What is driving the recent acetic acid price surge and supply tightness?

The 2023-2024 acetic acid rally was ignited by Middle East geopolitical tensions. Methanol, the core feedstock, jumped roughly 50% from late February to about 3,375 yuan per tonne in East China, directly lifting production costs. On the supply side, multiple domestic plants entered maintenance in late March, tightening spot availability. Overseas, global leader Celanese reduced operating rates at its US and European facilities due to high feedstock costs and shipping disruptions, widening the global supply gap. Chinese exporters saw a sharp increase in orders, particularly for acetic acid and downstream vinyl acetate, as overseas plants shut or cut runs on feedstock shortages. This export pull, combined with domestic supply discipline, pushed acetic acid prices to two-year highs.