Asia - Weekly PVC Market Wrap - 28 August 2026

In the latest developments across Asian PVC markets, buyers are pushing back against price hikes driven by rising feedstock costs. The market is currently experiencing upward pressure as suppliers attempt to pass on the increased costs of ethylene, which has surged by 32% since its low in June. This is compounded by logistical challenges, including freight bottlenecks and the seasonal impact of the Indian monsoon, which are creating uncertainty around September demand and pricing.

In India, PVC prices have decreased by USD 20–40/mt, with Taiwanese suppliers cutting December offers by USD 40/mt. Despite these reductions, domestic producers are offering price protection to mitigate market volatility. The Indian market is also grappling with oversupply and weak demand, further exacerbated by a depreciating rupee.

The disruption in the Strait of Hormuz has significantly impacted the supply chain, affecting naphtha availability for Asian steam crackers. This has led to ethylene shortages, driving up costs for PVC production. As a result, ethylene-based PVC prices saw a sharp increase to $1,035/tonne FOB China in late March, before correcting to around $740/tonne by early June. Despite this correction, current prices remain above pre-disruption levels, reflecting ongoing market tightness and volatility.

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