The Chinese ethyl acrylate market continued to witness a bearish trend as a result of limited demand from the construction and coatings industries, fueled by weakness in the real estate market. Additionally, declining feedstock prices, particularly acrylic acid, contributed to downward pressure on the ethyl acrylate market. Overseas, fears regarding planned U.S. tariffs on Chinese chemical imports dented export sentiment. As there was a stable supply and decreasing demand for ethyl acrylate, the market kept going in a bearish direction.
The Chinese ethyl acrylate market in July 2025 kept declining due to various interconnected factors both domestically and globally. The initial 20 days of July recorded a clear slowdown in real estate demand, as new house sales in 28 cities tracked fell 18.5% month on month and 14.9% year on year. The downturn has had a ripple impact on the construction and coatings sectors, heavy users of ethyl acrylate.
Guangzhou and Shenzhen, two of China's major real estate markets, had eased building codes in the previous two years to enable greater space efficiency in new developments. This initially boosted sales and made newer projects more desirable to potential purchasers. However, the subsequent oversupply of high-efficiency homes put downward pressure on older stock, which further restricted demand for ethyl acrylate from the downstream construction industry in China. Reacting to this, Guangzhou re-tightened its policies once again in May 2025, which also retarded the pace in the real estate market.
This slowing down of construction works has resulted in softer demand for ethyl acrylate. Adding to the problem, the feedstock market has also been on a downturn. Feedstock, in the form of acrylic acid, fell by 2.51% in July. Although ethanol, a feedstock, registered a small rise of 0.72%, it was too little to counter the bearish trend throughout the production chain.
On the global front, trade tensions have re-emerged as a concern. Ethyl acrylate exports from China are likely to face new challenges, with the United States proposing tariffs of up to 50% on certain chemical imports. While trade officials from both countries are expected to meet in Sweden soon, uncertainty over tariff outcomes has already dampened export confidence and disrupted international buying behavior.
According to ChemAnalyst, all these have resulted in a bearish and cautious outlook for China's ethyl acrylate market. With the ethyl acrylate supply steady but domestic and global demand dropping, prices are expected to stay under pressure in the short term. Market players are eagerly waiting for policy news, the signals of real estate recovery, and US-China trade negotiations to gauge the next direction.
