For the Quarter Ending March 2025
North America
In Q1 2025, Ethylene Acrylic Acid (EAA) copolymer prices in the North American market exhibited a mildly bearish to stable trend, largely shaped by soft downstream demand and subdued export activity. Despite intermittent support from upstream ethylene prices and planned maintenance turnarounds in early January, market fundamentals quickly softened due to sluggish consumption in key end-use sectors such as flexible packaging and industrial coatings.
Persistent weakness in the domestic construction sector, driven by high interest rates, slow housing turnover, and macroeconomic uncertainty limited procurement activity for EAA-based adhesives and coatings. Moreover, dampened international demand, particularly following China's imposition of tariffs on US chemical imports, further constrained export-driven momentum. While temporary tightness supported prices briefly, by March, inventory accumulation and increased competition among suppliers led to price moderation.
Feedstock relief from lower Ethylene prices offered some cost flexibility yet failed to offset the broader impact of demand-side pressures. Overall, North America's EAA market remained well-supplied throughout the quarter, with prices reflecting cautious purchasing behaviour and muted growth in packaging and coatings applications. This culminated in a relatively flat to slightly declining price trend over Q1 2025.
Asia
Ethylene Acrylic Acid (EAA) copolymer prices in the Asian market, particularly in Indonesia, exhibited a relatively stable trend over Q1 2025, balancing between initial softness and subsequent recovery. In January, prices declined by 5.3% due to lower import costs from China and steady supply levels. Stable freight rates and sufficient inventories reduced cost pressures, while subdued near-term demand, driven by economic uncertainty and cautious procurement ahead of the Lunar New Year, reinforced the downward trend. However, prices began to recover in February, rising by 1.2%, as regional supply constraints from China, the key supplier tightened availability. Although feedstock costs remained stable, steady Chinese export activity and margin-preservation strategies by producers supported a modest price uptick. Demand held firm, particularly from the construction and coatings sectors, as industrial activity gained momentum. In March, prices surged by 4.9% amid tightening supply, logistical challenges, and robust downstream demand from flexible packaging and automotive coatings. Strategic restocking and seasonal production boosts further fueled buying activity. Overall, while January witnessed a sharp decline, the strong recovery in February and March led to a relatively stable quarterly price trend for EAA in Asia, underpinned by improving demand and evolving supply-side dynamics.
Europe
In Q1 2025, Ethylene Acrylic Acid (EAA) copolymer prices in Europe trended slightly upward, underpinned by moderate recovery in downstream demand and firming production costs. After a sluggish start in January, where demand remained subdued amid broader economic headwinds, prices began to climb in February as seasonal restocking and improved trading sentiment lifted market activity. A modest rise in feedstock costs, particularly for acrylic acid and intermittent supply limitations added cost-side pressure, supporting the bullish trend. By March, the European market witnessed a more balanced supply-demand dynamic. While weak housing construction activity continued to cap demand in certain segments, steady offtake from flexible packaging, food applications, and industrial coatings helped sustain price stability. The restart of regional EAA production facilities and rising energy costs added further momentum to pricing strength, especially as inventory levels started to tighten mid-quarter. Overall, EAA prices in Europe closed the quarter on a relatively firm note, reflecting cautious optimism across packaging and coatings sectors. With macroeconomic conditions slowly stabilizing and upstream costs remaining elevated, the market maintained a mildly bullish stance throughout Q1 2025.
For the Quarter Ending December 2024
North America
In Q4 2024, Ethylene Acrylic Acid (EAA) prices in North America faced downward pressure, reflecting bearish trends in the downstream construction sector. Early in the quarter, reduced demand from key end-use sectors, including construction, coupled with ample inventories, led to weaker market fundamentals. The sluggish construction activity, exacerbated by rising interest rates and seasonal slowdowns, further curtailed demand for EAA, which is widely used in coatings and adhesives.
On the supply side, EAA manufacturers managed to stabilize output despite logistical hurdles such as port congestion and potential tariff increases. Rising raw material costs, including ethylene, created additional challenges, but stable upstream pricing trends helped mitigate cost inflation to some extent.
By December, demand remained subdued as buyers adopted cautious procurement strategies, focusing on immediate needs rather than bulk purchases. Increased imports added to the competitive pricing environment, limiting any recovery momentum. Overall, Q4 2024 marked a bearish period for EAA prices in North America, driven by weak construction demand, inventory adjustments, and persistent macroeconomic uncertainties. While supply-side efforts maintained stability, the challenging economic environment and restrained downstream activity capped price recovery.
