Paraffin Wax Price Trend

Paraffin Wax Prices December 2023

The paraffin wax market in the US fell to 1375 USD/MT in Q4 2023 due to lower demand in the cosmetics and candle-making sectors, a decline in crude oil prices across the globe, restrictions on Venezuelan crude oil sales, and deliberate changes in shipping routes - such as Maersk's rerouting from Red Sea routes, which increased ton-miles and port inventories.

Similarly, the paraffin wax market in China also experienced a bearish trend, with prices declining to 775 USD/MT due to subdued demand, global crude oil price decline, and disruptions in the Red Sea trade route. Besides this, Yemeni rebel attacks caused increased ocean freight rates, delayed exports, and inventory build-up at Chinese ports, which narrowed the gap between demand and supply, further reinforcing the downward trend in paraffin wax prices.

Furthermore, the European paraffin wax market had a dip, with prices at 1615 USD/MT, owing to a decline in demand from the cosmetics and candle manufacturing businesses, worldwide crude oil prices, and Yemeni rebel attacks on Red Sea traffic. These interruptions resulted in higher stockpiles in the European market, which added to the overall drop in paraffin wax prices.

Paraffin Wax Price Trend, Market Analysis, and News

IMARC's latest publication, “Paraffin Wax Pricing Report 2024: Price Trend, Chart, Market Analysis, News, Demand, Historical and Forecast Data,” presents a detailed examination of the paraffin wax market, providing insights into both global and regional trends that are shaping prices. This report delves into the spot price of paraffin wax at major ports and analyzes the composition of prices, including FOB and CIF terms. It also presents a detailed paraffin wax price trend analysis by region, covering North America, Europe, Asia Pacific, Latin America, and Middle East and Africa. The factors affecting paraffin wax pricing, such as the dynamics of supply and demand, geopolitical influences, and sector-specific developments, are thoroughly explored. This comprehensive report helps stakeholders stay informed with the latest market news, regulatory updates, and technological progress, facilitating informed strategic decision-making and forecasting.

Paraffin Wax Market Analysis

The global paraffin wax market size reached US$ 5.8 Billion in 2023. By 2032, IMARC Group expects the market to reach US$ 9.3 Billion, at a projected CAGR of 5.50% during 2023-2032.

• The increasing demand for candles, particularly in emerging economies, represents the key factor driving the market growth. The demand for paraffin wax is being further stimulated by the widespread usage of paraffin wax candles for therapeutic, religious, and ornamental purposes.
• The flourishing expansion of the cosmetics industry, wherein paraffin wax is extensively utilized in the production of skin-softening treatments, such as paraffin wax baths, owing to its moisturizing properties, is acting as another significant growth-inducing factor.
• Concurrently, the shifting preference for convenience foods and the need for efficient packaging solutions are bolstering the demand for paraffin wax in the thriving food industry, where it is used to seal jars of jams, jellies, and other food products because it works well as a sealer for food preservation.
• In addition to this, the burgeoning growth of the pharmaceutical sector is further impelling the market growth as paraffin wax is employed in the production of various medicinal and topical formulations due to its inert nature and skin-friendly properties.
• The expansion of the textile industry, particularly in developing regions, spurring the use of paraffin wax in textile treatments to impart water repellency and improve fabric quality is creating a positive outlook for market expansion.
• Along with this, the increasing demand from the burgeoning automotive industry, where paraffin wax is employed in the manufacturing components like rubber and tires, serving as a processing aid is providing an impetus to the market growth.
• Moreover, the agriculture sector’s surging adoption of paraffin wax in crop protection formulations, such as pesticides and fungicides, to improve their efficacy and adhesion is presenting lucrative opportunities for market expansion.
• In confluence with this, the inflating disposable income levels and changing consumer lifestyles have heightened the demand for luxury and decorative candles, thereby boosting the consumption of paraffin wax.
• Furthermore, widespread product utilization across the construction industry in waterproofing compounds, coatings, adhesives, and sealants to enhance their performance and durability is propelling the market forward.

Paraffin Wax News

The report covers the latest developments, updates, and trends impacting the price of paraffin wax, providing stakeholders with timely and relevant information. This segment covers a wide array of news items, including the inauguration of new production facilities, technological innovations, strategic market expansions by key industry players, and significant mergers and acquisitions that impact the paraffin wax price trend.

Latest developments in the paraffin wax industry:

• In December 2022, three major Saudi Arabian oil companies, namely Saudi Arabian Oil Company, Saudi Basic Industries Corporation (SABIC), and China Petroleum and Chemical Corporation ('Sinopec'), announced their intent to collaborate and work together on petrochemical and refining projects in China and Saudi Arabia. This partnership involves a 1.5-million-ton annual petrochemical cracker facility and a refinery with a capacity of 320,000 barrels per day that will begin its operations by the end of 2025.
• In November 2022, Eneos Corporation partnered with Niigata Public Corporation of Agriculture and Forestry to sign the agreement for "the realization of a decarbonized society through forests conservation." In order to achieve its goal of lowering the Eneos CO2 emissions by 46% of the 2013 level by 2030, the Eneos Group is funding programs to develop and use J credits obtained from forest management.

