These Are Latest Trends In The Global Vinyl Acetate Monomer Market

Ethylene Vinyl Acetate (EVA) and Vinyl Acetate Monomer (VAM) are two important chemicals used in various industries. EVA is a copolymer of ethylene and vinyl acetate, known for its excellent flexibility, impact resistance, and low-temperature properties, making it widely used in packaging, footwear, and automotive applications. VAM, on the other hand, is a key monomer used in the production of Ethylene Vinyl Acetate, as well as in the manufacturing of adhesives, paints, and coatings. These versatile chemicals play significant roles in multiple sectors, offering valuable properties and applications in different industries. In this article, we will explore more about its market trend in various countries.

Latest Trends Across Global Market

North America

• Prices- The prices of feedstock (VAM) in North America have witnessed a decline, primarily due to decreasing acetic acid feedstock costs and stabilizing energy prices in the US market. Imported VAM remains significantly cheaper than domestic sources. Low production rates, despite consistent consumption, and constant production costs have led to consistently falling prices.
• Market Influence- Additionally, increased imports from the Asia-Pacific region, supported by reduced freight prices, have influenced the market.
• Declined Demand- The decline in construction demand during the winter season in the USA has impacted downstream sectors such as paints, coatings, adhesives, and polymers.

Asia

• Declining Trend- Asian shipments of Vinyl Acetate Monomer have experienced a declining trend in various countries, including China and Southeast Asia, during Q1 2023.
• Sluggish Market- Due to global inflation and reduced demand for EVA from downstream industries, the shipping industry continues to face a sluggish market.
• Market Value- The market value of EVA in China was observed to be around USD 2440/ton, 28% FOB Tianjin in February 2023.
• Raw Material- Lower procurement of EVA has led to increasing inventories and a rise in the stock of raw material VAM among traders and suppliers.

Europe

• Market Value- During the first quarter of 2023, the market value of Ethylene Vinyl Acetate (EVA) in Europe witnessed a notable drop, with prices at approximately USD 2950/ ton, 28% FOB Hamburg.
• Prices- Freight charges from Europe to China/East Asia have declined, relieving pressure on product prices.
• Producer Price Index- Compared to the previous month, the Producer Price Index for manufacturing in the European Union has also experienced a decline.
• Lower Closure- European markets, particularly in Germany, have witnessed lower closure due to accelerating inflation, impacting the sentiments of the polymer & resin-based industry. The slowing domestic economy in Germany affects road transport, while foreign trade drives truck transport.
• Baltic Freight Index- Despite the easing of energy conditions in the region, rail freight encounters challenges, while the Baltic freight index continues to remain at low levels.

OFB’s Insight

The global Vinyl Acetate Monomer (VAM) market showcases distinct trends across regions. North America witnesses falling prices due to depleting Acetic Acid feedstock costs, while Asia experiences declining shipments and weaker shipping market conditions. Europe observes a significant drop in Ethylene Vinyl Acetate prices, accompanied by declining freight charges. These regional dynamics underscore the various factors shaping the global VAM market and the interconnectedness of industry trends in different parts of the world.

Read more: Here’s Everything You Need To Know About Teflon Market In India

For real time commodity prices, latest news, and insights, please download the all NEW and all FREE OfBusiness APP.