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PVC oversupply causes price decrease in the Russian market

July 13/2010
MOSCOW (MRC) -- Overestimated demand and record PVC imports have led to competition strengthening in the Russian market and, as a result, to price decrease Ц according to MRC Price reports.
PVC oversupply causes price decrease in the Russian market


By June results, total PVC-S imports into the Russian market have exceeded 35 kt. It is a record since May Ц June 2008 in conditions of supply terms delays of quite big resin volumes from China. PVC from North America is actively supplied into the Russian market this year. American resin has taken about 27% of total Russian imports, while pressing Russian producers in window profile and windowsill production sectors.


Serious PVC imports have led to oversupply in the Russian market last two months. The competition between resin suppliers has strengthened, which led to dominative position of buyers in the market. Single producers had to decrease prices. Last week PVC price offers went down by average RUB 500/mt in the spot market and were fixed in the range of RUB 46.000 Ц 48.000/mt, including VAT, FCA.


For more information about PVC market in Russia is available in MRC Price reports.

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