Potassium Chloride Prices Trend in the second quarter of 2023 | ChemAnalyst

North America:

Potassium Chloride witnessed a bearish trend throughout the second quarter of 2023 in North America. In Canada, this decline was primarily attributed to weak market sentiments in the international arena, compounded by an abundant supply of potassium chloride. Discounts offered by Russia and Belarus to Asian, African, and South American countries significantly impacted global market prices. This price decrease was partly a response to reduced demand from farmers, who curtailed fertilizer applications due to concerns related to affordability and availability. Cautious buying behavior also prevailed due to sluggish demand from domestic downstream industries. Despite this, there were ample supplies to meet the needs of downstream sectors such as pharmaceuticals, oil, and gas, although demand from downstream fertilizer producers decreased. Canada’s Manufacturing PMI dropped to 48.8 in June 2023, marking the third consecutive month of contraction, primarily due to elevated borrowing costs impeding economic activity. This bearish trend extended across the Americas and Europe. In June 2023, prices for Potassium Chloride Fertilizer Grade FOB Vancouver settled at USD 410/MT.

APAC:

The Potassium Chloride market in the Asia-Pacific (APAC) region displayed a mixed trend during the second quarter of 2023. In China, prices experienced a consistent decline throughout the quarter, largely due to weakened demand from downstream fertilizer manufacturing industries. Market participants noted sufficient material availability in the region, accompanied by a slowdown in consumer inquiries. The presence of cheap Russian imports further contributed to moderating Potassium Chloride prices in the Chinese domestic market. In India, prices remained volatile throughout the second quarter, influenced by factors such as reliance on imports and fluctuations in freight charges between Russia and India. Imports into India saw a significant decline of 17.1% in June 2023 compared to the same month in the previous year, reaching 53.10 billion dollars, primarily due to weak domestic demand. Researchers anticipate the possibility of a bullish trend in Q3 as the Rabi season is expected to boost demand for potash fertilizers. Meanwhile, the overall fertilizer industry in China faced a slowdown amidst deteriorating business sentiments and consumer reluctance to make new purchases. Supply chain operations remained smooth, and vendor performance remained stable. In June 2023, prices for Potassium Chloride Fertilizer Grade Ex Qingdao settled at USD 400/MT.

Get Real Time Prices of Potassium Chloride: https://www.chemanalyst.com/Pricing-data/potassium-chloride-1161

Europe:

Potassium Chloride experienced a bearish trend across the European market during the second quarter of 2023. In Germany, domestic prices for Potassium Chloride dropped due to sluggish demand from the downstream fertilizer industry. The eurozone found itself in a technical recession as its GDP declined for two consecutive quarters. Russian and Belarusian discounts to Asian, African, and South American countries played a significant role in reducing global market prices, rendering European produce less competitive. In June 2023, Germany’s annual inflation rate increased to 6.4%, up from 6.1% in May 2023, primarily driven by higher energy prices. Consequently, amidst high inflation, rising interest rates, and deteriorating business sentiments, overall Potassium Chloride consumption remained subdued. There was an abundant supply of Potassium Chloride in the domestic market, coupled with slower offtakes from the consumer market. In terms of production, feedstock Potassium Carbonate prices continued to decline due to weak demand, with a 2.1% drop in prices observed in Europe during the month. Supply chain operations remained smooth, and no major supply-related issues were reported in the region. In June 2023, prices for Potassium Chloride Fertilizer Grade FOB Antwerp settled at USD 535/MT.