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Russian profile extrusion sector to recover in 2011

July 22/2010

MOSCOW (MRC) -- PVC consumption in the profile extrusion sector totaled to 543,5 kt in 2009, which was 23% less comparing with the previous year - according to "PVC in Russia - 2010" MRC Annual report.

Russian profile extrusion sector to recover in 2011


The structure of domestic supply changed last year. Sayanskhimplast (+6%), Sterlitamak-based Kaustik (+1%) and Plastkard (+2%) increased supplies to the profile extrusion sector.


At the same time, foreign PVC producers (Xinjiang Tianye, Xinjiang Zhongtai, LG Chem, Formosa and Ineos ChlorVinyls) cut down their supplies by 30-35%. In 2010, Chinese and US feedstock has been dominating Russian imports.


Analysts say that the recovery of the pre-crisis growth rates is expected not earlier than in the second half of 2011, or even in 2012. New Law "On Energy Saving and Increase of Energy Effectiveness" is going to be a good stimulus for the recovery.


In 2009, profile producers continued to invest in modernization of their production capacities. According to MRC assessments, 127 complete lines with total capacity of 114.000 tpa were installed in the market.


More detailed analysis of PVC processing capacities and PVC consumption by sectors, markets and types of finished goods by each converter is available in "PVC in Russia - 2010" MRC Annual report.

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