Polyvinyl chloride (PVC) prices fall in Asia

PVC prices fell in Asia this week.

An industry source in Asia who wishes to remain anonymous informed a Polymerupdate team member: “Lower import offers from foreign suppliers, coupled with weak regional demand trends, supported the price decline.”

In China, PVC prices were assessed at levels of $840-886/t cfr, a drop of $10/mt from last week. PVC prices in China fell due to poor demand and export trade restrictions. PVC futures in China posted a sharp drop last week mainly due to a drop in export deals, but posted a slight recovery later in the week when the Chinese government reduced the reserve requirement ratio on September 14 to facilitate credit availability and boost consumer spending. .

In China, it is heard that a producer from Taiwan announced its offer of quality PVC resin slurry at levels of USD 845/MT for shipment in October 2023.

In Southeast Asia, PVC prices were assessed at levels of $840-870/t CFR, down $20/mt from the previous week. Demand prospects in Southeast Asia remained weak as converters in the region were unwilling to undertake import transactions, which, in turn, prompted them to reduce their operating rates. Meanwhile, it has been noted that some manufacturers had distanced themselves from export markets because they anticipated a drop in net returns from key export destinations such as South Asia.

In Southeast Asia, a Taiwanese producer is known to have offered its PVC resin suspension grade at levels of USD 840/MT for shipment in October 2023.

In Pakistan, PVC prices were assessed at levels of $830-860/t cfr, a drop of $10/mt from the previous week.

In Sri Lanka, PVC prices were assessed at levels of $850-870/t cfr, down $20/mt weekly.

In Bangladesh, PVC prices were assessed at levels of $835-845/t cfr, a drop of $5/mt from last week.

In India, PVC prices were assessed at levels of $830-870/t cfr, unchanged week on week.

In India, offer prices remained stable despite lower import offers, although buyers refrained from transacting at these levels.

In India, a major Taiwanese producer has offered its PVC resin suspension grade at levels of $870/mt for shipment in October 2023 (LC at sight). This offer is $30/mt lower than their previous offer.

A producer in Japan offered its PVC resin slurry grade at levels of $890-900/mt for shipment in October 2023, which would equate to levels of $820-830/mt after accounting for import duties.

A domestic industry source informed a Polymerupdate team member: “In the Indian open market, Reliance Industries Limited has announced price protection on PVC starting September 15, 2023, until the end of the month or the next price change, whichever comes first.”

EDC commodity prices were assessed at levels of $260-270/mt CFR China, while CFR Southeast Asia EDC prices were assessed at levels of $285-295/mt, both unchanged from the week former.

VCM CFR China prices were assessed at levels of $695-705/mt and VCM CFR Southeast Asia prices were assessed at levels of $725-735/mt, stable from last week.

Feedstock ethylene prices on Tuesday were assessed at CFR Northeast Asia levels of $835-845/mt, up $15/mt weekly, while CFR Southeast Asia ethylene prices were They evaluated stable levels at 860-USD 870/mt levels.

In plant news, Erdos is likely to close its polyvinyl chloride (PVC) plant for maintenance in October 2023. The exact date and duration of the closure could not be determined. Located in China, the carbide-based PVC plant has a production capacity of 800,000 mt/year.

In other plant news, Guangxi Huayi is likely to close its polyvinyl chloride (PVC) unit on November 1, 2023 for maintenance. The unit is expected to remain offline for about three weeks. Located in China, the ethylene-based PVC unit has a production capacity of 400,000 tons per year.