Methyl Ethyl Ketone (MEK) prices kept falling in Asia during the first half of June 2025 as supply stayed high and demand from end-users remained weak. In Europe and the U.S., prices were mostly steady, with buyers purchasing only what they needed and avoiding large stocks.
In China, MEK prices declined during the review period, as cost-side support from feedstock butanol weakened amid thin inquiries and oversupply. Operating rates dropped modestly with one major plant like Anhui Zhonghuifa remained offline, though new capacities kept overall supply levels elevated.
MEK use stayed low as the construction sector remained slow and demand for paints, coatings, and adhesives stayed weak. End-users showed little interest, and most traders bought only small amounts to meet basic needs.
Floods and storms in parts of Asia slowed down infrastructure work, leading to even weaker demand for MEK from the construction sector. Major producers faced rising inventories as new production lines came online, adding to supply overhang.
In Japan, MEK demand remained subdued. Paint and adhesive producers continued to operate cautiously amid weak construction momentum and high housing vacancy rates. With fewer housing starts and sluggish automotive exports, demand for MEK in coatings stayed under pressure.
Japanese producers reduced output in response to low domestic offtake and elevated stock levels. Procurement activity stayed minimal as both traders and end-users showed little urgency, focusing on immediate needs rather than bulk purchases.
In Europe, MEK prices held steady, supported by balanced supply and muted but consistent demand from industrial users. Construction-related sectors, however, stayed weak, especially in the coatings and sealants space, buyers preferred spot deals over long-term commitments as the market participants reported a few new inquiries. Weak overall economic conditions kept buyers from aggressive restocking, which helped keep MEK prices steady.
In the like manner, the U.S., MEK consumption also remained subdued. Coatings manufacturers grappled with reduced construction activity, while downstream buyers restricted procurement to essential volumes. Recent tariff easing spurred shipping flows from Asia but did little to revive demand. The market remained directionless, with no clear recovery drivers in sight.
As per ChemAnalyst, MEK prices are expected to decline globally in the coming months, driven by rapid capacity expansions in Asia, including Anhui Zhonghuifa’s increase from 120,000 tons/year. Typhoon-related delays in China and weak end-use demand may further suppress sentiment. In Europe, tougher competition among producers and slow construction weigh on prices. In the U.S., high interest rates continue to slow new home building and coatings use, capping any price gains for MEK.
