India’s PVC uptrend gaining momentum as BIS implementation looms; ADDs face new delay

Market participants anticipate the current uptrend in PVC prices gaining momentum, driven by expectations that India—the world’s largest PVC importer—will soon enforce new quality standards proposed by the Bureau of Indian Standards (BIS). On another front, Chinese PVC suppliers in India received a temporary reprieve, as the Directorate General of Trade Remedies (DGTR) has postponed the oral hearing related to the ongoing anti-dumping investigation into suspension-grade resin imports.

The BIS implementation is expected to have a major impact, as Chinese PVC, which accounts for the bulk of India’s imports of the polymer, is expected to be sidelined by Indian importers. Although there are Chinese export offers — the lowest reported at $680/ton CIF — very few buyers are biting as they don’t want to be saddled with extra costs in case the BIS imposition happens after their cargoes have already set sail.

Another delay: Traders have no clue on ADD

Meanwhile, the revised date for the ADD hearing is June 12, 2025. “The continuing delays at the government level perhaps point to a lack of will on its part to implement the earlier panel recommendations, that suggested ADDs on imports of different origins, and on imports from specific companies,” said a trader in Mumbai. “As the government has announced yet another delay, we have no clue when we can expect ADDs to be finally imposed,” he added.

A recent Supreme Court ruling was anticipated to expedite the final decision on ADD, but that is not to be. Traders were expecting the final decision on ADD to be made by the end of June, around the same time as the BIS implementation. But Apart from the expected BIS implementation, an upbeat sentiment in China following a trade deal with the US has sent bullish signals across Asia.

Bulk of Chinese suppliers not BIS certified

On the other hand, the BIS implementation will hit importers of the Chinese product. “Only a few Chinese companies — less than four, as I understand — have received BIS certification. And, it is perhaps moot any imposition of ADDs on PVC imports would further shut out Chinese PVC from India. This will certainly mean the import pool for India shrinking and prices surging,” a Mumbai-based trader said. “Perhaps that’s also a factor that’s holding back the government,” he added.

Another trader, also based in Mumbai, said the ADD imposition was “only a matter of time, as the government could also be listening to the Chinese and the Americans lobbying for their respective companies”. He added: “We don’t know what shape and form the BIS and ADDs will take as they are imposed. But from all accounts from official sources, the government is bound to act on the recommendations from different panels,” he added.”

PVC prices rise across Asia

Meanwhile, assessed PVC prices in the last couple of weeks have increased by $35/ton to the midpoint of $715/ton CIF India, a near four-month high. In other regions, prices were up by $15/ton at $685/ton CIF China and by $18/ton at $660/ton CIF SEA, both the latter numbers hitting near two-month highs. Reflecting the bullishness in the market, a major Indian producer also raised prices by INR1000/ton ($12/ton), with effect from June 1, marking its second price increase in the last 10 days.

“The price increase from the major Indian producer reflected the market thinking that an upward momentum was back in the PVC markets. We’d already surmised that prices could not go any lower from the current levels, and here was an endorsement from the major producer,” said one of the Mumbai-based traders.

The increase in PVC prices is also attributed to stronger offers for June shipments, driven by increasing freight costs. Shipping rates from China have climbed this week, as Chinese exporters rush to dispatch goods to the US during a 90-day tariff exemption. This demand surge has led to expectations of further freight hikes. The PVC price increase has happened despite earlier expectations of a monsoon slowdown in construction and agricultural activities, major PVC-consuming sectors in India.

Other sellers surpass benchmark offers

Apart from benchmark prices from a Taiwanese major for June, which rose by $20/ton to $720/ton CIF India for PVC K67, other suppliers to India also raised prices, which in a rare development, went even higher than the benchmark level. For instance, South Korean offers were reported in a $740-750/ton CIF India range, while a Taiwanese producer, a small player in India, offered the same grade at $730/ton CIF. A Japanese duty-free offer was reported at $780/ton CIF India that corresponded to a $720-725/ton CIF for a dutiable shipment. Meanwhile a Thai producer was heard offering the same grade at $740/ton CIF India.

The Taiwanese supplier also raised its PVC K67-68 offers by $10/ton to $710/ton CIF China and $670/ton FOB Taiwan. No volume discounts were offered for any of the destinations.