Vitamin E prices have surged approximately 100% since February 27. Global crude oil supply shortages are impacting multiple downstream chemical industry chains. Pharmaceutical intermediates, classified as fine chemicals, are critical precursors in the production of active pharmaceutical ingredients (APIs). Market attention is focused on how price increases are transmitting from the chemical sector to intermediates and then to APIs. Currently, certain APIs have already experienced price hikes. Among core vitamin varieties, the prices of Vitamin A (VA) and Vitamin E (VE) have risen significantly over the past month. According to Choice financial terminal data, VA prices increased from 60.50 RMB/kg on February 27, 2026, to 116.50 RMB/kg on April 17, 2026, a cumulative rise of about 93%. VE prices also climbed from 57.50 RMB/kg to 116.50 RMB/kg during the same period, doubling in value. Amid rising vitamin prices, several vitamin-related stocks in the A-share market have advanced. Zhejiang NHU Company Ltd. (002001.SZ) has seen its share price rise nearly 40% year-to-date. The company is one of the world’s leading vitamin producers, manufacturing products including Vitamin E and Vitamin A. In a March investor relations event, NHU stated it is closely monitoring recent fluctuations in chemical raw material prices and strengthening market analysis and cost control. Through strategic procurement, bulk purchasing, and long-term agreements, the company aims to stabilize supply and manage costs to ensure steady operations. It emphasized that its diverse product portfolio means raw material consumption varies by production process and product structure. Core raw material supplies remain stable, and the impact of price volatility on production costs is manageable. Recently, market prices for the company’s key products have also increased. Within the A-share API sector, Menova Pharmaceutical (603538.SH), a producer of sartan-class APIs, has recorded a year-to-date share price gain of 173.02%, ranking first in the sector. Key products such as Valsartan and Losartan are developed, produced, and sold under a fully integrated industrial chain. On April 21, Menova’s board secretary office noted that intermediates and basic raw materials required for API production are primarily sourced domestically. These have already shown a rising price trend indirectly affected by higher crude oil costs. When asked whether rising raw material costs would lead to API price increases, Menova indicated in a March 20 investor meeting that sartan-class API capacity is no longer in surplus. Upstream costs, including bromine, have already risen, and some sartan product prices are beginning to rebound. The company believes there is little resistance to reasonable price adjustments in the domestic sartan API market. Menova further explained that the peak capacity expansion phase in the API industry during the pandemic has ended, with limited new supply additions. Meanwhile, demand for chronic disease medications continues to grow. Supply and demand are expected to reach a new equilibrium, supporting a rational price recovery as competition becomes more disciplined. Some securities firms suggest that, beyond geopolitical tensions and rising crude oil and chemical feedstock prices, the domestic API industry has undergone an extended supply-side consolidation. This provides additional momentum for price increases, potentially benefiting the performance of certain API manufacturers. Apeloa Pharmaceutical Company stated in an April 20 investor call that basic raw material prices rose 10% to 15% initially after the outbreak of an international special event. The company promptly communicated with clients, largely absorbing the impact of higher costs through product price adjustments that covered expenses, with some key products performing even better. Currently, basic raw material price increases have moderated, and domestic market conditions for raw materials and product prices have stabilized. The company expects API prices to gradually recover as domestic overcapacity eases, new entrants decrease, and competition becomes more rational. It anticipates a steady improvement in the API segment in the second and third quarters. It is worth noting that not all APIs are facing price increases. Tianjin Pharmaceutical Group Co., Ltd. (600488.SH) has seen its shares rise 54% year-to-date, the second-highest gain in the A-share API sector after Menova. In a recent risk提示 announcement, the company clarified that its main business involves the R&D, production, and sales of steroid hormone and amino acid APIs and preparations. It acknowledged market discussions on hormone API prices but stated that steroid hormone API prices have remained generally stable, with no significant impact on operating performance.
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