Pd-supported on WO3-ZrO2 (W/Zr atomic ratio=0.2) calcined at 1073 K was found to be highly active and selective for gas-phase oxidation of ethylene to acetic acid in the presence of water at 423 K and 0.6 MPa. Contact time dependence demonstrated that acetic acid is formed via acetaldehyde formed by a Wacker-type reaction, not through ethanol by hydration of ethylene.