Isocyanates market in Hungary

Earlier Report Observations

Between 2018 and 2020, the domestic market volume for isocyanates in Hungary more than doubled, rising from 10.8 thousand tons to 22.4 thousand tons. This growth was underpinned by Borsodchem ramping up production at its Kazincbarcika plant following an annual turnaround in August 2018, which expanded available capacity. Healthy demand from key consuming industries like construction and automotive further supported consumption. The COVID-19 pandemic in 2020 introduced supply chain disruptions that contributed to moderate market growth during the period.

Market volume became more volatile from 2021 to 2023, falling to 14.8 thousand tons in 2021 and further to 12.3 thousand tons in 2023. The initial decline coincided with continued global supply chain disruptions stemming from the pandemic and regional logistics issues, which affected market conditions. By 2023, demand in core sectors such as automotive and construction showed slight weakness, leading to the reduced consumption volume that year.

A recovery occurred in 2024 as the market volume increased to 18.0 thousand tons. This rebound was driven by a rise in domestic production, which helped end a two-year declining trend in European output. The expansion was supported by ongoing capacity investments in the European isocyanates industry, including Lanxess's multi-phase project, while Borsodchem maintained its operational levels in Hungary.

Production isocyanates in Hungary

In value, 2018-2021, M $ US

Isocyanates production in Hungary increased for the second consecutive year. In 2021, output was valued at 829.0 million US dollars, marking a 51.6% increase compared to 2020. Over the period from 2018 to 2021, production decreased by 9.5%, with a compound annual growth rate of 3.3%. The lowest value was recorded in 2019 at 519.3 million US dollars, which also saw the largest decline of 43.3%.

Annual dynamics of production in Hungary in value, 2018-2021, M $ US

In kind, 2018-2021, K t

After a two-year decrease, isocyanates production in Hungary increased. In 2021, 277.8 thousand tonnes were produced, up by 5.5% from the previous year. The lowest value was recorded in 2020 at 263.3 thousand tonnes, which also experienced the largest decline of 1.9%.

Annual dynamics of production in Hungary in kind, 2018-2021, K t

Exports isocyanates from Hungary

Exports in kind, K t

After a two-year reduction, Hungary's isocyanates export volume increased. In 2021, exports reached 273.8 thousand tonnes, corresponding to an 8.9% advance compared to 2020. The lowest value was recorded in 2020 at 251.6 thousand tonnes, which also saw the largest decline of 4.2%.

Annual dynamics of product's exports from Hungary in kind, 2018-2021, K t

From 2018 to 2021, isocyanates from Hungary were supplied to a broad set of markets. Italy accounted for 12.9% of exports in kind, Poland for 12.1%, and Turkey for 11.2%, together making up only 36.2% of total exports. The remaining 63.8% was distributed among many smaller destinations.

Structure of product's exports in kind by countries, 2018-2021

World map of product's exports from Hungary in kind, 2018-2021

Exports in value, M $ US

Foreign isocyanates supplies from Hungary increased for the second consecutive year. In 2021, exports amounted to 776.9 million US dollars, reflecting a steep advance of 56.1% versus the previous year. Over the period from 2018 to 2021, exports decreased by 12.6%, with a compound annual growth rate of 4.4%. The lowest value was recorded in 2019 at 495.6 million US dollars, which also experienced the largest decline of 44.2%.

Annual dynamics of product's exports from Hungary in value, 2018-2021, M $ US

From 2018 to 2021, the portfolio of buyers for isocyanates from Hungary was broad. Italy contributed 12.8% of exports in value terms, Poland 12.1%, and Turkey 11.7%, together accounting for only 36.6% of total exports. Many other countries held smaller but non-negligible shares.

Structure of product's exports in value by countries, 2018-2021

World map of product's exports from Hungary in value, 2018-2021

Imports isocyanates to Hungary

Imports in kind, K t

Hungary's isocyanates import volume increased for the second consecutive year. In 2021, a total of 8.7 thousand tonnes was imported, which is 1.1% higher than the previous year. Between 2018 and 2021, imports increased by 6.5%, equating to a 2.1% annualized rate. The lowest value was recorded in 2019 at 8.7 thousand tonnes, which saw the largest decline of 14.6%. The largest increase occurred in 2020 at 23.4%.

Annual dynamics of product's imports to Hungary in kind, 2018-2021, K t

Over the period from 2018 to 2021, China and Germany concentrated the majority of imports in kind of isocyanates to Hungary, while other markets formed a less significant portion.

Structure of product's imports in kind by countries, 2018-2021

World map of product's imports to Hungary in kind, 2018-2021

Imports in value, M $ US

After a two-year reduction, Hungary's isocyanates imports increased. In 2021, Hungary imported a total of 28.0 million US dollars of isocyanates, reflecting a steep gain of 67.7% compared to 2020. Between 2018 and 2021, imports decreased by 19.5%, equating to a 7.0% annualized rate. The lowest value was recorded in 2020 at 16.7 million US dollars, while the largest decline was in 2019 at 39.4%.

Annual dynamics of product's imports to Hungary in value, 2018-2021, M $ US

From 2018 to 2021, China and Germany were the main directions for imports in value terms, jointly taking 87.0% of total flows. The residual share was split among other markets.

Structure of product's imports in value by countries, 2018-2021

World map of product's imports to Hungary in value, 2018-2021