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China’s local PVC market sustains slight firming on limited supply

by ChemOrbis Editorial Team -
  • 25/12/2018 (14:58)
In China, the local PVC market has witnessed fresh price hikes so far this week on the back of limited supplies inside the country.

Data from ChemOrbis Price Index suggest that the weekly average of local ethylene-based PVC k67 offers has reached a four-month high following the recent round of price gains. In spite of the slump in crude oil futures, the PVC market sustained its slight firming given availability issues.

A trader reported that he lifted his offers by CNY100/ton ($15/ton) for ethylene-based PVC and by CNY50/ton ($7/ton) for acetylene-based PVC when compared to last week.

“Supplies are tight given the government’s stricter environmental inspections following the explosion near Hebei Shenghua’s PVC facility. Plus, most ethylene-based PVC producers oversold their allocations in the previous weeks. Demand is moderate, with buyers continuing their need-only based purchases,” the seller commented.

Local PVC k67 prices are currently reported at CNY7400-7500/ton ex-warehouse China, cash including VAT ($926-938/ton without VAT). As for acetylene based PVC k67, prices are reported at CNY6650-6750/ton with the same terms ($832-845/ton without VAT).

Meanwhile, May PVC futures on the Dalian Commodity Exchange were slightly up by CNY15/ton ($2/ton) on a weekly basis on December 25.
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