Product Description

Paraffin wax refers to a petroleum-based wax that is mostly constituted of saturated hydrocarbons. It is a white or colorless, odorless solid that is commonly used in various applications due to its versatility and desirable properties.

One of the distinguishing features of paraffin wax is its ability to melt at relatively very low temperatures, typically between 46°C to 68°C (115°F to 154°F), making it easy to handle and manipulate. This property makes it popular for candle making, where it is used as the main ingredient for producing candles of different shapes and sizes.

Additionally, paraffin wax offers excellent sealing properties, making it valuable in preserving food, such as sealing jars of jams and jellies. It is also used in the cosmetics industry for making skin-softening treatments, such as paraffin wax baths, which are known for their moisturizing and therapeutic effects on the skin.

Moreover, paraffin wax finds applications in various industrial processes, including in the manufacturing of wax paper, crayons, and certain types of polishes and lubricants. Its low cost, stability, and availability make it a preferred choice in many industries.

Regional Coverage

The report provides a detailed analysis of the market across different regions, each with unique pricing dynamics influenced by localized market conditions, supply chain intricacies, and geopolitical factors. This includes price trends, price forecast and supply and demand trends for each region, along with spot prices by major ports. The report also provides coverage of FOB and CIF prices, as well as the key factors influencing the paraffin wax price trend.

Global Paraffin Wax Price

The report offers a holistic view of the global paraffin wax pricing trends in the form of paraffin wax price charts, reflecting the worldwide interplay of supply-demand balances, international trade policies, and overarching economic factors that shape the market on a macro level. This comprehensive analysis not only highlights current price levels but also provides insights into historical price of paraffin wax, enabling stakeholders to understand past fluctuations and their underlying causes. The report also delves into price forecast models, projecting future price movements based on a variety of indicators such as expected changes in supply chain dynamics, anticipated policy shifts, and emerging market trends. By examining these factors, the report equips industry participants with the necessary tools to make informed strategic decisions, manage risks, and capitalize on market opportunities. Furthermore, it includes a detailed paraffin wax demand analysis, breaking down regional variations and identifying key drivers specific to each geographic market, thus offering a nuanced understanding of the global pricing landscape.

Europe Paraffin Wax Price

In Europe, the paraffin wax market experienced a bearish trend in Q4 2023, driven by reduced demand in cosmetics and candle making sectors, compounded by low global crude oil prices. Sanctions on Venezuelan crude oil exports affected global oil values, providing slight relief. Attacks on Red Sea trade routes disrupted shipping, leading to increased inventories and downward pressure on prices. These factors collectively contributed to the overall downturn in the European paraffin wax market.

This analysis can be extended to include detailed paraffin wax price information for a comprehensive list of countries.

North America Paraffin Wax Price

In North America, the paraffin wax market witnessed a bearish trend in Q4 2023, driven by reduced demand in domestic and international cosmetics and candle making sectors, exacerbated by prolonged low global crude oil prices. Sanctions on Venezuelan crude oil exports affected global oil values, providing slight relief. Rerouting of vessels away from Red Sea routes increased tonne-miles, leading to higher inventories and reinforcing the bearish trajectory.

Specific paraffin wax historical data within the United States and Canada can also be provided.

Middle East and Africa Paraffin Wax Price

The analysis of paraffin wax prices in the Middle East and Africa (MEA) region provides a detailed overview, reflecting the unique market dynamics in the region influenced by economic policies, industrial growth, and trade frameworks.

In addition to region-wise data, information on paraffin wax prices for countries can also be provided.

Asia Pacific Paraffin Wax Price

In the Asia-Pacific region, the paraffin wax market experienced a bearish trend in Q4 2023, influenced by subdued demand domestically and internationally, worsened by extended low global crude oil prices. Weak international demand, coupled with domestic sector weaknesses, exerted downward pressure on prices. Disruptions in the Red Sea trade route led to increased ocean freight rates and rerouting of commodities, contributing to a build-up of inventories and reinforcing the downward price trajectory.

This paraffin wax price analysis can be expanded to include a comprehensive list of countries within the region.

Latin America Paraffin Wax Price

The analysis of paraffin wax prices in Latin America provides a detailed overview, reflecting the unique market dynamics in the region influenced by economic policies, industrial growth, and trade frameworks.

This comprehensive review can be extended to include specific countries within the region.

Report Coverage

Key Benefits for Stakeholders:

• IMARC’s report presents a detailed analysis of paraffin wax pricing, covering global and regional trends, spot prices at key ports, and a breakdown of FOB and CIF prices.
• The study examines factors affecting paraffin wax price trend, including input costs, supply-demand shifts, and geopolitical impacts, offering insights for informed decision-making.
• The competitive landscape review equips stakeholders with crucial insights into the latest market news, regulatory changes, and technological advancements, ensuring a well-rounded, strategic overview for forecasting and planning.
• IMARC offers various subscription options, including monthly, quarterly, and biannual updates, allowing clients to stay informed with the latest market trends, ongoing developments, and comprehensive market insights. The paraffin wax price charts ensure our clients remain at the forefront of the industry.