MOSCOW (MRC) - Calculated consumption of suspension polyvinyl chloride (SPVC) in Russia decreased by 8% in the first nine months of 2014.
Demand for PVC has declined in all sectors of consumption, according to a survey MRC ScanPlast.
Russia's supplies of PVC foe the first time in this year exceeded 100,000 tonnes in September, on the back of the increase in production and imports. Total calculated consumption (production + imports - exports) decreased to 691,700 tonnes in January - September this year, compared with 754,500 tonnes year on year. Demand for PVC declined by 5-10% depending on the consumption sector.
Russian producers managed to increase PVC output over the reported period to 457,300 tonnes, up 3% year on year. Increase in production figures showed Bashkir Soda Company (due to capacity expansion) and Kaustik (Volgograd), as well as RusVinil, which launched PVC production in mid-September.
Russia's PVC imports has decreased to 236,600 tonnes in the first nine months of the year, down 24% year because of a weaker demand from converters and rouble devaluation. PVC supplies from Europe and the United States have significantly decreased, while Chinese producers managed to increase their PVC shipments in Russia. PVC imports in Russia is expected to go down further this year as well as next year on the launch of RusVinil and expectations of further decline in demand for finished products made of PVC.
PVC export from Russia was practically absent because of a lack of capacities; PVC exports from Russia were less than 3,000 tonnes in the first nine months of the year, which made about 1% from the total PVC production in the country over the reported period. Demand for suspension PVC declined in all sectors of consumption.
According to official data of Rosstat, the production of plastic windows and window sills in the nine months of the year decreased to about 187.7 mln sq. m, down 7% year on year. A similar situation was seen in the markets of PVC pipes and plastic compounds, there was also a reduction in demand for finished products made from 5% to 10%.
MRC