Q: This email address is currently in use with another apple i.d.

Before changing the Apple ID, did you completely log out of any device where that ID was logged in, including logging out of Find My (device)?

Change your Apple ID - Apple Support

iCloud: About your @icloud.com, @me.com, and @mac.com email addresses - Apple Support

Managing your Apple ID - Official Apple Support

About your Apple ID email addresses - Apple Support

I can't be sure about this, but it's been suggested that there may be a delay after an address has been removed from an Apple ID before it's regarded as being available for reuse. Leave it for a couple of days and try again. While you should always indeed log out from every device connected to iCloud before changing the ID, to prevent complications, this doesn't impinge on whether or not you can use a particular address when changing the ID.