Entering Peak Season, PVC Demand In Vietnam Did Not Move As Expected
- Local producers adjusted down PVC offers for October delivery
- Import PVC offers of Japan origin dropped by $20/ton
- Vietnamese market players foresee prices would move down further
Entering peak season, the PVC demand in Vietnam did not pick up as expected. According to the data provided by Vietnamese market players to SSESSMENTS.COM, ethylene-based PVC offers for October delivery from local producers surfaced with a decrease of VND600,000/ton ($25/ton) compared to September. While deals for local materials were successfully concluded at the same level as the initial offers at VND20,700,000/ton ($889/ton) on cash, FD Vietnam basis and excluding 10% VAT. In the import market, ethylene-based PVC offers of Japan origin stood at $870/ton on LC 90 days, CIF Vietnam main port basis, at $20/ton lower than last month’s level. Deals for the Japanese PVC cargoes were achieved at the same level as the initial offer.
As mentioned before, PVC demand in the Vietnam market reported as sluggish since the market activities are very quiet and some converters still have sufficient inventory left. On the production sector, some converters are still running at a reduced production rate due to the subdued demand for the end-products. Meanwhile, pertaining to TPC Vina Plastic Chemical Corporation Limited (TPC Vina)’s PVC plant no.1 with the capacity of 80,000 tons/year that was previously shut for maintenance on September 24, the plant has been brought on-stream since October 5, earlier than the initial schedule of October 10, SSESSMENTS.COM noted.
Regarding November shipment, the majority of market players shared opinion to SSESSMENTS.COM that ethylene-based PVC prices would have a possibility to move down further due to the sluggish demand this month. However, some market players still hoping that demand will start to improve in November.
Tags: Asia Pacific,English,EN PVC VIETNAM WSS,Polyvinyl Chloride (PVC),Southeast Asia,Vietnam,WeeklySSESSMENTS PVC prices,Vietnam PVC pricesPublished on October 8, 2019 7:15 PM (GMT+8)
Last Updated on January 14, 2020 7:43 AM (GMT+8)