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    Home > Chemicals Industry > China Chemical > The price of PVC resin has risen sharply, and the product industry has been greatly affected

    The price of PVC resin has risen sharply, and the product industry has been greatly affected

    • Last Update: 2022-01-27
    • Source: Internet
    • Author: User
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      Recently, some sub-industries and enterprises have continuously received feedback that the price of PVC resin has risen abnormally and rapidly, from about 6,000 yuan/ton to nearly 9,000 yuan/ton, and futures prices have risen significantly.

      It is reported that in 2019, more than 10 million tons of PVC resin were used in sub-sectors such as PVC pipes, doors and windows, panels and sheets, foamed products, artificial leather, synthetic leather, and plastic shoes.
    In 2019, the price of general-purpose PVC resin will run between 6000-7500 yuan/ton.

      Due to the impact of the epidemic, the price of PVC resin reached the lowest point of 5,000 yuan/ton at the end of March 2020.
    The product industry has also been greatly affected, and the market demand for most products has declined.
    The market demand is steadily rising.
    In early October, the price of PVC resin quickly rose to 7,000 yuan/ton.
    In early December, the ex-factory price of PVC resin exceeded 8,500 yuan/ton.
    Some companies’ prices exceeded 9,000 yuan/ton on December 11.
    Some sheet companies purchase PVC at a price of 9,150 yuan/ton.
    Many PVC raw material companies in the market stopped quoting, and warehouse stocks in individual regions were exhausted.
    Some companies use pre-sale sources for one to two weeks and need to wait in line for delivery.

      The abnormal rise in the price of PVC has brought great harm to the PVC products industry.
    It is understood that the overall production of PVC downstream products has not increased, the product market capacity has not changed much, product prices are relatively stable, and the price of raw materials has risen sharply.
    It is difficult for product companies to raise prices.
    Some product companies have already sold more PVC products.
    The phenomenon of multiple losses.
    Some companies suspend the purchase of PVC raw materials and the processing of PVC products.
    For the continuity of the market, some companies can only make up the previous profit to the loss, and try to control the production and sales of PVC products.
    Some large-scale PVC pipe manufacturers report that the current prices of PVC resin and PE resin are the same, or even slightly higher, which will weaken the competitiveness of the PVC pipe market.
    Manufacturers will increase their willingness to recommend the sale of PE pipes, which will be detrimental to the PVC product market in the long run.

      There are also hard PVC products companies that report that products are facing high tariffs on exports to North America.
    For example, tariffs of 25%-30.
    8% in the United States, ocean freight has risen 2-3 times of previous years, and RMB appreciation and other unfavorable factors.
    This year, PVC resins in developed regions such as Europe and the United States Although the price is around 6,400 yuan/ton (800 Euro/ton), due to my country’s anti-dumping of PVC resin in the international market, foreign PVC resin cannot enter the country.
    The domestic PVC raw materials fluctuate sharply, causing the export of products to worsen.

      In 2020, in the context of the decline in crude oil prices and the sharp decline in the price of polyolefin raw materials, the price of PVC has risen sharply against the trend, and even has a price and no goods.
    In some places, it can only be bought with high prices in cash.
    Some PVC product companies worry that the sharp increase in prices will have a major impact on the development of the industry, making the industry companies unable to survive, and ultimately hurting the PVC raw material companies.
    The industry calls for keeping the price of PVC stable and reasonable, jointly maintaining a good market order, and ensuring the healthy and sustainable development of the industry.

      Regarding the current price increase, I have learned from relevant industry associations that the current price fluctuation of PVC resin is the market reason, and there is also a pull in the price of upstream calcium carbide, and the increase in transportation prices is also an influencing factor.
    Some relevant people also analyzed that it is unreasonable for the price of PVC resin to increase sharply against the trend, and there are short-term panic factors, and there will be a trend of returning to normal soon.

    Transfer from: China Plastics Processing Industry Association

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