PVC prices in Europe during November were fixed either at a rollover or slightly down – by around €5/t. Especially at the upper end of the price range, buyers were sometimes able to win discounts equivalent to the proportionate monomer price reduction. This was not possible across the whole market due mainly to rather tight supply. The ethylene reference for December dropped by a massive €110/t ($124). Converters should be able to win double-digit price cuts for standard PVC without any problem.

In view of the lower stock levels, the question is whether they can win the entire proportionate €55/t ($62) cost reduction. According to producers’ data, stocks are currently equal to only 11 times the daily production output and are thus as low as they were in October 2015. Even though some plants have started up again, production problems in Germany continued again in December because of the low water levels of the River Rhine.