In Q1 2024, the global SAN market experienced a bullish trend, driven by rising feedstock Styrene and Acrylonitrile prices and robust demand from key sectors such as automotive, consumer goods and electronics. The Lunar New Year festivities further enhanced demand for consumer products, resulting in increased production and higher Styrene usage. Additionally, supply chain disruptions due to factory closures and rising freight rates, coupled with increased global capacity utilization, added pressure to the market, propelling SAN prices during this period.
In Q2 2024, the global SAN Market experienced a mixed trend. The APAC market saw a significant price increase driven by supply-demand imbalance, rising global freight rates and higher Styrene and Acrylonitrile feedstock costs. Unplanned plant shutdowns exacerbated supply constraints, while robust demand from downstream sectors, particularly the automotive industry, contributed to the bullish trend. In contrast the European and North American market experienced a decline due to lower feedstock costs, subdued demand from key sectors like Automotive and consumer goods and an oversupply of materials. High financing costs and reduced consumer spending further dampened demand, especially in the German construction sector which faced contractions.
By Q3 2024, the global SAN market experienced a bearish trend, with prices around 2280 USD/MT FOB Houston. Weak demand from key sectors such as automotive, consumer goods and electronics led to reduced orders and high inventory levels, contributing to the downward trend. Additionally, an ample availability of product emerged as producers increased production, exerting further downward pressure on prices due to declining seasonal demand from the downstream industry.
In Q4 2024, SAN prices are expected to decline in the global market. This anticipated drop is linked to lower demand as the winter season arrives, typically resulting in reduced activity in the as automotive, consumer goods and electronics. Consequently, the decreased need for SAN could significantly affect pricing. Additionally, year-end destocking activities may further influence the market, leading to a bearish outlook for SAN during this period, particularly affecting its applications in styrene production and other downstream uses.