A late-July explosion at a major European vitamin producer triggered a Force Majeure, affecting the Vitamin E market. Their Vitamin E production is not expected to restart before July 2025. Chinese producers raised prices after the Chinese New Year, and with new tariffs looming, prices remain stable, supported by strong food industry demand, but any supply disruptions could lead to price spikes. Some distributors are withholding quotes, but pre-tariff stock is still available.
The same explosion also disrupted vitamin A production, with output from the above-mentioned producer not expected to resume until April 2025. Buyers, wary of fluctuating prices, are keeping purchases to a minimum, sensing an oversupplied market. Short shelf-life material could surface at discounted prices, and a potential new Chinese entrant could add downward pressure on prices later during the year. However, looming tariffs on U.S. imports may prevent a price collapse, balancing the market.
Vitamin D3 continues to face volatility, with supply constraints from 7-dehydrocholesterol shortages keeping prices high. Although lower prices briefly emerged, they were short-lived, and with production tightening post-Chinese New Year, prices are firming again.
In contrast, Vitamin K3 prices are moving downward driven by intense competition among Chinese producers, prompting short-term purchasing. However, this dip may not last: a non-Chinese producer recently halted production, chromium costs are rising, and upcoming 10% tariffs could push prices up. Buyers are cautious, watching for any signs of price recovery before committing long-term.
Chinese producers have extended shutdowns in an attempt to keep Vitamin C prices elevated in 2025, but weak demand has led to price declines. Overcapacity continues to burden the market, and while a planned five-month shutdown in mid-2025 by a Chinese producer may help stabilize things, its impact remains uncertain. For now, price relief seems unlikely before summer.
Vitamin B1, however, is in tight supply, causing prices to rise steadily. Spot prices are firm, and with Q2 coverage still in progress, further increases are expected. End-users remain hesitant to commit long-term, hoping for better pricing. However, tight stock levels and uncovered demand suggest that prices could continue to strengthen as the quarter progresses.
Meanwhile, vitamin B2 appears stable, benefiting from improved supply as a major producer catches up. Pricing in the EU holds firm, but in other regions, weak demand keeps pressure on prices. Newer players are aggressively competing with low prices, creating a significant price gap with traditional producers. While Q1 needs are largely covered, no major shifts are expected in the short term.
Vitamin B3 pricing remains volatile. After firming late last year driven by intermediate shortages, prices have softened again amid rather sluggish buying. Chinese players have become more aggressive on price, with a leading Chinese producer driving a market-wide price drop. A recent fire led one producer to declare Force Majeure, but this had minor impact. The entry of an intermediate producer could shake up the market further. A rebound is still expected as market fundamentals point towards a higher future ‘new normal’ in terms of pricing.
Vitamin B5 remains in a holding pattern, with prices stable but low. Some Chinese offers have inched up slightly, reflecting higher freight costs, but overall, oversupply limits any significant movement. Traditional producers maintain their market share, while lower-cost entrants struggle to stay competitive.
Vitamin B6 continues to climb steadily, with prices nearly doubling over the past year driven to Chinese manufacturers. The firm market shows no signs of weakening, though competition from new entrants in Q3 2025 could introduce some balance. North American supply remains stable, but the market remains on watch for any shifts later in the year.
However, for Biotin, prices remain at historic lows. Some traders have started accumulating stock, briefly causing temporary producer stockouts, but with long-term coverage already secured for most buyers, there’s little upward momentum. Production has ramped back up, keeping supply steady, and no major shifts are expected in the near term. While Q1 demand is fully covered, Q2 coverage remains slower.
After months of record lows, Folic Acid / vitamin B9 is seeing a turnaround. Tight availability and rising raw material costs have pushed prices up. While supply remains sufficient, both traders and producers are reluctant to release inventory, anticipating another potential price jump. As Q2 approaches, the market remains on edge, with a second price increase possible.
Vitamin B12 remains relatively stable, particularly in Europe, where limited availability from a Chinese producer keeps prices firm. Outside of Europe, however, the market remains weak driven by overcapacity, leading to softened pricing in China over the past month.
While some vitamins face supply constraints and price increases, others are burdened by remaining inventories and disease outbreaks. Force majeure events, geopolitical shifts, and trade policies continue to influence market dynamics. As Q2 approaches, buyers remain cautious, balancing risk with strategic purchasing. The impact of upcoming tariffs, production slowdowns, and potential disease-related volatility could tip the scales. The next few months will be pivotal in determining the direction of the vitamin market in 2025, especially as the market navigates the challenges of overcapacity and shifting global demand. Meanwhile, dsm-firmenich is well-positioned in any challenging trade scenario, with the ability to supply key vitamins from various locations around the globe.
