PVC
Market, Supplier, Risk and
Competitive Intelligence

Industry Outlook & Drivers

Global Market Outlook on PVC

• Global PVC market share is expected to expand at 3.1 percent CAGR during 2020–2024.
• The construction and electrical and electronics industries will remain key end-users.
• Application in the consumer segment will grow moderately.
• PVC demand in medical applications will see a further fall in Western Europe and North America due to safety concerns.

Supply - Demand Trends and Outlook

• The demand for PVC is driven by many downstream applications such as synthetic polymers, polymers, chemicals, engineered resins, thermoplastics, standard thermoplastic, PVC plastic, and PVC compound.
• PVC is largely used in pipes and irrigation, insulation and wires, construction and infrastructure as well as automobile parts.
• The downstream industry growth and demand drive the demand and prices of PVC.
• PVC is durable and lightweight, immune to rotting, weathering, chemical abrasion and corrosion, and flexible. It is easy to use as it can be shaped and welded in any form. Such characteristics make PVC a perfect fit for several applications such as windows, pipes, roofing, and flooring.
• PVC pipes have been commonplace in building and construction activities for over six decades as they provide help in energy saving during manufacturing, cost-effective distribution, and maintenance-free service life. These pipes find immense use in pipeline systems for waste, water, and drainage as they are resistant to scaling, build-up, pitting, or corrosion and offer smooth surfaces, thus curbing energy usage during pumping.
• Further, PVC flooring offers umpteen benefits such as ease to install and clean, durability, recyclability, and freedom of aesthetic effects.  
• This section of the report lists the drivers and constraints that govern the PVC market trends as well as the description of each.
• The report illustrates the market outlook as well as the facts and figures that they are based on.

Industry Outlook

• This section of the PVC industry trends assessment first provides the global as well as regional perspective for different regions such as the US, Europe, and Asia.
• The market maturity and market size of each of the regional PVC markets have been discussed. For importing regions, the major countries that they import from as well as the share of the imports have been detailed. Similarly, exporting countries’ chief export destinations, as well as the export share, have been explained.

Industry Updates

• The most significant changes and innovations in the chemicals and PVC market have been listed here.
• Any innovations or significant changes impacting the PVC market trends are also listed here.

PVC Supplier Analysis

This section of the PVC market analysis discusses the suppliers at the global level as well as their capacity share, capacity addition, and the profiles of the leading suppliers worldwide. Moreover, it analyzes the capacity of suppliers on a regional basis.

Industry Best Practice

Engagement Models

• Direct buying is the preferred engagement model in the industry.
• CPG companies outsource their packaging requirements to their converters, as it helps them focus on their core business.
• Consortium buying is not a common practice for CPG players in the resin market.
• Opportunities to tie up with major downstream segments such as construction could be utilized to benefit from discounts for better volume.

Contract Models

• Market price contract: The supplier supplies the commodity at market price or benchmark price.
• Fixed contract: The margin of the supplier is fixed throughout the contract period or fixed price is locked for the contract period.
• Contract revisions: Quarterly contracts are generally preferred in this industry.

Global Market Size: PVC

• The global PVC market is projected to grow at 4.7% CAGR to reach around $46.6 Bn by 2022.
• The major growth drivers include applications in construction, electrical and electronics, and automobiles.
• Growth in consumer goods applications is anticipated to remain modest during this period.
• The global PVC market size was estimated at over $35.3 Bn in 2016, with Asia driving the overall demand.
• Applications in the electrical and electronics segment in Asia are anticipated to favor high growth rates.
• Growth in construction and automobile industries in developing regions such as Asia and the Middle-East will augur well for market growth.

 Market Overview

• Currently, North American ethane-based PVC is the cheapest, followed by naphtha-based PVC in Europe and carbide-based PVC in China. Naphtha-based PVC may not remain competitive than carbide-based at increased crude levels. Carbide-based PVC prices may increase due to the supply shortage in China.
• The increase from feedstock ethylene prices supported an increase in PVC market price in the U.S. amidst a soft regional demand, balanced supply and cautious buying sentiments.
• According to PVC price trends, PVC market price decreased marginally by 3.4% in Europe.
• PVC prices witnessed a decline of 1% during August due to increments from the upstream market, ongoing and upcoming turnarounds across South East Asia.
• Three out of the top five suppliers are in North America, though Asia holds the majority of the global PVC capacity.
• China houses the largest electronics manufacturing base and offers fierce competition to the existing upstream manufacturers - Singapore, South Korea, and Taiwan. Electronic products including OLED TVs, smartphones, and tablets,  saw the highest growth in the regional consumer electronics industry.

Why You Should Buy This Report

• The market report provides insights and analysis about the global and regional PVC market size, supply-demand trends, market trends, trade dynamics, import-export, and market forecast.
• The global market outlook section presents the overall global market as well as scrutinizes the supply and demand outlook separately. This is useful as the dynamics and the geographies of the major importers and exporters are different. The market details are also studied regionally. 
• The research study offers Porter’s five forces analysis of Asia, Europe, and North America and lists out the major industry drivers and constraints.
• It provides a comprehensive view of the cost structure, pricing analysis, and price trends.
• Further, the study has discussed the supplier landscape and the SWOT analysis of major players such as Westlake Chemical, Formosa Plastics Corp., and Sinopec, among others.