Ethylene Vinyl Acetate (EVA) prices remained stable in the U.S. domestic market in February despite ongoing market pressures. The weak export demand, driven by international buyers favouring Asian and Middle Eastern suppliers, limited price movements. Oversupply conditions persisted, and while logistical issues at packaging sites and ports added constraints, industry participants remained hopeful for improvements. These bottlenecks are expected to ease, potentially boosting overall market activity and stabilizing supply chains in the near term.

The EVA market continued to grapple with subdued demand as buyers sought cheaper alternatives. U.S. EVA production remained steady, with manufacturers adjusting output between EVA and low-density polyethylene to align with market conditions. While supply chain inefficiencies at packaging sites and ports affected trade flow, expectations for logistical improvements may help in price recovery. Industry optimism persists, with hopes for a gradual resurgence in demand.

EVA demand in the U.S. export market stayed weak, reflecting the broader global oversupply issue. Limited buying interest among international customers added to market pressure. However, industry participants remain cautiously optimistic about potential demand recovery as supply chain disruptions ease. Seasonal factors could also contribute to a more balanced market in the coming months, supporting a possible rebound in trade activity.

The solar industry, one of a key consumer of EVA, continues to expand. According to the Solar Energy Industries Association (SEIA), solar power now contributes over 6% of U.S. electricity generation, up from 0.1% in 2010. The U.S. added 37 GW of solar capacity in 2024, but growth is expected to slow in 2025. The Energy Information Administration (EIA) projects a 30% decline in new capacity additions, which could impact EVA demand significantly.

The Acetyl Chain, which plays a crucial role in EVA production, faced market challenges in 2024. Net sales of Celanese Corporation, a major producer, declined by 2% to $4.8 billion, driven by lower prices and weak demand in Western Hemisphere markets. Despite sluggish demand in Asia and rising supply from China, the business maintained stable earnings. Record sales volumes in redispersible powders and increased acetic acid production at the Clear Lake site helped mitigate losses.

In the fourth quarter of 2024, the Acetyl Chain reported $1.1 billion in net sales, marking a 7% sequential decline. The weak demand environment in the Western Hemisphere was compounded by seasonal slowdowns. To address these challenges, the company idled production at select units, driving cost savings and better aligning supply with demand. These strategic adjustments aim to support EVA market stability in the face of ongoing headwinds.

According to ChemAnalyst database, despite current market challenges, the EVA industry remains hopeful. While global oversupply and weak international demand persist, anticipated improvements in logistics and supply chain efficiency could provide a much-needed boost. As downstream consumption gradually rebounds, EVA trade activity may see a slow but steady recovery in the coming months.