PVC Market Strains Under Oversupply as Asian Imports Surge

Key Highlights

• PVC SG5 prices fell from ₹70,250 to ₹62,500 in mid-November
• European spot PVC at €810/MT, down €5/MT week-on-week
• Asian PVC exports to Europe surged amid weak global demand
• Anti-dumping cases filed, but relief may be too slow for producers

Sharp Price Swings Mark Volatile PVC SG5 Market in November

• PVC SG5 prices showed strong volatility over the past month, fluctuating between a high of ₹70,250 and a low of ₹62,500. Prices opened near ₹67,000 in late October but quickly softened to around ₹65,000 before rebounding sharply and touching the monthly peak of ₹70,250 on 1st November. 
• This uptrend was short-lived as prices gradually corrected to nearly ₹66,000, followed by a brief recovery towards ₹69,000 around 10th November. 
• However, the market turned decisively bearish in mid-November, with SG5 prices falling steeply to their lowest point of ₹62,500, reflecting weak demand, ample supply pressure and downward trend in the domestic PVC market.
• Market reports indicate PVC appears to be bottoming out along with PE, PP, and PS.

International Latest price assessment:

1. FD Northwest Europe PVC Spot: €810/MT (Nov 12)
2. Down by €5/MT week-on-week.

Analysts indicate current pricing reflects a buyer’s market due to oversupply and weak demand.

Demand & Supply: Asian Exports Intensify Pressure on Europe’s Weak PVC Market

• The European PVC market is struggling with a clear oversupply, which remains the dominant challenge as of November 2025. 
• Market conditions are marked by weak demand, abundant supply, and no signs of recovery before the year-end. 
• A major contributor to this imbalance has been the sharp increase in PVC imports from Asia, with South Korea exporting 17,588 MT in July, China 6,987 MT in August, and Taiwan 7,163 MT in the same month. 
• Asian producers have been actively pushing volumes into Europe due to sluggish domestic demand, stronger export netbacks, and attractive freight economics. 
• At the same time, imports from the US and Egypt have eased significantly after the EU imposed steep anti-dumping duties, rendering them uncompetitive.

Market News: Anti-Dumping Filings Offer Limited Short-Term Market Relief

Anti-Dumping Developments

1. Ineos has filed or is filing anti-dumping cases with the European Commission for multiple products including PVC. 
2. European producers welcome the petitions but are concerned investigation timelines may be too slow to protect them.

European Producer Updates

1. Vynova has shut its 225,000 MT/year PVC plant in Beek, Netherlands, on Nov 8, citing margin pressure.
2. European producers report: Low margins, High sustainability/energy costs, Ongoing capacity rationalizations

Market Behavior and Outlook

European consumers increasingly prefer cheaper Asian PVC imports due to:

1. Weak construction sector
2. Competitively priced goods from Asia

Traders suggest:

1. Taiwan may remain a supply route even if ADDs are applied
2. Thailand & Qatar could emerge as alternatives when capacities ramp up

Asian Market Response

Asian producers/traders worried about ADD impact, but some believe: Effect may remain limited since EU-bound volumes are small relative to total production.

Market Expectations

The European PVC market is expected to remain under pressure, with low demand, high supply, and a generally soft price sentiment, leaving little room for recovery before the year-end. As the industry moves into 2026 contract negotiations, the outlook continues to reflect a buyer’s market, driven by a persistent imbalance between supply and demand. 

Analysts do not foresee any significant price increases until market fundamentals tighten meaningfully. Meanwhile, stakeholders are closely watching the possibility of EU anti-dumping investigations on Asian-origin PVC, though the outcome, timing, and overall impact remain uncertain.