The Poly Vinyl Chloride (PVC) prices in the global market exhibited mixed market sentiments for the H1 of September 2023 due to the varying demand pattern in these two weeks. The PVC market resilience on the upstream material cost, including crude oil and feedstock EDC prices, also pushed the PVC pricing in the varied downstream market responses among the regional buyers. Moreover, the scheduled maintenance turnaround at Chinese PVC-producing units, as one of the primary market players of PVC, has also impacted the pricing dynamics of the product significantly.

The US PVC prices witnessed stability in the week ending September 15, 2023, due to dwindling demand from the USA's downstream automotive and construction segments. A UAW (United Auto Workers) union's strike entered its Fourth Day, and the targeted strike affected North American production for the Three Major Automakers. As per the latest analysis, a UAW strike is further expected to slash the PVC demand from the Big Three automakers, The Ford, GM, and Stellantis plants. Moreover, the PVC demand from the construction industry has persistently fallen since the termination of August 2023, and as a ripple effect, pulled down the offtakes for PVC for the H1 of September 2023 as well in the USA. The current stagnancy in PVC prices is drawn by the limited supplies and rising upstream crude oil values in the week ending September 15, 2023.

The PVC price trajectory in China fluctuated in the first half of September 2023, backed by the feedstock Calcium Carbide prices and volatile downstream demand fundamentals. In the first week of September 2023, the PVC prices gained an upward momentum along with an improvement in the demand fundamentals from the construction industry and high feedstock Calcium Carbide costs. However, the downstream construction market sentiments have turned positive in China, and buying interests have improved following the property incentives, and it is anticipated to drive up the PVC prices in the second half of the month.

As per the ChemAnalyst, the PVC prices are expected to gain a northward movement along with the strong consumption in the downstream industries and limited stock availability in the global market. The scheduled maintenance turnaround at Wanhua Chemicals and Hengyang Jiantao in China, with a total PVC production capacity of 400,000 mt/year in September and 220,000 mt/year in the middle of October, respectively, may cause a shortage in the active availability of PVC to affect the price trend further in China. Additionally, US and European prices may surge due to constrained supplies to fulfill domestic offers.