1.
Market Price
2. Market
Review
China’s
PVC powder prices were first range-bound and then dropped this week. The weekly
average price of calcium carbide-based PVC powder was RMB 5,054/mt, up RMB 44/mt
or 0.88% WoW.
The
PVC powder industrial operating rate remained high, while downstream demand
moved down as downstream enterprises took a holiday and export orders shrank.
Though the social inventory had not piled up yet, there were expectations for
an inventory increase during the Chinese New Year holiday. In addition, there
were no new bullish factors in the macro market, and market players held strong
watch-and-see sentiments. Moreover, caustic soda prices went up, increasing the
integrated profit.
3. Market
Forecast
SCI predicts that
China’s PVC powder prices will possibly hover at lows after the holiday, with
the price range of RMB 4,850-5,100/mt. The PVC powder supply
may remain high, while the demand recovery pace may be slow. Thus, the PVC
inventory is expected to pile up notably. Some market players focus on the
changes in the macro market.