Amino acids markets: China returns to markets and prices immediately rise
Firmer prices in China for threonine and lysine, against a weaker euro and declining container rates. Learn more in this week’s feed additives snapshot (week 41).
Business as usual in China yesterday after their public holiday and immediately prices for threonine were increased again on a FOB China basis. Lysine hcl has also been increased with a few cents/kg. No movement or change seen on the other amino acids. Methionine, valine, tryptophan and arginine stable to weakish still.
In partnership with Feed Additive Prices
Lysine
China returned to the market this week and increased the lysine hcl price on a FOB China basis by a few cents. Container freight rates may decline further, although there has already been a significant decline lately. The US dollar has gained some strength against the euro, so that is putting some pressure on local EU prices. There is still a lot of uncertainty about potential anti-dumping measures in Europe and upcoming EUDR regulations and implications for amino acid consumption. The market is quiet at the moment with a strong wait-and-see attitude. Q4 is contracted and a small portion of Q1 as well.
Threonine
The latest prices, after the holiday in China, are firmer than in previous weeks. Threonine manufacturers continue to increase prices on a FOB China basis. In several regions, that led to higher prices and buying activity for a part of Q1 arrival. In Europe, the euro weakened against the US dollar. Most of Q4 is contracted by now, and a small portion of Q1 as well.
DL-Methionine
Some suppliers have become more vocal about the intention to increase prices, but the market has not responded so far. There seems to be enough material available and no current disruptions are seen either. Prices are mostly stable and the market is very quiet. Buyers have contracted most of Q4 by now.
Tryptophan
As the Chinese market itself seems to slow down, there is now more pressure to sell Chinese tryptophan for export, and consequently, prices could become more under downward pressure. Currently, the market has a wait-and-see attitude. Few transactions are being made, and prices seem to be stable this week. A portion of Q4 still needs to be contracted.
Valine
The recent steep price decline seems to have slowed down and traders and suppliers have cleared some of their stock. But the market is still weakish and well supplied with new production capacity and no signs of change in that weakish trend are seen. Historically low price points are seen now. A portion of Q4 still needs to be contracted.
