Print

Domestic PVC prices in China has been following the uptrend since earlier this week in spite of lower international offers lead by major Taiwanese maker with the support from continuous firming futures market. Indeed, in the past four sessions, futures PVC price on Dalian Commodity Exchange has gained total CNY580/ton ($88/ton), creating positive effect on the spot market.

Traders offered carbide based PVC cargoes mostly have lifted prices CNY50-100/ton ($8-15/ton) compared to last week with expectation that better demand in India would elevate the whole sentiment. A carbide based PVC producer said, “We have up adjusted our offer to local buyers but the initial respond is not very good. However, looking at the strong buying appetite in the near by India market, we think market has touched the bottom. We plan to hold firm on our cargoes hoping to see better demand in the near term.”

Makers have also lifted export prices by $10/ton with a converter in Malaysia received offer for the cargoes at about $730/ton CIF Malaysia, LC AS term informed, “Our supplier is not willing to negotiate for any discount which narrow the price gap between ethylene based and carbide based cargoes. We are planning to talk with our supplier to take some quantity as we expect market has reached the bottom.”

Local carbide based PVC prices in China is now at CNY5300-5400/ton ($690-700/ton excluding VAT) based on EXW China, cash term.