MERCOSUR: Formaldehyde Market 2024

Formaldehyde Market Size in MERCOSUR

The MERCOSUR formaldehyde market shrank slightly to $X in 2022, which is down by -2.8% against the previous year. Over the period under review, consumption recorded a perceptible decrease. Over the period under review, the market reached the peak level at $X in 2012; however, from 2013 to 2022, consumption remained at a lower figure.

Formaldehyde Production in MERCOSUR

In value terms, formaldehyde production dropped slightly to $X in 2022 estimated in export price. In general, production recorded a pronounced reduction. The growth pace was the most rapid in 2017 with an increase of 17% against the previous year. Over the period under review, production hit record highs at $X in 2012; however, from 2013 to 2022, production remained at a lower figure.

Formaldehyde Exports

Exports in MERCOSUR

After three years of growth, overseas shipments of formaldehyde decreased by -58.4% to X tons in 2022. In general, exports, however, continue to indicate a resilient increase. The growth pace was the most rapid in 2021 with an increase of 458%. As a result, the exports attained the peak of X tons, and then dropped rapidly in the following year.

In value terms, formaldehyde exports dropped sharply to $X in 2022. Over the period under review, exports, however, showed a prominent expansion. The pace of growth appeared the most rapid in 2021 when exports increased by 602% against the previous year. As a result, the exports reached the peak of $X, and then shrank sharply in the following year.

Exports by Country

Brazil prevails in exports structure, resulting at X tons, which was approx. 93% of total exports in 2022. Peru (X tons), Colombia (X tons) and Chile (X tons) followed a long way behind the leaders.

Brazil was also the fastest-growing in terms of the formaldehyde exports, with a CAGR of +27.7% from 2012 to 2022. At the same time, Peru (+20.2%) and Chile (+3.1%) displayed positive paces of growth. By contrast, Colombia (-6.7%) illustrated a downward trend over the same period. From 2012 to 2022, the share of Brazil increased by +65 percentage points. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Brazil ($X) remains the largest formaldehyde supplier in MERCOSUR, comprising 92% of total exports. The second position in the ranking was held by Peru ($X), with a 3.2% share of total exports. It was followed by Chile, with a 2.3% share.

In Brazil, formaldehyde exports expanded at an average annual rate of +32.0% over the period from 2012-2022. In the other countries, the average annual rates were as follows: Peru (+19.7% per year) and Chile (+11.2% per year).

Export Prices by Country

The export price in MERCOSUR stood at $X per ton in 2022, growing by 13% against the previous year. Over the period from 2012 to 2022, it increased at an average annual rate of +1.8%. The most prominent rate of growth was recorded in 2021 when the export price increased by 26% against the previous year. The level of export peaked in 2022 and is expected to retain growth in the immediate term.

Average prices varied somewhat amongst the major exporting countries. In 2022, major exporting countries recorded the following prices: in Chile ($X per ton) and Peru ($X per ton), while Brazil ($X per ton) and Colombia ($X per ton) were amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Chile (+7.9%), while the other leaders experienced more modest paces of growth.

Formaldehyde Imports

Imports in MERCOSUR

In 2022, purchases abroad of formaldehyde decreased by -54.3% to X tons for the first time since 2019, thus ending a two-year rising trend. Over the period under review, imports, however, recorded buoyant growth. The pace of growth appeared the most rapid in 2021 when imports increased by 203% against the previous year. As a result, imports reached the peak of X tons, and then shrank markedly in the following year.

In value terms, formaldehyde imports declined markedly to $X in 2022. Overall, imports, however, enjoyed a resilient expansion. The growth pace was the most rapid in 2021 when imports increased by 126% against the previous year. As a result, imports reached the peak of $X, and then contracted sharply in the following year.

Imports by Country

Argentina represented the main importing country with an import of about X tons, which finished at 59% of total imports. It was distantly followed by Chile (X tons), comprising a 26% share of total imports. The following importers - Venezuela (X tons), Paraguay (X tons), Uruguay (X tons) and Ecuador (X tons) - together made up 13% of total imports.

Argentina was also the fastest-growing in terms of the formaldehyde imports, with a CAGR of +36.4% from 2012 to 2022. At the same time, Chile (+24.8%), Venezuela (+18.5%) and Paraguay (+5.3%) displayed positive paces of growth. By contrast, Ecuador (-1.1%) and Uruguay (-12.4%) illustrated a downward trend over the same period. From 2012 to 2022, the share of Argentina, Chile and Venezuela increased by +52, +18 and +1.8 percentage points, respectively.

In value terms, the largest formaldehyde importing markets in MERCOSUR were Chile ($X), Argentina ($X) and Ecuador ($X), together comprising 92% of total imports.

Among the main importing countries, Argentina, with a CAGR of +35.9%, recorded the highest rates of growth with regard to the value of imports, over the period under review, while purchases for the other leaders experienced more modest paces of growth.

Import Prices by Country

In 2022, the import price in MERCOSUR amounted to $X per ton, picking up by 36% against the previous year. Overall, the import price continues to indicate a relatively flat trend pattern. The level of import peaked at $X per ton in 2018; however, from 2019 to 2022, import prices failed to regain momentum.

Prices varied noticeably by country of destination: amid the top importers, the country with the highest price was Ecuador ($X per ton), while Uruguay ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Ecuador (+10.5%), while the other leaders experienced mixed trends in the import price figures.

Source: IndexBox Platform