Analysis of China’s PVC paste resin market price trend from January to October

From January to October 2021, the overall price of PVC paste resin in China showed a “high-low-high-low” trend, the price trend fluctuated significantly, and the price center of gravity shifted significantly up.The average price of the high point appeared at 20,075 yuan / ton at the end of March, the average price low appeared at 9,150 yuan / ton in mid-July, the price difference between high and low points as high as 10,925 yuan / ton.From January to October, the average price of PVC paste resin in China was 14,935 yuan / ton, 7.27% higher compared with the average annual price of 2020, and the average price of gloves from January to October was 17,178 yuan / ton, 5.61% higher than the average annual price of 2020. The average price of large market materials from January to October was 12,692 yuan / ton, and 9.60% higher compared with that of 2020.The factors affecting the price trend of PVC paste resin in China in 2021 mainly come from the changes in the cost side, supply side and demand side.The following points are detailed in stages:

January to March, the market price maintain high consolidation: January-March continued late 2020 PVC paste resin market, although the first quarter of some glove products enterprises new orders decreased significantly, but because of some glove products enterprises in the end of 2020 basic full in the first quarter of 2021 orders, give priority to to return early orders, so the opponent cover support is still strong, PVC paste resin prices continue to maintain high consolidation, the average price of 20075 yuan / ton became a high in the year.

April-mid-July, Market prices fell significantly: in April, some glove product enterprises received orders reduced and even some small and medium-sized product enterprises “no order to receive”, Glove material demand has weakened, PVC paste resin enterprise glove material inventory gradually increased, Some micro-suspension paste resin enterprises began to switch to production or full-market material to relieve the pressure of glove material inventory, But in the premise of the market demand did not increase, The increase in supply also brought negative impact to the market market, With the increase of micro-suspension enterprises to output the proportion of large-market materials, The market market also appeared oversupply situation, PVC paste resin glove prices began in early April began to decline, Since mid-April, the market is expected to fall back quickly, Until the middle of July, the average price was 9,150 yuan / ton, Down to the inner-year low, Some enterprises’ inventory pressure has increased significantly.

In late July to early October, the price bottom rebound: early July PVC paste resin prices fell to a low in the year, and the price of raw material calcium carbide continues to go up, some PVC paste enterprise losses, under the dual influence of cost and inventory pressure, some enterprises began to reduce load to relieve their pressure, even individual enterprises temporary shutdown or early maintenance, at the end of July China PVC paste resin industry average load rate to the lowest level of 35%.In the face of high cost and low market, some market participants believe that the price is basically bottom, some terminals have the willingness to bottom stock.Driven by the phased stock demand, since the end of July began to paste resin prices began to rebound.With calcium carbide prices constantly refresh record high, paste resin cost continue to increase, and calcium carbide supply tension is difficult to ease, August-September PVC paste resin prices rose, the price increase in October, in addition to cost high support and raw material supply shortage, glove products orders has become one of the factors, during the 11 holiday some glove products enterprises export orders price and quantity are slightly increased, some large and medium-sized glove products enterprises started, rival cover demand increased significantly.By the end of mid-days and early October, the mainstream price of China’s PVC paste resin market was 17,000-18,000 yuan / ton.

In late October, the price fell significantly: in the middle of October, affected by the continuous deep decline of PVC futures, the market mentality of PVC paste resin has changed, and affected by the continuous decline of PVC powder prices, the price of raw material calcium carbide began to appear loose, and the negative impact on PVC paste resin has gradually appeared.Some of the National Day low-price goods have been flexible shipments, the market price is falling all the way down, by the end of October, the mainstream market price of China’s PVC paste resin market material fell to 12,500-16,000 yuan / ton.