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Export PVC offers see at and above $1000 in China

by ChemOrbis Editorial Team -
  • 07/09/2017 (13:48)
In China, export prices for ethylene based PVC have recently touched the $1000/ton threshold while offers above this threshold even emerged for acetylene based PVC.

Players attributed the steep increases in prices to firm ethylene prices in Asia, global supply concerns following Hurricane Harvey, low PVC inventories well as turnarounds and limited coal supplies amidst the ongoing strict environmental inspections.

A source from an ethylene based PVC producer noted, “Our export offers are considerably up by $70/ton from two weeks ago despite weak demand. Hurricane Harvey’s impacts on the market seem serious.”

A second ethylene based PVC producer also commented, “Although we are receiving a good number of inquiries, we don’t have any allocation for the export market due to the fact that the local market provides better margins. Plus, the ongoing environmental inspections caused coal and PVC supplies to diminish. Therefore, prices are expected to remain firm in the September-October period given supply concerns.”

A source from an acetylene based PVC producer said, “Our offers mostly follow the firmer domestic market rather than the global trend.”

Meanwhile, export prices for ethylene based PVC have also recently reached their highest levels since early December, 2016 after following a mostly firming trend since the second half of July.

In China, export prices for ethylene based PVC increased $60/ton so far this week to $980-1000/ton FOB China, cash basis while acetylene based PVC prices posted a larger increase of $135/ton at $1035/ton with the same terms.
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