In Q1 2024, sodium percarbonate prices in China experienced a steady decline throughout the quarter. The drop was largely driven by oversupply in the market, as key manufacturers ramped up production in response to previous periods of higher demand. However, the expected demand from the textile, detergent, and cleaning industries was lower than anticipated, especially following seasonal slowdowns after the Chinese New Year. This mismatch between supply and demand resulted in price reductions as producers sought to move inventory. Additionally, fluctuations in raw material costs and logistical challenges led to a more cautious market, which contributed to the consistent price decrease throughout the quarter.
In Q2 2024, sodium percarbonate prices continued to decline in the first half of the quarter. This was due to ongoing supply chain imbalances and subdued demand from key sectors, such as cleaning and laundry, following the end of peak demand in the previous quarter. Manufacturers faced pressure to reduce prices to clear excess stock, further driving the price drop. However, in the second half of Q2, prices began to recover gradually. A slight improvement in demand from industries like home cleaning and the return of some seasonal demand from the detergent market helped stabilize the prices. Additionally, production adjustments and reduced stock levels helped create more balanced supply conditions, leading to a slow but steady price recovery towards the end of the quarter.
In Q3 2024, sodium percarbonate prices saw an initial increase in the first half of the quarter. This uptick was driven by stronger-than-expected demand from the detergent and industrial cleaning sectors, particularly in China and other parts of Asia. A combination of higher raw material costs, reduced production in some regions, and the need to replenish stocks following earlier price declines contributed to the price rise. However, the second half of Q3 witnessed a decline in sodium percarbonate prices, largely due to a return to more normalized supply conditions. While demand remained relatively stable, supply chain improvements and a reduction in input costs helped to temper the previous price increases. After the conclusion of the quarter, Sodium Percarbonate prices in China were assessed at USD 760 per MT FOB Qingdao.
The stabilization in Sodium Percarbonate prices in the early part of the quarter was driven by a balance between demand and supply, with the detergent and cleaning industries maintaining consistent consumption levels. However, as the quarter progressed, prices began to decline as a result of reduced seasonal demand and the emergence of more competitive pricing strategies by key suppliers. Additionally, production costs decreased due to lower raw material prices and improved efficiencies in manufacturing. The market also saw reduced trading volumes, with fewer large-scale orders contributing to a downward price trend. By the end of Q4, sodium percarbonate prices had fallen, reflecting a quieter period in the market, with suppliers focusing on clearing inventory and adjusting to market conditions.