China Polyvinyl Alcohol Market Trace Downtrend in Late August, here is Why

Key Highlights:

• The PVA market is in a prolonged downward trend, now lasting twelve weeks.
• Domestic PVA production remains steady, covering over xxx of market demand.
• Inventories are sufficient, and spot availability is high.
• Feedstock costs keep declining, lowering production expenses.
• Downstream demand remains strong but is not enough to reverse the trend.

Chinese Polyvinyl Alcohol (PVA) markets remained under strong bearish pressure through late August xxxx, now into the twelve weeks of decline. Demand from the major downstream applications (cleaning brand detergent pods, agrochemical sachet production, healthcare packaging, textile sizing, etc.) remains unchanged, however selling pressure from oversupply and the continuous decline in feedstock costs have been more than the market can absorb. Local producers are producing unencumbered, their inventory levels to replenish stock were ensured, and fall in feedstock prices (especially for vinyl acetate) continues. The outlook in the short term is negative for the market, further...