Colombia’s April PVC domestic prices decline, tracking Asia

03 April 2014 23:36 Source:ICIS News

HOUSTON (ICIS)--April polyvinyl chloride (PVC) prices in Colombia’s domestic market were down by $25-30/tonne from March, tracking the trend in Asia, sources said on Thursday.

For April, Colombia’s PVC domestic prices are assessed at $1,240/tonne DEL (delivered) for pipe-grade and at $1,260/tonne DEL for general purpose (GP), after the decreases.

Elsewhere in Latin America, April resin prices also declined in countries along the Pacific coast of South America, but were steady in Argentina, Brazil, Mexico and Venezuela. Sources in Latin America are expecting PVC prices to soften, if not in April, then in May.

Industry sources in Latin America are gauging the effect of Taiwan’s Formosa Plastics Corp (FPC) announcement of April PVC benchmark prices at a $40/tonne decline from March. Participants continue to monitor prices in Asia and the effect on local and regional markets, noting concern about price direction for May.

Market direction at the beginning of the second quarter reverses the firming trend in the first three months of 2014.

Resin availability in the Americas is increasing as maintenance at several US PVC production facilities is being completed and as Axiall has resumed production of upstream vinyl chloride monomer (VCM) at its plant in Lake Charles, Louisiana.

In Latin America, PVC demand is steady but moderate. However, business is projected to slow on approach to Easter, when industry participants usually take a one-week break.

PVC producers in Latin America are Braskem, Mexichem, Pequiven and Solvay.

 

By Ron Coifman