Japan Chemical Trading Blog
PVC Resin Price in Asia
An article in the Chemical Daily dated June 5 says that PVC resin market in Asia is on a rebound and the price for June’s shipment was up USD20-30 per ton over the previous month”.
PVC resin is a typical plastic used for various applications including sundry goods, construction materials, and pipes. It is mainly produced from naphtha-derived ethylene salt-derived and chlorine salt. Over 35 million tons of PVC resin is manufactured worldwide and out of the volume, over 1,000 tons is produced in China.
Compared to the situation about 20 years ago when I started my career in this industry, the amount of production in China is increasing at a furious speed.
Around 150 to 200 tons of the material is produced in Japan, which is about the same amount as produced in Korea and Taiwan. These countries are in the export position as the amount of production exceeds their domestic consumption.
China, India, Australia, etc. are in the export position.
It seems that an equipment failure experienced by a Taiwan manufacturer in May pushed up the price, as people expected a decline in supply. Whether or not the price increase continues in the future depends on whether or not the demand will show an upward trend.
The PVC resin market in Japan was JPY192 per kilo, up JPY15 (approximately 8%) compared to the price at the end of last year supported by a strong increase in the number of public works. (Nikkei Newspaper dated on June 2)