Functional poly[styrene‐co‐(2‐ethylhexyl acrylate)‐co‐(1,6‐hexanediol diacrylate)]/poly[(methyl methacrylate)‐co‐(butyl acrylate)‐co‐(methacrylic acid)‐co‐(diacetone acrylamide)] (PS/PA) semi‐interpenetrating polymer networks (semi‐LIPNs) containing ketone carboxyl groups were synthesized by two‐stage emulsion polymerization, and characterized by Fourier transform infrared, transmission electron microscopy, dynamic light scattering and DSC. A unique feature of the PS/PA semi‐LIPNs is their ability to crosslink and form thermosetting full‐IPN polymers through the reaction of ketone carboxyl and hydrazide in the course of film formation at ambient temperatures. Series of latex particles with various levels of crosslinking density in the PS and PA domain and varied composition of PS/PA LIPNs were obtained. The effects of the LIPN PS/PA composition and the level of crosslinking density in the PS and PA domain on film density, swell ratio, mechanical properties and contact angle with water were investigated. Maximum synergy effects obtained at around 50/50 (PS/PA) in terms of mechanical properties, density and contact angle with water indicate that the maximum degree of interpenetration is obtained at this composition. Copyright © 2006 Society of Chemical Industry