Expected review of this week: after the festival, the market price of PVC was lowered, and the operating range was 5850-6050 yuan/ton, basically consistent with the predicted value of last week. The output of PVC production enterprises after maintenance increased by 7.38% month-on-month, but the downstream post-festival start decreased by 2.09% month-on-month, and the market supply and demand were prominent.
Returning from the May Day holiday, PVC production enterprises repair and resume production, capacity utilization rate increased by 5.54% month-on-month, supply returned to the high, under the pressure of new capacity, ethylene method supply increased by 16.55% year on year; After the holiday, the domestic trade demand remained weak, and the construction started to decline. The foreign trade export market orders decreased by more than 80%. After the holiday, the contradiction between supply and demand increased, and the industry inventory was exhausted. The cost side is affected by the increase of calcium carbide price, and the support is strengthened, while the ethylene method is relatively weak.
Recent PVC market focus:
1. In May, the maintenance of PVC production enterprises involved 6.13 million tons of production capacity, which decreased by 27.71% month-on-month and 90.59% year-on-year.
2. Taiwan Formosa plans to overhaul the 420,000 tons/year VCM and PVC plant in Lin Yuan from June to July.
3. This week, the PVC industry inventory increased by 4.42% month-on-month and 58.98% year-on-year.
4, according to related information: India’s PVC import in April is expected to fall to 210-220,000 tons, lower than the scale of 315,000 tons in March. An Indian manufacturer said that the PVC import volume is expected to reduce the current predetermined volume intention, the import volume in May is expected to fall further.
Post time: May-06-2023