Japan's PVC production decreases 7.1% in August

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 Japan, Mori said.

 “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.

In August, Japan’s automobile production increased by 20% from the same time the previous year, Mori added.

“If this trend [for automobiles] continues, we expect [the automotive] industry to increase the use [of PVC in cars],” he said.

Japan’s domestic shipments of PVC fell by 13% month on month to 71,483 tonnes in August and increased by 4.2% year on year, based on the VEC data.

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.

By: Tomomi Yokomura
+65 6780 4359

AddThis Social Bookmark Button

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly