The global vitamin market finds itself at a crossroads, with a mix of supply disruptions, potential strikes, price pressures, potential new tariffs, and new players reshaping the landscape. Recent months have revealed both vulnerabilities and opportunities within the supply chain, leaving buyers and suppliers bracing for a dynamic year ahead.

In late July, an explosion at a major German facility sent shockwaves through the Vitamin E and Vitamin A markets. For Vitamin E, production is not expected to resume until July 2025, creating uncertainty for the longer term. While Q4 needs are largely secured and prices have softened slightly driven mainly by traders and distributors as part of year-end cash flow optimization, they remain stable on the producer's side, with buyers cautious about securing Q1 volumes. Environmental regulations in Zhejiang province, China, add another layer of concern, as they may lead to production cuts, further straining supply.

Vitamin A faces a similarly challenging situation, with the same facility’s closure delaying production until April 2025. Prices are softening for now. A new competitor planning to enter the Chinese market by late 2024 and then start exports in Q2 2025 could bring some price pressures.

The Vitamin D3 market is also under stress, caught in a web of global supply chain issues and EU import restrictions. Availability remains limited, prices are firm, creating uncertainty. Rumors of further price increases from Chinese producers add to the complexity, leaving buyers to navigate a challenging landscape.

Vitamin B1 remains in tight supply, with steadily increasing prices showing no signs of reversal. Limited production and consistent demand are driving this trend.

Vitamin B3 is dealing with similar pressures, as a lack of intermediates, driven by increasing challenges in herbicide markets, and backward-integrated producers focusing on profitability lead to firming prices and constrained availability for prompt delivery.

Vitamin C producers in China are operating on reduced schedules, resulting in constrained volumes and rising prices. Premium forms like DSM’s Stay-C 35 and C-EC, however, remain stable, offering a reliable option for buyers seeking alternatives.

Meanwhile, vitamin K3 prices have softened temporarily due to traders offloading excess inventory. However, this situation is expected to be short-lived, with higher input costs, transport expenses, and limited production likely to drive prices higher again.

Reduced availability of vitamin B2 is pushing prices up in Europe, further exacerbated by delivery delays from key competitors. Vitamin B5 prices, while historically low, are beginning to see slight increases due to higher freight costs and adjustments by Chinese suppliers. Market dynamics here will depend on manufacturers’ strategies to maintain market share.

Vitamin B6, following the trajectory of vitamin B1, is seeing firming prices, with further increases expected in the coming months. Vitamin B7 prices, on the other hand, are at all-time lows, encouraging traders to stockpile. Despite some producers reporting stockouts, most buyers are covered long-term, keeping price increases at bay for now. Vitamin B9 has recently increased materially after being at record-low levels in the last months, driven by producers.

The Vitamin B12 market is characterized by tight supply and stabilized prices at higher levels in Europe, with only two primary sources— dsm-firmenichs and NHU. While supply constraints persist, CSPC’s anticipated entry into the market may provide some relief in the coming months. In other regions, prices remain relatively low, although they sit below assumed production costs, highlighting ongoing market pressures.

As the global vitamin market navigates these disruptions, the relationship between production challenges, demand shifts, and regulatory factors highlights the fragility of supply chains. Stakeholders must remain vigilant, adapt to evolving dynamics, and prioritize resilience to weather this turbulent period.