For the Quarter Ending June 2025
North America
• The U.S. acetone price index continued a downward trend with the prices valued at USD 1024/MT FOB Texas at quarter-end.
• This price stability was amid chronically soft downstream demand from industries such as automotive, coatings and chemicals, with market mood generally bearish.
• Acetone spot price was stationary with an equilibrium in supply and subdued demand, even while higher-up feedstocks such as benzene and propylene were adequately available.
• The acetone demand outlook in North America continued to show signs of weakness, particularly in key consuming segments such as BPA, MMA, and solvents.
• Despite some upward cost pressure from rising natural gas prices, these were offset by factors such as oversupply, uninterrupted plant operations, and weak purchasing interest from buyers.
• Acetone production cost trend remained relatively flat, as feedstock availability (propylene, cumene, and benzene) faced no significant disruptions and refinery operations remained stable.
• U.S. phenol–acetone plants operated at just 57–65% of capacity in July, reflecting structurally weak demand and excessive supply in the market.
• Overall, the acetone price index in the U.S. remained under downward pressure due to a mix of oversupply, cautious downstream buying, and limited export opportunities.
APAC
• The Acetone Price Index in South Korea remained mostly stable throughout July 2025, with prices reflecting subdued market activity and ample domestic availability.
• The Acetone Spot Price showed little movement due to balanced supply and weak demand from sectors such as automotive, construction, and consumer electronics. Although upstream benzene costs remained firm, they failed to push acetone prices higher.
• The price decline observed earlier in May (1.4%) continued to influence July sentiment. This decrease was mainly attributed to macroeconomic challenges, the closure of key downstream MDI plants (e.g., Jinhu’s 200,000 t/y unit), and soft global trade activity.
• The Acetone Production Cost Trend stayed relatively flat during July. Despite rising freight rates—up by 40–50% on export routes—stable energy tariffs, no upstream outages (steam crackers, catalyst lines), and consistent labor availability kept cost volatility in check.
• Market participants reported no significant feedstock disruptions (benzene, propylene, cumene), maintaining domestic operating rates at around 85%. This ensured sufficient production volumes from major hubs like Yeosu and Busan.
• On the supply side, South Korean acetone manufacturers continued operating at ~60–70% utilization, suggesting a surplus condition despite scheduled maintenance in the Middle East and proposed cuts at Daesan and Yeosu.
• The Acetone Demand Outlook remained cautious. End-use demand was restrained by stagnant construction and coatings activity, slow acrylic-sheet consumption, and just-in-time procurement strategies. Domestic buyers focused on minimal replenishment.
• Despite firm upstream fundamentals and tight margins, downstream weakness and excess supply led to a neutral-to-soft market tone. Traders and producers adopted conservative pricing policies in anticipation of flat or lower spot movement ahead.
Europe
• The acetone price index in Europe remained downward throughout Q2, though it due to weak demand and high energy-driven production costs.
• This decline was caused by subdued downstream demand in sectors such as automotive, coatings, and construction, along with reduced export activity. In the last month of Q2, the prices settled at USD 782/MT, FD Karlsruhe.
• The acetone demand outlook across Europe weakened during Q2, with many buyers maintaining need-based procurement strategies. Demand from downstream industries like phenol, plastics, and pharmaceuticals remained muted despite earlier recovery hopes.
• The acetone production cost trend remained sluggish. The feedstock prices like benzene and cumene softened, the relief was offset by energy-related inflation.
• Domestic production remained steady but underutilized, especially in Germany. Phenol-acetone producers, including INEOS, operated at reduced capacity or planned shutdowns, resulting in oversupplied spot markets.
• The closure of Orlen’s phenol-acetone plant in Poland added some regional supply concern, but its limited scale meant the effect on broader acetone availability and pricing was minor.
• Trade with the U.S. was restricted due to tariffs on European acetone and phenol, constraining exports and further weakening the acetone demand outlook.
• Even as logistics across the Rhine and rail systems remained efficient and feedstock prices declined slightly, electricity and utility costs continued to drive up the acetone production cost trend, limiting profitability.
• A sharp fall in utilization rates at INEOS Phenol’s Gladbeck unit led to excess volumes entering the spot market, fueling a growing oversupply.
• Despite slight raw material cost easing, the acetone price index in Germany stayed under pressure due to rising energy costs and persistent oversupply.
For the Quarter Ending March 2025
North America
In Q1 2025, the Acetone market in North America displayed a largely stable to slightly bullish price trend, underpinned by a complex mix of supply chain challenges, modest demand recovery, and shifting trade dynamics.
