19 September 2012 10:09 [Source: ICIS news]
TOKYO (ICIS)--Japan’s production of polyvinyl chloride (PVC) declined by 7.1% to 104,179 tonnes in August from the previous month, official data from the Vinyl Environmental Council (VEC) showed on Wednesday.
“In August, [plastic] processing factories take [summer] holidays, so there is this tendency [that PVC production declines],” Shunzo Mori, the VEC chairman, said in Japanese at a press conference.
August production was a 17% decrease the same period a year earlier, according to the VEC.
Last year, the PVC factories’ operating rates were low in August because most chemical companies took vacation on the back of the restriction of the use of electricity after the 11 March earthquake in ?xml:namespace>
“This year, companies were not forced [by the government] to reduce the use of electricity, so we expected operating rates to be higher, but some companies voluntarily reduced use by taking holidays [in August]. That’s probably why production decreased,” Mori said.
PVC production in the coming months is expected to increase to make up for the lower production during the summer, Mori said.
“The reason for that is the housing and automotive sectors are in an upward trend,” Mori said.
“If this trend [for automobiles] continues, we expect [the automotive] industry to increase the use [of PVC in cars],” he said.
Exports of PVC increased by 32% to 26,935 tonnes from the previous month and decreased by 44% from the same period a year ago, according to VEC.
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