In early June 2025, Germany’s Vinyl Acetate Monomer (VAM) market remained stable with firm prices, supported by balanced supply and steady demand from adhesives, packaging, and paints sectors. Local production and U.S. imports ensured sufficient availability, despite minor logistical delays at Hamburg port. Feedstock costs were flat to slightly lower, helping producer margins, while demand was underpinned by steady adhesive usage in construction and automotive sectors amid weak but stabilizing Eurozone activity.
During early June, the German vinyl acetate monomer (VAM) market remained steady with firm prices in the face of equilibrium supply and stable demand from major downstream markets. Local production was uninterrupted, while normal imports from the U.S. Gulf Coast also helped ensure market stability. Shipping rates and prices for U.S. shipments continued to be reliable, and overall logistics in Northwest Europe were operational, albeit with some Hamburg bottlenecks.
VAM availability in Germany was stable during the week. Local manufacturers such as INEOS, Wacker, Celanese, and Dow were running at utilization levels of 80–85%, providing sufficient availability. Brief maintenance shutdown at Hull plant had no significant impact on local VAM availability. Feedstock markets were quiet, prices of acetic acid remained unchanged while a modest decrease in ethylene prices assisted producers' margins.
Even in these overall stable conditions, Hamburg port saw significant disruptions. Rail shipping suffered delays from a signal breach and terminal congestion at HHLA Burchardkai, resulting in cancellations of some export train operations. These disruptions resulted in backlog and small delivery delays for containerized VAM cargo. Otherwise, most other important ports functioned normally, and distributor inventories—three weeks' worth of demand—absorbed the effects of these localized disruptions.
On the demand side, VAM consumption was flat throughout Germany. Adhesives were a leading driver, with pressure-sensitive and waterborne offerings continuing to underpin base demand. Flexibles packaging converters showed regular purchasing volumes, driven by robust demand in consumer and e-commerce segments. Decorative paints were flat year on year, while industrial coatings experienced a slight decline in accordance with weaker Eurozone manufacturing activity. Nevertheless, residential improvement activity and automotive adhesive usage maintained the balance in the VAM demand environment.
The European construction industry continued to be weak but began to show signs of bottoming out. The pace of the fall in activity rose relatively to previous months. There was some support from residential refurbishment and energy efficiency projects, boosting demand for adhesives and sealants. Public infrastructure schemes, which were being financed through EU recovery schemes, also brought some steadiness. Despite high interest rates and funding constraints continuing to bear down on new investment, infrastructure and household upgrade-oriented adhesives served as a solid foundation for VAM demand from construction industries.
Overall, Germany's VAM market remained solid and well-balanced in early June. Production and imports were stable, while adhesives, packaging, and paint sector demand continued to support consumption. While the Hamburg port problems created transient logistical issues, they did not affect overall supply. The sentiment remained guarded by virtue of wider trade policy uncertainties, but VAM prices remained stable.