Prices remained relatively steady early in the quarter due to subdued demand from downstream sectors like cosmetics, pharmaceuticals, and coatings, while sufficient inventories kept aggressive restocking at bay. However, as the quarter progressed, supply-side constraints began to influence market sentiment. Limited feedstock availability—especially cumene—and increased production costs pushed some major producers, such as AdvanSix, to announce price hikes.
The close correlation between acetone and phenol production also played a key role, as phenol output fluctuations impacted acetone availability. By late March, prices saw a sharper uptick, rising by 7.4% and more, driven by a cautious rise in demand and growing logistical pressures, including increased port fees and tariff implications on imports. Geopolitical uncertainties and rising energy prices added further upward pressure. While overall demand remained tempered, North American producers focused on enhancing domestic supply chains and boosting exports, setting the stage for potential continued price strength into Q2 2025.
APAC
During Q1 2025, the Acetone market in the Asia-Pacific region remained largely stable, supported by consistent feedstock prices, cautious buying behavior, and subdued demand from downstream industries. The market was influenced by the strong linkage between acetone and phenol production, with stable phenol output preventing any sharp fluctuations in acetone supply. Despite some port inventory fluctuations and minor spot shortages, producers maintained a conservative pricing strategy, avoiding increases amidst weak purchasing sentiment. Cumene, the primary feedstock, held stable prices through the quarter, reinforcing the broader trend of market stability. Demand from key sectors such as plastics, pharmaceuticals, and coatings remained soft, though replenishment activity picked up slightly in March, driven by tightened spot availability and low factory operating rates. Even with pressures from rising shipping costs and geopolitical uncertainty, acetone prices showed only minimal week-to-week movements. While benzene and crude oil price shifts briefly impacted market sentiment, they did not trigger significant price deviations. Overall, the APAC acetone market in Q1 2025 was marked by equilibrium between moderate supply and weak, though steady, demand, leading to limited pricing volatility.
Europe
During Q1 2025, the European acetone market experienced overall price stability, underpinned by steady supply levels and subdued demand from downstream sectors. Weak domestic consumption, particularly in Germany, combined with a decline in feedstock cumene and crude oil prices, limited upward pressure on acetone prices. While the solvent, adhesive, and pharmaceutical industries maintained moderate and consistent procurement, broader market activity remained sluggish. Trading volumes were restrained, with minimal negotiations and low restocking interest from terminal factories. Operating rates across Western Europe dipped due to rising energy costs and inflation, which constrained production and prevented any significant inventory build-up. Although spot shortages and logistical disruptions—such as port delays in Hamburg—emerged temporarily, supply chains remained well-regulated and balanced. Feedstock price movements, including those of benzene and crude, had a limited influence due to stable raw material availability. Despite a bearish outlook in MMA and fluctuating demand for chemical intermediates, consistent demand from the coatings, plastics, and pharmaceutical sectors helped support price stability. Overall, Q1 2025 in Europe was marked by steady acetone prices, with weak momentum for recovery amidst ongoing macroeconomic challenges.
For the Quarter Ending December 2024
North America
In Q4 2024, the U.S. acetone market experienced a bearish trend, with prices remaining relatively on the declining momentum despite fluctuations in demand and production costs. Prices were influenced by stable production costs and moderate demand from downstream industries, including cosmetics, pharmaceuticals, and Methyl Methacrylate (MMA) production.
However, some supply chain disruptions, such as minor plant shutdowns and concerns over potential labor strikes, created uncertainties in the market. Despite these challenges, overall demand for acetone remained steady, with consumption supported by key industries like MMA and Polymethyl Methacrylate (PMMA), which showed resilience amid broader economic pressures.
Although domestic production of acetone remained slightly restricted, reduced feedstock availability, including cumene and propylene, continued to impact supply. Geopolitical concerns, particularly regarding potential tariff hikes and strike actions, raised import and export costs, further complicating the market. Overall, acetone prices showed minimal fluctuation, reflecting stable demand and constrained supply dynamics.
APAC
In Q4 2024, the acetone market in South Korea showed decreasing price trend, largely due to reduced procurement from terminal factories and weak demand from key industries. The market experienced cooling conditions, with limited trading activity and traders adjusting their positions to reflect the subdued sentiment. Prices saw only slight fluctuations, driven by cautious buying behaviour and ongoing weak demand.
The demand from key sectors like MMA and other aromatics continued to decline, contributing to a steady but restrained market outlook. Production remained moderate, with acetone output sufficient to meet both domestic and international demand. However, the drop in raw material prices, particularly cumene, put downward pressure on acetone prices, further limiting any upward movement.
Market participants were hesitant to make aggressive purchasing decisions, leading to a more passive trading environment. Despite the cautious outlook, supply remained stable, and some support was observed from key downstream manufacturers. The market was expected to stabilize in the short term, pending any major supply disruptions.
