Dimethylethanolamine (DEA) prices have been rising steadily in recent years. In 2018, the average price of DEA was $2.50 per pound. In 2020, the price has risen to $3.00 per pound. DEA prices now average $3.50 per pound through 2022.
There are many factors that contribute to the increase in DEA prices. One factor is the increasing demand for DEA in the oil and gas industry. DEA is used in a variety of oilfield applications, including as a corrosion inhibitor, demulsifier and antiscalant. As the oil and gas industry continues to grow, so will the demand for DEA.
Another factor contributing to the rise in DEA prices is the increase in raw material costs. DEA is produced from ethylene oxide and methanol, both of which are expensive. As the cost of these raw materials increases, so does the cost of producing DEA.
Finally, DEA’s price increase was also affected by supply disruptions. In 2019, a fire broke out at a DEA production facility in China. The fire caused a temporary shortage of DEA, driving up the price of the product.
Rising DEA prices are a challenge for many industries that use DEA as a feedstock. However, the rising price of DEA is also an opportunity for companies that produce DEA. As the demand for DEA continues to grow, so does the potential profit for DEA producers.
The following are some factors that may affect the price of dimethylethanolamine in the future:
- Demand for Oil and Gas: As the oil and gas industry continues to grow, so will the demand for DEA.
- Cost of raw materials: The price of ethylene oxide and methanol, the raw materials used to produce DEA, may affect the price of DEA.
- Supply disruptions: Supply disruptions, such as a fire at a DEA production facility in China in 2019, could drive up DEA prices.
- Government Regulation: Government regulation of the oil and gas industry may also affect demand for DEA.
