[Chemical Knowledge]：What are the factors affecting the price of fatty amines? Detailed analysis, the latest 2021 of fatty amine price increases

1. Supply and demand

The supply and demand of the fatty amine market is one of the main factors affecting its price. The production of fatty amines is mainly concentrated in some large chemical enterprises, and the production capacity and production plan of these enterprises directly affect the supply of the market. Excess supply will cause prices to fall, while insufficient supply will cause prices to rise. The demand for fatty amines is also affected by downstream application industries, such as pesticides, pharmaceuticals, personal care products and other industries will directly affect the market price of fatty amines.

2. Raw material prices

The production of fatty amines requires the use of various chemical raw materials, such as fatty acids and ammonia. The fluctuation of raw material price will directly affect the production cost of fatty amine, thus affecting the market price. For example, fluctuations in the price of oil can affect the price of fatty acids, as fatty acids are often extracted from petrochemicals. Therefore, the increase in the price of oil will lead to an increase in the production cost of fatty amines, thereby pushing up the market price of fatty amines.

3. Production process and technological progress

Advances in production processes and technologies can significantly reduce the production costs of fatty amines, thereby affecting market prices. The application of new processes and technologies can improve production efficiency, reduce waste of raw materials, and reduce energy consumption, thereby reducing production costs. For example, the improvement of the catalyst can improve the reaction efficiency and reduce the formation of by-products, thereby reducing the production cost of aliphatic amines.

4. Environmental regulations and policies

Changes in environmental regulations and policies also have an important impact on the price of fatty amines. In recent years, governments of various countries have increasingly stringent environmental protection requirements for chemical companies, leading to the need for companies to increase environmental protection investment and increase production costs. For example, higher emission standards may require companies to invest in waste gas treatment facilities or wastewater treatment facilities, which will increase the production costs of fatty amines and thus affect their market prices.

5. Market competition

Competition in the fatty amine market also affects its price. If there are more manufacturers in the market and competition is fierce, companies may lower prices in order to compete for market share, resulting in lower market prices. Conversely, if there are only a few firms in the market and there is insufficient competition in the market, firms can maintain high market prices by controlling production.

6. International Trade and Tariffs

International trade and tariff policies have a significant impact on the price of fatty amines. The production and consumption of fatty amines are global, and the trade situation between different countries and regions will affect the price of fatty amines. For example, an increase in export tariffs would increase the export cost of fatty amines, leading to a decrease in exports and an increase in supply in the domestic market, thereby depressing prices. On the contrary, the increase of import tariff will increase the import cost and reduce the import volume, thus pushing up the domestic market price.

7. Exchange rate fluctuations

Exchange rate fluctuations also have an important impact on the international price of fatty amines. As an internationally traded commodity, the price of fatty amines is affected by exchange rate fluctuations. For example, when the local currency depreciates, the cost of importing fatty amines increases, pushing up domestic market prices, while when the local currency appreciates, the cost of imports decreases and domestic market prices may fall.

8. Transport costs

Transportation cost is also one of the important factors affecting the price of fatty amines. The production and consumption of fatty amines are often far apart, and the cost of transportation will have an impact on the final market price. Transportation costs include logistics costs, fuel costs, storage costs, etc. If transportation costs rise, such as fuel prices, it will directly lead to an increase in the market price of fatty amines.

9. Downstream industry demand

Fatty amines are widely used in many downstream industries such as pesticides, pharmaceuticals, and personal care products. Changes in demand in these industries will directly affect the market price of fatty amines. For example, seasonal demand changes in the pesticide industry can cause fluctuations in the demand for fatty amines, which affects prices. For example, the successful development of new drugs in the pharmaceutical industry may lead to an increase in demand for fatty amines, driving up prices.

10. Market Expectations

The impact of market expectations on the price of fatty amines cannot be ignored. Market participants' expectations of future market conditions affect current supply and demand. For example, if the market expects a significant increase in demand for fatty amines in the future, companies may increase production and inventories in advance, pushing up current market prices. Conversely, if the market expects future demand to fall, firms may reduce production and inventories, causing prices to fall.

The price of fatty amines is affected by a variety of factors, including supply and demand, raw material prices, production processes and technologies, environmental regulations, market competition, international trade and tariffs, exchange rate fluctuations, transportation costs, downstream industry demand and market expectations. Understanding the changes of these factors is of great significance for predicting the price trend of fatty amines.