Acrylate and Methacrylate Esters: Important in the production of paints, coatings, and adhesives.Â
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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.Â
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.Â
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.Â
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.Â
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.Â
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.Â
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.Â
Rising Production Costs: Increased operational costs due to safety measures, raw material shortages, and higher transportation expenses further contributed to price fluctuations.Â
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.Â
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.Â
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.Â
These events underscore the isobutanol market’s vulnerability to global disruptions and highlight the need for continuous monitoring of supply-demand dynamics.Â
PriceWatch 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, 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 isobutanol prices worldwide. Stay ahead of the curve with PriceWatch’s reliable, accurate, and timely isobutanol market data.
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Molecular Weight[g/mol]
CAS No
HS Code
Molecular Formula
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
Grades Covered
Incoterms Used
Synonym
PriceWatch Quotation Terms:
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:Â
Isobutene: Isobutene is a key derivative of isobutanol and is widely used in the production of various petrochemicals.Â
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.Â
Plasticizers: Isobutanol is utilized in the production of various plasticizers, which enhance the flexibility and durability of plastics.Â
Lubricant Additives: It acts as an intermediate in producing lubricant additives, contributing to the performance and stability of lubricants.Â
Other Chemicals: Isobutanol can also be converted into other valuable chemicals through various chemical processes, including:Â
Di isobutyl Phthalate: Used as a plasticizer.Â
Acrylate and Methacrylate Esters: Important in the production of paints, coatings, and adhesives.Â
Â
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.
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.
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.
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