Amino acids markets: Lysine firmer – Threonine granular tight in the USA
Lysine is firming in almost all regions. In the USA there is more purchasing activity seen due to expected increased import duties next year. In Europe prices are firming around the ongoing uncertainty of the anti-dumping investigation. And in China the consumption is good and prices are therefore firming. Learn more in this week’s feed additives snapshot (week 48).
Threonine granular is very tight in the USA and prices continue to rise. In all other regions, threonine is stable to weak and availability is good. Methionin remains weakish and no changes are expected in that trend in the short term. Valine has stabilised at a low price level and is even showing a slight increase in some regions. Tryptophan is weak. Although Chinese suppliers have started to increase prices. Arginine seems to have stabilised at a low price level.
In partnership with Feed Additive Prices
Lysine
Lysine prices are firmer. In the USA end users are starting to buffer, ahead of the expected announced import duties by the Trump administration. Also, some local USA lysine production is said to be terminated in the near future. The market in China is running well and the demand of lysine is good. Suppliers have increased prices. The European market is still very uncertain, pending the investigation into the potential anti-dumping of Chinese lysine. There are some concerns about the availability of lysine in late Q1 and early Q2, as the question is if non-Chinese can fill the potential gap in the pipeline. Especially in Europe, there is a wide range of prices seen for Q1 delivery. Chinese sources are under future and retrospective anti-dumping investigation and at the same time non-Chinese sources are returning to the EU market but with relatively high prices. The market is overall quiet and well contracted for Q4 and a good portion of Q1.
Threonine
Except for the USA, the overall threonine market is weak. There is a tight situation in the USA for granular threonine and prices have moved up considerably. FOB China prices have been mostly stable until now. Availability is very good so sales pressure towards the end of the year is expected. Availability in Europe is also good and relatively low prices are still offered. But increasing container freight and a very weak EUR against the USD may lead to firmer prices later this year. Overall, very quiet market currently in most regions, except for the USA. Q4 is fully contracted, but Q1 not yet fully.
DL-Methionine
Slightly weaker prices again in Europe, while other regions seem mostly stable this week. The market seems well-supplied, but the trend feels weak. No nearby changes are expected. Q1 still needs to be contracted for the most part.
Tryptophan
The tryptophan market overall is weak. Although Chinese suppliers are trying to move prices back up. Supply is plentiful and prices continue to weaken in almost all regions for some months already. No nearby change is foreseen in this trend. Q4 is mostly contracted, but Q1 is still mostly open.
Valine
Prices have stopped declining and there is even some price increase seen in some regions. One of the main Chinese manufacturers has stopped production and moved the valine line to threonine production, as the market price for valine became too low for them. Another Chinese manufacturer is said to be involved in an intellectual property discussion in Europe, initiated by a non-Chinese producer. Overall availability of valine is very good, so no significant price increase is expected. But any nearby price decline seems to be unrealistic. Market activity is seen now for Q1 in several regions.
