1. Market Price
2. Market
Review
China’s
PVC powder prices moved sideways this week. The weekly average price of calcium
carbide-based PVC powder was RMB 4,853/mt, up RMB 18/mt or 0.37% WoW.
First,
PVC powder fundamentals improved further. Export deliveries and intensive PVC
unit maintenance dragged down the PVC social inventory. Second, as the
integrated profit at chlor-alkali producers was negative, the cost gave
stronger support to the market. However, in the long term, under the influence
of factors such as a large number of new capacity plans, the expectation of
fewer exports, and changes in tariff policies, the fundamental pressure on PVC
powder is relatively large. Although the impact of tariffs has slightly eased,
the long-term effects still exist. China’s hedging policies have not yet been
implemented, and participants hold bearish sentiments.
3. Market
Forecast
SCI
predicts that China’s PVC powder prices will possibly hover at lows next week, with
the price range of RMB 4,700-4,950/mt. PVC powder fundamentals
are expected to improve further. The tariff issue may still exert pressure on
the commodity market. Attention should be paid to the implementation of China’s
monetary easing policies.