PVC has limited space for short-term downside

Now that the weather is getting colder, the PVC market has entered the off-season, coupled with the under-employment of downstream product companies, and the intent of selling goods is not high, and the PVC market has been poorly traded. However, under the influence of raw materials and calcium carbide because of limited supply and low prices, the PVC market has a strong support on the cost side. It is expected that the trend of shock consolidation will continue to be maintained in the short term, and the downside is limited.

The tight supply of calcium carbide is the most powerful support for the PVC market. At present, China's PVC calcium carbide process accounts for about 70% of the total output, and these calcium carbide manufacturers are mostly concentrated in the "Eleventh Five-Year" energy-saving emission reduction targets completed areas of greater pressure, such as Shaanxi, Xinjiang, Ningxia, Qinghai provinces . In order to complete energy-saving and emission-reduction tasks, these regions have adopted measures such as restricting production and stopping production of high-energy-consuming industries such as calcium carbide, resulting in a significant decline in the production of calcium carbide. Although the production of calcium carbide in Shaanxi Shenmu and other regions gradually recovers, the production of calcium carbide in Shizuishan in Ningxia and other places is still limited, and the overall supply is tight. Poor transport also resulted in the unsatisfactory supply of calcium carbide and increased transportation costs. The price of refined oil has risen. The supply of diesel oil in Central China and Gansu has become tense, making calcium carbide vehicles unable to operate normally due to difficulty in refueling. There are many coal transport vehicles in the northwestern region, and calcium carbide vehicles are difficult to find; road traffic jams in some areas are serious, affecting the arrival of calcium carbide.

** The high prices are also positive for the PVC market. ** Although there are signs of weakness in the market, the price is still at a high level, and the downstream demand has not been adjusted. The chlor-alkali enterprises are underemployed and the manufacturer's shipping prices have remained stable. ** The main support point of the market is also the strong implementation of the national energy-saving emission reduction and power restriction policies. Recently, however, due to delays in the maintenance of some companies, the supply of goods has increased slightly, the supply of goods in the downstream has not been positive, and prices have fallen slightly; in the northern regions, the main downstream chlorine-consuming products, chlorinated paraffin and other raw materials of chloroacetic acid, are liquid waxes. The impact of glacial acetic acid on the upside has led to a significant increase in production pressure. In addition, in line with the national energy-saving and emission-reduction policy, the start-up load of some downstream installations will be compressed, making the northern local market stable and weak, and will play a positive role in the PVC market outlook. Weakened.

At present, PVC market conditions are in a turbulent situation, as the peak demand season is drawing to a close, especially as the weather in the northern regions has gradually cooled, the demand for PVC has been greatly reduced, and the demand in the south has also remained tepid and there has been no substantial change. Most pipe and profile enterprises began to purchase on-demand on an order basis, and the downstream product companies did not have much pressure on stocking, and their willingness to stockpile goods was not high, and they remained basically on the sidelines. Therefore, the PVC market is struggling in the game of cost and demand. The operating rate of the calcium carbide makers is maintained at around 60%, and some companies are in a state of production suspension. The market is often in a state of priceless market, and the upward momentum of the market outlook is insufficient.

Looking to the market outlook, although the supply of calcium carbide market is tight, but the upward trend is no longer strong and gradually stabilized. Once energy-saving production has eased, the price of calcium carbide will return to rationality. With no obvious new positive stimulus for PVC, the overall trend is not optimistic, or it will usher in a wave of shocks to the downside.

XPS Extruded Polystyrene

The full name of XPS (extruded polystyrene) is Extruded Polystyrene Foam Board.

It is a rigid foam board made of polystyrene resin as raw material plus other raw materials and polymers, heated and mixed while injecting the catalyst, and then extruded and molded. Its scientific name is Xps Extruded Polystyrene Foam Insulation Board (XPS for short). XPS has a perfect closed-cell honeycomb structure. This structure allows XPS boards to have extremely low water absorption (almost no water absorption), low thermal conductivity, high compression resistance, and aging resistance ( There is almost no aging decomposition phenomenon under normal use).

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