In early August, PVC market rebound pressure, prices down. There are many disturbing factors in the market in August, including the situation in Taiwan, the expectation of real estate insurance, the long-short game before the delivery of 09 contracts and the expectation of interest rate hikes in the United States, coupled with the regional power rationing affected by high temperature and little rain. On the supply side, due to the impact of the epidemic, power rationing and cost, the quantity reduction is increasing. At the same time, there are new upstream maintenance enterprises in September, and the expected quantity reduction of supply is obvious. On the demand side, the low season is obvious in August, with the regional power rationing in Southwest and East China, and the demand is weak. After the power rationing ends and September is the traditional peak season, the demand may increase.
| Company name | Production process | production capacity 10000MT | Remarks | Chang time | Recover plan |
| YUNNAN NANLING | Calcium carbide process PVC | 24 | no plan | 2019.April 1 | no plan |
| NEIMENG ZHONGGU | Calcium carbide process PVC | 30 | 2022.January.7 | no plan | |
| SHANXI HUOJIAGOU | Calcium carbide process PVC | 16 | 2022.July.8 | - | |
| YIBIN TIANYUAN | Calcium carbide process PVC | 38 | power limited | 2022.August,8 | - |
| SICHUAN JINLU | Calcium carbide process PVC | 30 | power limited | 2022.August,8 | - |
| HENAN SHANMA | Calcium carbide process PVC | 30 | 2022.August,12 | - | |
| SHANDONG XINFA | Calcium carbide process PVC | 20 | Device failure | 2022.August,22 | - |
| XINJIANG ZHONGTAI | Calcium carbide process PVC | 90 | stopped | 2022.August,24 | - |
| SHANDONG LUTAI | Calcium carbide process PVC | 37 | power limited | 2022.August,25 | - |
| XINJIANG TIANYE | Calcium carbide process PVC | 60 | device | 2022.August,4 | - |
| NINGBO TAISU | Vinyl method PVC | 40 | Equipment maintenance | 2022.August,24 | 2022.September 5th |
| SUZHOU SUHUA | Vinyl method PVC | 13 | Equipment maintenance | 2022.August,25 | 2022.September4th |
| TIANJIN LG | Vinyl method PVC | 40 | Equipment maintenance in September | 2022,September,1 | 2022.September 8th |
| BAOTOU HAIPINGMIAN | Calcium carbide process PVC | 40 | Equipment maintenance in September | 2022,September,4 | 2022.September 14th |
| SHANDONG XINFA | Calcium carbide process PVC | 50 | Equipment maintenance in September | 2022,September | - |
| NINGXIA JINYUYUAN | Calcium carbide process PVC | 70 | Equipment maintenance in September |
2022,September |
Currently LIMITED power impact of enterprises, Hubei Yihua and Hunan HengYANG KINGBOARD have been restored, only Sichuan area enterprises are still affected. New maintenance enterprises in September: Tianjin LG, Baotou Sea level, Shandong Xinfa, Ningxia Jinyuyuan. Formosa Plastics Ningbo and Suzhou Huasu facilities resumed in early September.
In the first half of 2022, 1 million tons of new units in the domestic PVC market were put into production (including replacement), including 800,000 tons of capacity replacement in Tianjin Dagu old plant, 200,000 tons of ginger bell plant in Dezhou Shihua, and 50,000 tons of plant capacity withdrawal in Anhui Wuhu Ronghui, increasing the capacity base to 26.02 million tons/year. As can be seen from the table, the overall production pressure of PVC is concentrated in September to December, involving 1.7 million tons of production capacity, an increase of 6.5%.
Overall, the expected increase in demand in September is still a variable, if the increase in demand is not as expected, and the pressure of superimposed production, as well as the current high industry inventory, PVC resistance to the rise of the road.
Post time: Aug-29-2022