A Japanese PVC producer commented to SSESSMENTS.COM that ongoing and upcoming maintenance at PVC plants in Asia might balance the market by June. Considering the maintenances at many Asian PVC plants, the PVC supply will be more limited. Such condition might somehow balance the market by June. As such, the producer thinks there is a room for an increase for June shipment offers, but the question is how much will be the acceptable amount according to the customers.
As for import, the producer is wondering whether China buyers will continue to take import cargoes as they have bought a lot of cargoes for May shipment. And for India, the producer thinks that the demand would remain slow even for June as the payment issue persists and the open market inventory is still high. The producer informed SSESSMENTS.COM that their company thinks India will only be able to take up the normal volume for July shipment. However, at the same time, July is the monsoon season in India, thus the decrease in PVC consumption remains in view. Besides, the lockdown is heard to be extended further into the end of May for the red zones like Mumbai.
The producer said those situations above do not picture a very positive outlook for India PVC market onward. On the producer’s end, they will not offer anything for June shipment to any markets as they do not have an allocation to offer to export market due to the upcoming maintenance at their PVC plant.
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