Localized ethylene-based PVC offers on cash, EXW Mumbai basis (excluding 18% GST in all terms)
Market players following around PVC market development as India is going into the traditional low season of demand. A trader informed SSESSMENTS.COM the offers for localized cargoes from Russia, South Korea, and Taiwan are stable from last week at INR69,000-72,000/ton ($914-953/ton). All localized offers on cash, EXW Mumbai and excluding 18% GST. In the import market, the trader heard that the average offers are still above $800/ton-level, while at the same time doubting the availability of US PVC cargoes at $720/ton because anti-dumping duty is too high for deals to be workable.
SSESSMENTS.COM noted that the India PVC market is struggling this week with the deals dominated by agriculture and medical-related sector. There are some reasons leading to this situation according to the trader, such as sluggish construction sector. However, the most impactful factor is that monsoon has hit the western part of India, also converters encouraged to keep running their factories at a low rate of 40-50% on average. Trader disregarded coronavirus factor as a striking factor because the operating area in Maharashtra is not very badly affected as compared to Delhi.
Pertaining to overall outlook, trader expressed to SSESSMENTS.COM that is too early to talk. It is better to sit tight and observe the development around July before deciding the direction of PVC pricing.
Tags: Asia Pacific,English,ISC,India,Korea,News,PVC,Russia and CIS,Taiwan
Published on June 24, 2020 2:26 PM (GMT+8)Last Updated on June 24, 2020 2:26 PM (GMT+8)