Asia
In Q4 2024, the Ethylene Acrylic Acid (EAA) market in the APAC region experienced a mixed trend, with prices fluctuating due to varying supply-demand dynamics. October saw a price decline driven by oversupply and weak demand from downstream sectors like paints, coatings, and home appliances. Manufacturers operated at high capacity, leading to elevated inventories and subdued market sentiment. In November, prices stabilized with a slight increase, supported by improved production rates following maintenance at acrylic acid facilities. Stable supply and moderate recovery in construction and coatings demand buoyed the market, although rising raw material costs, particularly for acrylic acid, added pressure. By December, EAA prices maintained steady growth, supported by stable production and export-driven demand in the coatings sector. However, elevated inventories and cautious purchasing behavior in key downstream industries limited significant price momentum. Rising propylene costs further impacted production expenses. Overall, Q4 reflected a balanced market, with incremental improvements in supply and export growth offset by subdued domestic demand and cautious procurement strategies. This dynamic maintained stable pricing with moderate fluctuations throughout the quarter.
Europe
In Q4 2024, Ethylene Acrylic Acid (EAA) copolymer prices in Europe exhibited a steady to slightly upward trend, influenced by stable supply conditions and inflationary pressures. Early in the quarter, EAA prices saw mild support from balanced supply dynamics, as regional production remained consistent despite logistical disruptions such as port congestion at Hamburg and technical issues at Vynova鈥檚 facility in Belgium. The construction sector, a major downstream consumer of EAA, faced mixed performance. While certain infrastructure projects supported steady demand, declining new project orders and weak economic sentiment curtailed overall consumption. High construction costs and persistent contraction in the Construction PMI reflected the sector's ongoing challenges. By November, stable ethylene prices and controlled production rates helped manufacturers manage costs, though rising freight rates from Asia slightly impacted the overall market. Despite subdued activity in housing and commercial construction, demand for EAA in coatings and adhesives remained steady, driven by essential consumption. As the year ended, EAA prices remained stable, reflecting balanced supply-demand fundamentals. However, thin profit margins and limited downstream momentum highlighted the ongoing challenges in the European market, keeping significant price gains in check.
For the Quarter Ending September 2024
North America
In the third quarter of 2024, the North American market for Ethylene Acrylic Acid (EAA) copolymer exhibited notable mixed price fluctuations primarily influenced by the underlying dynamics of the ethylene feedstock market. During the latter part of August, ethylene prices in the U.S. demonstrated a positive uptrend. Additionally, heightened inquiries from Latin America and Mexico for inventory restocking further bolstered price levels. However, as September progressed, feedstock ethylene prices began to soften.
Furthermore, sluggish export demand, particularly from Latin America, Mexico, and Asian markets, compounded the downward pressure on the EAA copolymer prices. Amid these market challenges, looming labor strikes at Canadian railways and U.S. East and Gulf Coast ports posed potential disruptions to North American supply chains.聽
In conclusion, while EAA copolymer prices in North America were initially supported by rising ethylene costs and stable downstream demand, the market faced increasing headwinds in September, characterized by declining prices and potential disruptions from labor strikes. The outlook remained cautious in both the feedstock and downstream segments in the EAA market.
Asia
In the third quarter of 2024, the Ethylene Acrylic Acid (EAA) copolymer market in Asia continued to exhibit weak performance. The market was characterized by an oversupply situation as maintenance operations resumed, enhancing production capacity and leading to increased inventories. This situation contributed to downward pressure on transaction prices, with manufacturers experiencing a notable decline in prices due to the surplus. Throughout the quarter, ethylene prices remained fluctuating but relatively stable, which provided some relief on raw material costs for EAA producers. However, the overall sentiment in the EAA market shifted from bullish to bearish, as demand from downstream buyers was primarily driven by immediate needs rather than long-term commitments. Buyers showed general interest in negotiating lower prices, reflecting a cautious approach amidst the prevailing market uncertainty. Furthermore, geopolitical tensions and economic uncertainties in the region have continued to weigh heavily on market dynamics, leading to low transaction volumes and a lack of enthusiasm among buyers for forward purchases. In conclusion, the Q3 2024 landscape for Ethylene Acrylic Acid copolymer prices in Asia reflects a continuation of weak demand, oversupply, and cautious buying behavior. Market participants are left navigating a challenging environment with limited visibility into a potential recovery in the near term.
