Succinic Acid Prices Surge in US Market

Succinic Acid Prices Surge in US Market

Adriana Santos
2 min read

Succinic Acid Prices Surge in US Market

In June 2024, Succinic Acid prices in the US market experienced a significant 4.3% surge, driven by heightened demand from Asian exporters and limited supply. This surge was primarily influenced by the increased demand for Thermoplastic Polyurethane, widely used in PU sole footwear, particularly during periods of heavy rainfall. Additionally, the rise was bolstered by the growing demand for feedstock Benzene. Meanwhile, the US Manufacturing Purchasing Manager's Index indicated favorable growth in the manufacturing sector.

The demand for Succinic Acid from the food and beverage industries remained relatively stable, with a minor 0.1% increase in the food index in May. However, the PPI index for food and beverages for immediate consumption services declined by 0.6% on a month-over-month basis.

Previously, Succinic Acid availability was robust in the domestic market due to increased production in China. However, feedstock Benzene prices experienced a 2% drop due to declining Crude Oil prices and increased onshore inventories. Cost support was sustained by feedstock n-butanol, despite moderate demand from the Pharma sector.

Key Takeaways

  • Succinic Acid prices surged by 4.3% in June 2024 due to heightened demand and restricted supply.
  • Increased demand for Succinic Acid stemmed from footwear manufacturers for Thermoplastic Polyurethane production.
  • The US Manufacturing PMI indicated robust growth, reflecting a sturdy manufacturing sector in June 2024.
  • Investments in the Pharma sector declined by 69.2% in May 2024, although marking a notable 379.8% increase year-over-year.
  • Succinic Acid prices are anticipated to further rise in Q3 2024 due to the hurricane season and escalating feedstock costs.


The notable 4.3% increase in Succinic Acid prices in the US market can be attributed to vigorous demand from Asian footwear manufacturers and constrained supply, aggravated by heightened Benzene costs. This trend presents advantages for producers such as BioAmber and Myriant, but exerts pressure on downstream industries like footwear and pharmaceuticals, where investment has declined. In the short term, this surge may result in heightened production costs and potential disruptions in the supply chain during the hurricane season. Over the long term, sustained high prices may stimulate innovation in alternative materials or production approaches, reshaping industry dynamics.

Did You Know?

  • Succinic Acid:
    • Succinic Acid is a dicarboxylic acid utilized in various industries including pharmaceuticals, food and beverages, and chemical manufacturing. It serves as a precursor for the production of polymers like Thermoplastic Polyurethane (TPU).
  • Thermoplastic Polyurethane (TPU):
    • TPU is a versatile polymer renowned for its elasticity, durability, and transparency. It is extensively employed in the footwear industry, particularly for PU sole footwear, owing to its exceptional resistance to abrasion and its ability to provide comfort and support.
  • US Manufacturing Purchasing Manager's Index (PMI):
    • The PMI serves as an indicator of the economic robustness of the manufacturing sector. A reading above 50 signifies a generally expanding manufacturing economy, while a reading below 50 indicates contraction. Economists and investors closely monitor the PMI as it offers insights into the current state and future prospects of the manufacturing sector.

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