A Japanese PVC producer shared with SSESSMENTS.COM its sales achievement for July shipment to Asia market encompassing India, China, and Southeast Asia. As informed to SSESSMENTS.COM, July shipment offers for ethylene-based PVC cargoes from the producer to India market increased by $120/ton compared to June shipment. While compared to the first half of July shipment, the offers moved up by $80/ton. To China and Southeast Asia, the producer decided to increase the offers by $100/ton compared to June shipment.
At the time of publication, the producer has sold out all PVC allocation to all markets, with a total volume of around 16,000 tons. However, the producer gained different responses from buyers. According to the producer, even though the company sold all of the allocations to India market, most converters were not in a hurry to stock up. Likewise, the producer sold all allocation to China market, but only to re-exporters. While to the Southeast Asia market, at first, the producer believed that buyers would show resistance towards high increment, however, buyers’ enthusiasm was better than expected, particularly to Vietnam market. The producer speculated that as the Thai producer prefers to sell cargoes to China, the allocation to the Southeast Asia market is limited; hence, buyers are looking for Japanese cargoes, SSESSMENTS.COM was told.
The producer opined the current PVC prices already at its peak level. However, the outlook for PVC prices onward remains blurry and most likely will depend on China market movements, as stated to SSESSMENTS.COM.
