In September 2025, calcium carbide prices in Asia increased due to pre-holiday stocking and higher feedstock coke prices. However, the demand in the downstream PVC markets remained low, affected by ongoing supply constraints. In the U.S., desulfurization needs from the steel industry were strong that supported the calcium carbide prices.
In China, calcium carbide prices rose in September due to pre-stocking and increasing feedstock coke prices. However, demand in the downstream PVC market remained limited. The utilization of PVC capacity through the calcium carbide route increased slightly to 76.7%, thanks to fewer maintenance shutdowns and new capacities coming online.
Despite this, PVC inventory levels continued to climb, reaching a total of 1.234 million tons—a significant increase over the month. The downstream PVC market is experiencing a loose supply and demand situation, with most manufacturers operating their equipment steadily.
In Japan, demand for calcium carbide in the downstream PVC sector remains low, driven by weak domestic fundamentals and a protracted slowdown in construction. Structural issues, such as a surplus of vacant homes and rising construction costs, continue to suppress material demand.
Factory activity in Asia continued to be weak in September, with manufacturers facing challenges as the full impact of US tariffs reshapes trade dynamics. Most downstream PVC producers maintained stable quotations, with only minor adjustments. In India, Reliance Industries Limited (RIL) announced a price reduction for suspension-grade Polyvinyl Chloride (PVC) resin, effective October 1, 2025.
Demand for calcium carbide in the U.S. remained mixed. While demand in desulfurization was robust, driven by sustained activity in the steel industry, overall dynamics were less favorable.
According to the AISI weekly report for 20th Sept. 2025, domestic raw steel output was 1,754,000 net tons, with a capacity utilization rate of 77.4% during the week ending 20th Sep 2025. This marks a 5.9% increase compared to the same week last year, when production was 1,657,000 net tons and utilization was at 74.6%.
However, demand for calcium carbide from the acetylene and PVC sectors remained limited, impacted by a continued slowdown in construction. PVC export prices declined due to weak global demand and cautious procurement. Additionally, rising material costs, particularly from new copper tariffs, pressured margins, leading to subdued purchasing activity in construction-linked segments.
As per the ChemAnalyst, In Asia, holiday-related shutdowns and labor shortages during celebrations may restrict output and tighten spot supply, potentially driving prices up the calcium carbide prices as restocking occurs for winter contracts and seasonal downstream manufacturing ramps up. Conversely, in the U.S., calcium carbide prices may decrease as downstream buyers adopt conservative inventory positions ahead of winter amid a slowdown in the end-user construction sector.