Europe
In the third quarter of 2024, the Ethylene Acrylic Acid (EAA) copolymer market in Europe experienced a mixed-price trend, influenced primarily by increased cost pressure from the feedstock Ethylene market. While feedstock Ethylene prices continued to rise due to tight supply and reduced import offers from Asia, by the middle of the quarter, EAA copolymer prices began to stabilize as the market absorbed the post-holiday demand. As September unfolded, feedstock Ethylene prices in the German market began to soften. The EAA market slowness resulted from the eased production costs and bearish market sentiment. The overall demand for EAA copolymer from downstream industries, particularly in the plastic and packaging sectors, remained sluggish despite the absence of seasonal holidays. Inquiries from end-users were notably low, further contributing to downward pressure on prices. By the end of September, market players noted an oversupply situation, with inventories adequately restocked. Additionally, cheap import offers from Asian markets and a decline in the Drewry World Container Index further supported the downward trend in prices. In conclusion, the EAA copolymer market in Europe during Q3 2024 was characterized by a shift from initial price increases due to tight supply to a subsequent easing of prices amidst weak demand and favorable feedstock conditions. The overall market outlook remains cautious as economic uncertainties and subdued consumption trends continue to weigh on pricing dynamics.
For the Quarter Ending June 2024
North America
In Q2 2024, the North American market for Ethylene Acrylic Acid Copolymer (EAA) saw price increases driven by constrained supply and heightened input costs. Limited inventories and rising crude oil prices, which reached a two-month high, contributed significantly to this trend.
Additionally, severe weather conditions, including the hurricane season and floods, disrupted industrial demand and production rates, further tightening supply chains. These disruptions, along with container shortages and logistical challenges, propelled an upward trajectory in EAA prices.
In the USA, the most significant price fluctuations within the region were observed. Seasonal factors, such as the hurricane season, exacerbated supply constraints, increasing cost pressures during the quarter. From a supply chain perspective, supplies from the US Gulf to Asia sharply declined at the end of June 2024. Plant rate reductions and delays in the aftermath of Hurricane Beryl created significant gaps in shipping capacity, according to shipping brokers. In anticipation of the storm, some EAA-producing plants took precautionary measures and shut down, while others sustained damage or lost power, leading to further shutdowns and declarations of force majeure.
APAC
In Q2 2024, the Ethylene Acrylic Acid (EAA) Copolymer market in the APAC region witnessed an overall stable trend along with marginal upward price momentum. The cost of EAA Copolymer experienced an upward trajectory in China since April 2024. Further, the increase in the costs of feedstock Ethylene and Acrylic Acid during the month has overall led to an upward momentum in price trend. The regional market witnessed low product availability, coupled with increased inquiries from downstream adhesive and packaging sectors, prompting market participants to raise prices.聽 Additionally, heightened demand from the construction industry further bolstered the price surge. However, logistical hurdles also played a significant role in impacting product prices within the country. Houthi militants in Yemen intensified their attacks on vessels in the Red Sea, disrupting a crucial shipping route essential for east-west trade. In response, some shipping companies rerouted vessels to sail around southern Africa, opting for a longer and consequently more expensive route. This disruption in shipping contributed to supply chain challenges and added pressure on product prices. Despite these challenges, there were signs of normalization in round-Africa routings and an improvement in global schedule reliability, exceeding 53%. This restoration of stability and efficiency in global shipping contributed to a favorable trading atmosphere, further supporting the upward trajectory of EAA Copolymer prices in China. Moreover, the EAA market witnessed a Plant disruption, including those at key facilities like Sinopec Qilu and Ningbo LG Yongxing, which further complicated the supply dynamics, although the abundant stock levels mitigated their impact. Conclusively, the quarter culminated with the EAA Copolymer prices settling at USD 4255/MT Ex-Qingdao in China.
Europe
In Q2 2024, the European market for Ethylene Acrylic Acid (EAA) Copolymer experienced a slight decline in prices. This decrease was influenced by several key factors, including subdued domestic demand within the construction sector and intensified competition among regional sellers. Additionally, the uncertain economic outlook exacerbated bearish market sentiments. Shipping disruptions and logistical challenges further compounded the market's instability, leading many producers to reduce output rates. In Germany, where the most significant price changes occurred, market dynamics closely mirrored broader regional trends. German EAA prices fell sharply, driven by high production costs and weak downstream demand, particularly from the construction industry. Overall, the pricing environment for EAA in Germany during Q2 2024 was marginally negative, influenced by structural market weaknesses and supply-related disruptions. Port operations were also affected by a workers鈥� strike impacting ports such as Hamburg, Bremen, Bremerhaven, Brake, and Emden in June 2024. The dispute over the collective agreement led to strikes at German container ports, halting activities at the Port of Hamburg for two days before a fourth round of negotiations began. The strikes later affected Wilhelmshaven, Bremen, and Emden, causing operational disruptions at container terminals. A prolonged strike could delay operations at Hamburg and Bremerhaven ports in August, severely impacting German exports, particularly in the automotive and machinery sectors.
