Contract Prices for PVC in US Experienced No Price Variations During October
Contract Prices for PVC in US Experienced No Price Variations During October

Contract Prices for PVC in US Experienced No Price Variations During October

  • 31-Oct-2023 10:32 AM
  • Journalist: Peter Schmidt

In October, contract prices for polyvinyl chloride (PVC) in the United States remained consistent with the levels observed in September. This price stability came amid separate efforts by North American producers to increase prices by USD 44 per tonne. However, it is important to note that global PVC prices have been on a declining trend for several weeks, adding to the complexity of the pricing dynamics in the PVC market. Furthermore, PVC spot export prices saw a decline once again in the most recent week.

One noteworthy factor contributing to the ability of manufacturers to maintain price stability in the face of declining global PVC prices is the favorable cost of container shipping. This has enabled manufacturers to limit the extent of PVC price reductions needed to remain competitive in export markets and mitigate the impact on their net profits.

Adding a regional perspective to the picture, data from MRC's ScanPlast review reveals that during the first eight months of this year, the estimated consumption of unmixed PVC (excluding exports to Belarus) in Russia amounted to 635.71 thousand tons. This figure reflects a 2% decrease compared to the same period in 2022. Notably, while the emulsion PVC market experienced a 4% increase in shipments, the slurry market witnessed a 2% decline.

In the United States, the leading PVC manufacturers include Shintech, Westlake Chemical, Formosa Plastics, and OxyVinyls, underscoring the significant role played by these industry giants in shaping the dynamics of the PVC market.

In October, the United States' PVC market has exhibited price stability in its contract pricing, despite attempts by North American producers to push for price hikes. This steadiness stands out against the broader context of falling global PVC prices and a recent decrease in PVC spot export prices. A key factor contributing to this stability is the favorable cost of container shipping, which has enabled manufacturers to sustain their competitiveness in international export markets while safeguarding their overall profitability.

Meanwhile, in Russia, the consumption of unmixed PVC experienced a marginal dip during the initial eight months of the year, with variations observed across different PVC market segments. Notably, major players within the United States' PVC manufacturing sector continue to wield substantial influence in shaping the industry landscape.

These developments collectively underscore the intricate interplay of multiple factors impacting the pricing and dynamics of the global PVC market, reflecting the complex and interconnected nature of the industry.

Related News

PVC Prices Continue Decline in Asia and USA December Outlook Weak
  • 03-Dec-2024 6:00 PM
  • Journalist: Kim Chul Son
Braskem Explores Potential Entry into the Sustainable Aviation Fuel Market
  • 28-Nov-2024 2:30 AM
  • Journalist: Phoebe Cary
Eastman Invests in European Expansion for Specialty Interlayers
  • 20-Nov-2024 12:30 PM
  • Journalist: Gabreilla Figueroa
PVC Prices in Asia Continue Downward Trajectory Amid Weak Market Fundamentals
  • 19-Nov-2024 6:00 PM
  • Journalist: S. Jayavikraman