As of ongoing March, the prices of Acetic Acid in the US market were stable. This development was due to stable production costs due to subpar energy costs and feedstock Methanol costs. The Methanex monthly contract prices for Methanol were stated stable at USD 400 per MT in comparison to the previous month. Furthermore, the stocks in the market remained adequate to meet downstream paints & coating sector demand which further subdued acetic acid price change.

On the demand front in February, Paints & coating sector demand declined with elevated building material costs and higher labour costs. Acetic Acid ‘s other downstream PTA and VAM demand has also declined leading to overall lower downstream production inquiries. With no significant rise in the prices of the upstream market, energy costs amidst adequate stocks, and lower demand from the downstream industries subdued prices of Acetic Acid in the US market. This is expected to remain so in the upcoming weeks.

In February 2025, the Market supply of Acetic acid in the US market remained sufficient to meet the downstream industry's requirements. The Acetic acid plants were operating at slightly lower rates to meet demand from the downstream industries. However, the labour cost in the US market is on the rise due to labour shortages which has impacted the production cost of the Acetic acid chemical market. With lower downstream demand, the reduced operational capacity of the plants was to match supply and demand, for them to maintain steady profits. Furthermore, with no significant change in the energy cost and feedstock methanol plants were slightly lower rates to create a balance between supply and demand.

The demand from the Acetic acid’s downstream paints & coating sector has declined in the US. With Acetate and VAM being majorly used in the paints & coating sector overall product inquiries remained on the lower end. As the construction sector in the US falls with higher raw material costs and rising interest rates. According to market sources elevated building material costs are exacerbated by the introduction of tariffs by the government which has led to the lowering of cheaper Acetic acid imports. In addition, the introduction of tariffs by the US government has created uncertainty as various importing nations have announced reciprocating tariffs on the US. This development could lead to lower demand from the overseas market thus, lowering product inquiries. On the other hand, the government's inward-looking policy for domestic production is expected to bring higher domestic demand thus raising product inquiries.

As per the ChemAnalyst Database, the Acetic Acid market in upcoming weeks is expected to remain subdued with lower production costs and demand from the downstream sectors remaining on the lower end, especially the Paints & Coating sector which is widely used in the construction sector. Additionally, elevated interest rates and subdued builders’ market sentiments due to rising material costs have further created a pessimistic market view.