Taiwanese major closed PVC orders to India, diverted attention to China

After implementing $60/ton reduction month-on-month to India last week, a major Taiwanese producer decided to close all orders by Friday, 21 September 2018 at $940-950/ton CIF India, LC AS term while putting heavier focus on China market.

Couple of distributor in India have requested for additional quantity, however, the maker was unable to fulfill the inquiries. “We were informed that there is no more available quantity due to excellent sales result in China market,” a distributor said.

In fact, Chinese buyers become very active after the Taiwanese maker conceded to $90-100/ton reduction for October shipment to conclude deals at $860-870/ton CFR China, LC AS term. Market estimated that about 30,000 tons from the producer have been sold in China since the new price announcement. 

“We have to look for alternative materials. The escalated trade war caused a huge drop in interest for USA cargoes. Besides, we would like to wrap up all deals before the National Day holiday,” a Chinese buyer informed.  

Demand for imports in India remains sluggish this week, especially after a local producer announced price protection schemes, sources said. A number of other overseas suppliers have also expressed the intention to put more focus on China market due to the inability to deplete allocation in India.