Polyalphaolefin (PAO) pricing Trend and Forecast

The Polyalphaolefin (PAO) pricing witnessed a significant surge in the domestic market of North America during Q3 of 2021. Increasing energy prices in the USA had an adverse impact on the cost of production of PAO which translated into the hiked prices of PAO across the region. Leading producers were observed making substantial price hikes on the material in order to maintain the margins during the quarter. The occurrence of Hurricane Ida hamstrung the production of crude oil and natural gas which has contributed to the curtailed production of PAO along with other factors during the quarter.

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