As of August 2024, Linear Alpha Olefin (LAO) prices saw a slight decrease, with the price reaching USD 797 per metric ton, reflecting a minor decline of 0.62% from July’s price of USD 802. In Q2 2024, the average price had been USD 840, marking a notable decrease of 8.40% from Q1’s average of USD 917.
Throughout the second quarter and into the summer months, pricing pressures had been driven by factors such as changes in feedstock availability, shifting demand patterns across key industries, and regional production challenges. The significant decrease from Q1 to Q2 could be attributed to supply chain disruptions and slower demand growth in the petrochemical sector.
Looking ahead, the LAO market is expected to continue facing price fluctuations, largely driven by ongoing feedstock cost dynamics and the impact of operational adjustments at production facilities. While short-term price stability may be influenced by seasonal demand patterns, there will still be uncertainty about the future direction of prices.
Long-term price outlooks will remain uncertain, with procurement teams needing to keep a close watch on feedstock market trends, regional production shifts, and global economic factors that could further influence prices in the coming months. Strategic planning will be essential as market volatility is likely to continue shaping the LAO pricing landscape.