The role of water activity on the formation of peroxides and carbonyl compounds during lipid oxidation is important to know because there could be either beneficial or detrimental effects of water activity on lipid oxidation in stored foods. Therefore, methyl linoleate was chosen as a model lipid and was autoxidized to 1% at water activity ranging from 0.02 to 0.79 at 37°C. Oxygen uptake was monitored manometrically. The peroxide and carbonyl contents were determined upon termination of the autoxidation studies. Methyl linoleate autoxidation was characterized by three phases: i) an initial induction period of no oxygen absorption; ii) a slow rate of oxygen absorption, up to 0.15% oxidation; and iii) a relatively faster rate of oxygen absorption beyond 0.15% up to 1% oxidation. Water activity had considerable influence during the first phase. There was no induction period at or below water activity 0.22. The induction period begins at water activity 0.32 and could be extended to a limit with increase in water activity. Once the induction period was passed water activity had no influence on the rate of oxidation. However, during the second and third phases water activity becomes important in the stabilization of peroxides/hydroperoxides and decides the course of secondary reactions that follow peroxide decomposition. Higher water activity values, particularly water activity 0.67, tended to stabilize peroxides. Water activity had considerable influence on the formation of secondary products of autoxidation as evidenced by the variation in the type and quantity of carbonyl compounds at different water activity values.