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The continuous selective oxidation of p-xylene (p-X) by O 2 (generated by thermal decomposition of aqueous H 2 O 2 ) catalyzed by MnBr 2 in supercritical H 2 O at ca. 400 °C is reported for the first time. The selectivity for terephthalic acid (TA) is > 90%. Compared to existing industrial processes, the reaction has the potential for a significant increase in energy efficiency and a substantial reduction in waste. This reaction is significant because the presence of H 2 O lowers the catalytic activity of MnBr 2 in the conventional route to TA via oxidation of p-X in CH 3 COOH.

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