India’s Acetic Acid market saw a pronounced downturn in sentiment from late June into early July, driven by subdued domestic demand, seasonal monsoon-related slowdowns, and increased pressure from competitively priced Chinese imports.
Acetic Acid domestic consumption has been affected across multiple end-use sectors. Downstream Ethyl Acetate manufacturers have scaled down operating rates as conversion economics turned unfavourable, particularly within the bulk drug segment.
Meanwhile, acetic acid downstream sectors such as Acetic Anhydride and Monochloroacetic Acid (MCA) are seeing subdued demand, with pharmaceutical intermediates production showing little sign of recovery. Seasonal slowdown linked to the monsoon has further weighed on industrial coatings, construction chemicals, and flexible packaging—all key drivers of VAM-related consumption.
With vessel arrivals staying consistent and inventory drawdowns limited, the domestic Acetic Acid market remains oversupplied. Most importers and stockists have shifted focus to clearing existing volumes, holding off on...
