1. Market Price
2. Market
Review
China’s
PVC powder prices dropped this week. The weekly average price of calcium
carbide-based PVC powder was RMB 4,835/mt, down RMB 112/mt or 2.26% WoW.
First,
on April 3rd, President Trump announced the imposition of “reciprocal tariffs”
on global trading partners. In response, China announced corresponding
countermeasures, escalating trade tensions. This dampened sentiment in the
commodities market, leading to a sharper decline in PVC futures prices. Second,
there was little change in the PVC powder fundamentals. The PVC supply remained
high. Some downstream players reported a lack of orders after the Qingming
Festival, though operating rates have not changed significantly for now. Due to
the continued decline in PVC prices, downstream buyers were more cautious toward
procurement. In terms of exports, ethylene-based PVC supply was tight due to unit
maintenance, leading to high prices but weak transactions, while calcium carbide-based
PVC export volume was decent due to lower prices.
3. Market
Forecast
SCI
predicts that China’s PVC powder prices will possibly stabilize after falling next
week, with the price range of RMB 4,650-4,950/mt. The impact of U.S.
reciprocal tariffs on financial markets may temporarily ease, and strong policy
signals have been released domestically, improving overall sentiment in the
commodity market. As a result, the likelihood of commodity futures breaking
below recent lows in the short term has decreased. However, the oversupply in
the PVC market may persist, and with new units about to come online, a price
rebound can hardly be seen.