SunSirs: Weak Supply and Demand, China PVC Market Continues to Decline Last Week

https://www.chemnet.com   Oct 28,2024 SunSirs

According to the monitoring of the commodity market analysis system of SunSirs, the PVC spot market continued its downward trend from last week this week (10.21-25). As of Friday, the average price of SG-5 PVC carbide method in China was 5,246 RMB/ton, with a price drop of 0.79% during the week.

Since the second half of October, PVC prices have risen and then fallen. This week, due to the lack of fundamental positive fundamentals, PVC prices continued to decline, and as of the weekend, prices have slightly stopped falling. On the one hand, due to the weakness of the crude oil market and the decline in futures prices, the spot PVC market has been linked to a downward trend, coupled with loose supply and demand performance. Since October, the operating rate of manufacturers has generally increased, with more than half of them operating at full capacity. Market shipment pressure has increased, and dealer offers have continued to decline. Downstream procurement is mainly based on spot prices, with low enthusiasm for inquiry based procurement and a sluggish market atmosphere. The hanging order price is relatively low. Overall, it is still mainly driven by basic needs, and the trading atmosphere is average. As of now, the quotation range for PVC SG5 electrical aggregate in China is mostly around 5,150-5,350 RMB/ton.

In terms of upstream calcium carbide, the price of calcium carbide rebounded in October. According to data monitored by SunSirs, the price increase of calcium carbide since October has been 7.41%. Overall, the price of calcium carbide in the market has slightly increased this week, but the upward trend has slowed down, and with downstream PVC falling back into a slump, the price of calcium carbide may also experience fluctuations.

The PVC analyst from SunSirs believes that in the short term, the contradiction between PVC supply and demand will strengthen, and the operating rate of manufacturers will continue to be high. Both enterprise inventory and market inventory will be high. On the cost side, the upstream price of calcium carbide is unlikely to continue its upward trend, and the cost support is average. From the perspective of the futures market, the PVC futures market has shown weak performance in the later stage, which has affected the confidence of the spot market, and the spot market is generally bearish. It is expected that the PVC spot market will remain weak and volatile in the short term, and we will closely monitor changes in the news.

If you have any enquiries or purchasing needs, please feel free to contact SunSirs with support@sunsirs.com.

 Print  |    add to Favorites  |    Close