Turkish players: Is American PVC close to bottom?
Petrotahlil:
Turkish players: Is American PVC close to bottom?
• Tight prompt supply keeps k70 strong
• US k67 down further in Turkey, rebounds in Egypt
• European market dealt with small hikes before Easter
• Europe k67 ($/ton): 900-930 CIF
• US k67 ($/ton): 810-850 CIF
• Local k67 ($/ton): 1130-1150 inc VAT
PVC buyers in India, SEA unresponsive to price hikes from China
• Chinese PVC firms up after Jiangsu explosion
• Offers from Taiwan stable on week
• India elections to start on April 11
• Thai buyers away from market due to Songkran
• Crude oil futures hit 5-month high
• Far East Asian k67 ($/ton): 870-880 CIF India | 840-880 CIF SEA
Uptrend for local PVC gains momentum in China ahead of May pricing
• Local PVC posts larger increases on week
• Buying sentiment improves after VAT cut
• Futures, tightening safety measures supportive
• Higher carbide costs, bullish crude add to firming
• May pricing expected with rollovers to slight losses
• Import k67 ($/ton): 810-860 CIF
Larger PVC hikes prove to be unworkable on flimsy demand in Italy
• Most producers revised their initial offers down
• Hikes of €15 started to pass on deals
• Margin recovery may prove to be unworkable
• Buyers not in a hurry to purchase on weak end-demand
• US, Mexican import offers emerged at competitive prices
• Local PVC (€/ton): k67 880-965| k70 900-1005 FD
Import PVC offers change direction in Egypt
• TCI Sanmar announces decreases of EGP200 for H1 April
• Import PVC market up by $10-34 on restricted supplies
• Distribution market levels unchanged for 2nd week in a row
• Demand remains thin amid slow end product sales
• Import PVC ($/ton): 820-840 CIF
Most PVC sellers step back from initial large hike requests in Europe
• Initial hike attempts of €30 failed to pass
• PVC dealt mainly with increases of €15
• No room for margins recovery on sellers’ side
• PVC supply sufficient despite limited C2
• Demand is still calm
• Local PVC k67-68 (€/ton): spot 845-960 | GA net 845-995
