This Week's PVC Prices Narrowly Declined in China

November 07, News

I. Price Trends

According to the commodity market analysis system, this week (Nov 3-7) the PVC spot market showed a range-bound fluctuation, with weak price performance. By Friday, the average price of SG-5 type PVC (calcium carbide method) in China was 4,490 CNY/ton, down 0.88% from the previous week.

II. Market Analysis

This week, PVC mainly showed a weak consolidation, with most manufacturers maintaining stability and some making minor adjustments, with the range controlled within 50 CNY/ton. Entering November, the PVC market has been in a weak range fluctuation, mainly due to the lack of positive fundamentals, persistently weak crude oil prices, and futures market weakness. The spot price of PVC also struggled to show strong performance, with the overall range slightly lower. From the perspective of supply and demand fundamentals, the spot PVC market shows a loose supply and demand situation, with most manufacturers operating stably. Supply pressure remains unchanged, and dealers generally offer weaker prices. Downstream demand is insufficient, with downstream purchases mainly based on point pricing, and the enthusiasm for inquiry and purchasing is low, resulting in a lukewarm market atmosphere. The listed prices are relatively low. Overall, the market is still dominated by rigid demand, with moderate trading activity. As of now, the quotation range for SG5 type calcium carbide-based PVC in China is mostly around 4550-4680 CNY/ton.

In the upstream calcium carbide sector, this week, the calcium carbide market in China showed a sluggish performance. Although the price did not continue to decline as before, it still lingered at the bottom. According to the commodity analysis system, the change rate for this week was 0. The price remained relatively low, providing limited support to PVC.

III. Market Forecast

PVC analysts believe that the PVC spot market performance is weak, mainly due to insufficient downstream operating rates and general demand. The supply and demand situation is unlikely to improve in the short term, and it is expected that PVC prices will continue to maintain a range-bound adjustment pattern next week.