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North American Oleochemicals Market Update

September, 2021

By: Ryan Hess, Americas Fatty Alcohols Product Manager & Brian Furlong, Americas Sales Director

Global and domestic logistics continue to be extremely challenged as we move towards the end of 2021.

Oleochemical availability and transportation in the North American marketplace have been impacted by vessel delays, port congestion, isotainer availability, truck driver shortages, and customs clearance issues related to the Customs Border Patrol Withhold and Release Orders.

Despite these challenges, the U.S. economy continues to be robust, with strong demand throughout the oleochemical carbon chain. This demand includes glycerin, which appears to be outpacing available supply.
Assessments regarding the effects from Hurricane Ida on chemical industry operations and transportation in the areas affected are ongoing. Our thoughts are with everyone impacted personally and professionally by the storm. Read more about P&G’s Hurricane Ida relief efforts with P&G products and Tide Loads of Hope laundry services.

How is P&G Chemicals managing through these unchartered waters? We are:

  • Working closely with our suppliers, freight carriers, and leveraging rail car supply, where appropriate.
  • Utilizing our domestic Fatty Alcohol, Methyl Ester, Fatty Acid, and Glycerin footprints in Sacramento, CA, and Cincinnati, OH, to serve our long-standing customers with the supply assurance they have come to expect of P&G.
  • Listening to the market feedback, which recently led to an expansion of our domestically produced product offerings to include:
    • Heavy Cut Methyl Ester – CE-1618
    • 98% purity Methyl Laurate – CE-1298
    • 98% purity Capric Acid – C-1098

P&G has been in the oleochemical business for over 180 years, and we have the utmost confidence in our ability to continue to offer the Quality, Supply Assurance, and Peace of Mind our customers have come to value when partnering with P&G Chemicals.

Please stay safe as we head toward 2022 and continue to trust that P&G Chemicals is here to deliver the products you need to meet customer demands.