Europe
In Q4 2024, the European acetone market experienced a period of price pressure, driven by a combination of oversupply and reduced demand. The oversupply of phenol led key producers to cut production, resulting in a supply-demand imbalance that tightened acetone availability. As acetone was a by-product of phenol, the reduction in phenol production inadvertently restricted acetone supply, leading to upward price pressure.
Despite planned maintenance at major producers like Ineos and Cepsa, acetone availability remained sufficient, but sluggish demand from key sectors such as solvents and adhesives continued to suppress price increases. The decline in crude oil prices and weakened feedstock markets, particularly for phenol and styrene, added downward pressure on acetone prices. This, combined with cautious buyer sentiment, resulted in moderate trading activity.
European MMA prices fluctuated, reflecting broader economic concerns, while the holiday season further dampened demand expectations, contributing to a bearish outlook. The overall market remained subdued, with minimal signs of recovery in either demand or pricing.
For the Quarter Ending September 2024
North America
In Q3 2024, the North American region saw a significant decline in Acetone prices, with the USA experiencing the most pronounced price fluctuations. Several factors contributed to this downward trend, primarily the reduced demand from downstream industries such as cosmetics and pharmaceuticals, which traditionally drive Acetone consumption.
Despite stable production costs, the market faced several challenges, including supply chain disruptions caused by adverse weather events like hurricanes and unexpected plant shutdowns. Notably, Shell Chemicals experienced a temporary plant shutdown due to force majeure, which adversely affected its overall operational capacity.
This situation contributed to an overall negative sentiment in the market, reflected in the correlation between declining crude oil prices and the downward trend of Acetone prices. During the quarter, prices dropped by 26% compared to the same period last year, illustrating the ongoing pricing pressure. Additionally, a 1% decline was recorded compared to the previous quarter, while a noteworthy 3% difference was observed between the first and second halves of the quarter, underscoring market volatility.
APAC
In the third quarter of 2024, the Acetone market in the APAC region faced a significant decline in prices, driven by various critical factors. A primary influence on this downturn was the continuous stagnation in propylene prices, a key feedstock essential for acetone production. This situation resulted in widespread price reductions across the market. During this quarter, stable demand from downstream solvent industries was observed, but sluggish overall market activity further contributed to the downward price trend. In mid-quarter, Mitsui Chemicals experienced a temporary plant shutdown due to maintenance work, which negatively impacted its operational capacity. Japan was particularly affected, experiencing the most significant price changes that mirrored the prevailing negative sentiment across the region. The quarter registered a substantial decrease in prices compared to the same period last year, reflecting an -11% decline. Moreover, a quarter-on-quarter analysis indicated a -6% decrease, further underscoring the consistent downward trend in the market and highlighting the ongoing challenges faced by the acetone industry in the APAC region.
Europe
In Q3 2024, the European Acetone market experienced a notable rise in prices, with the Netherlands reflecting the most significant changes in this trend. Several key factors contributed to this price increase, including limited supply from manufacturers, which tightened market conditions, coupled with adequate feedstock availability. Additionally, a balanced supply of propylene, a crucial feedstock for acetone production, helped stabilize the market dynamics. However, towards the end of the quarter, operational capacity faced disruptions as CEPSA Group and Seqens Group experienced temporary plant shutdowns due to maintenance work. Compounding these issues, workers at the Port of Hamburg halted operations, followed closely by similar actions in Bremen-Bremerhaven. This labor action was initiated by the trade union, which aimed to pressure employers into making additional concessions during ongoing wage negotiations with the Central Association of German Seaport Operators (ZDS). Furthermore, a significant backlog of container ships had formed off the coast of California, contributing to logistical challenges. Collectively, these factors influenced the price incline throughout the third quarter, underscoring the complexities in the European Acetone market.
FAQs – Global Acetone Market (July 2025)
1. What is the current price of Acetone in major regions (as of July 2025)?
• U.S.: USD 1024/MT FOB Texas
• Europe (Germany): EUR 965–980/MT FD Northwest
• South Korea: USD 1030–1055/MT FOB Korea
2. Who are the top Acetone producers in the United States?
Major U.S. producers include INEOS Phenol, AdvanSix, and Altivia, primarily located in the Gulf Coast region.
3. What factors influenced the Acetone Production Cost Trend in July 2025?
Stable feedstock supplies, consistent refinery operations, and moderate energy costs kept production costs flat in the U.S. and South Korea, while higher electricity prices slightly increased costs in Europe.
4. What is the Acetone Demand Outlook across key regions?
• North America: Weak demand from automotive and coatings continues.
• Europe: Cautious optimism with recovery in plastics and pharmaceuticals.
• APAC (South Korea): Subdued demand due to weak exports and seasonal slowdown.
