Polyvinyl Chloride (PVC) Global Supply Dynamics to 2020 - China Emerges as the Leader in Global Production

11 Jan 2011 • by Natalie Aster

GBI Research, a leading business intelligence provider, has released its latest research, “Polyvinyl Chloride (PVC) Supply Dynamics to 2020 - China Emerges as the Leader in Global Production”. The report provides a detailed insight into the global Polyvinyl Chloride (PVC) industry. The research presents detailed analysis and forecasts of the major economic and supply trends affecting the PVC industry in major regions of the world. The report contains capacity and production forecasts, drivers and restraint, capacity share analysis by feedstock, production process and technology; and a capacity share analysis of the major producers in the geographical regions of the world. In addition, it includes capacity and production forecasts, feedstock price forecast and company share analysis in major countries of the world. Overall, the report presents a comprehensive analysis of the global PVC industry covering all the major parameters. The report is built using data and information sourced from proprietary databases, primary and secondary research and in-house analysis by GBI Research’s team of industry experts.

The global installed capacity for PVC production is currently 47.5 million tons per year. It is expected to grow to 59.1 million tons per year in 2020. The PVC production in world has grown from 24.7 million tons in 2000 to 32.3 million tons in 2009. It is expected to reach around 55.2 million tons in 2020.

Natural gas is the major feedstock used for the production of PVC followed by Naphtha. Coal based derivatives are a newly emerging feedstock for PVC production. The suspension polymerization technique is the most widely used production process to produce PVC and accounts for more than 78% of the PVC produced in the world. The other important production processes are microsuspension polymerization, emulsion polymerization and mass polymerization.

The most widely used technology for PVC production are Vinnolit and Solvay. Oxy Vinyls, Formosa and Supcon Automation are the next major technologies used for PVC production.

The Asia-Pacific region accounts for around 54.8% of the global installed PVC capacity. The capacity and production of PVC has grown very rapidly in China in the past decade. The export market of China for PVC has also grown very rapidly. The country has emerged as the largest producer and exporter of PVC in the world. Europe has the second largest PVC capacity in the world and North America stands third. The PVC capacity in Europe and North America is expected to be almost stagnant in the coming years.

The company with leading PVC capacity on the world is Shin-Etsu Chemical Company. Formosa Plastics Group has the second largest PVC capacity share in the world. Georgia Gulf Corporation, Westlake Chemical Corporation and Solvay SA are the next major PVC producers in the world.