Analysis of the reasons for the latest price fluctuations of PVC pallets

News Information
24 Feb.2022

PVC pallets are widely used in the construction, furniture, carving and other industries, but the price of PVC pallets has been fluctuating over the years. The price fluctuation of any kind of product is ultimately determined by its supply and demand link, PVC pallets are also the same. If you want to grasp the pulse of the price fluctuations of PVC pallets, you have to understand the elements that affect the price of PVC pallets.

PVC pallets are environmentally and recyclable products, also a good substitute for wood, and have advantages that wood does not have, such as moisture resistance, insect resistance, acid and alkali resistance.

And the main raw material of PVC pallets is PVC resin (polyvinyl chloride), so in addition to the raw materials of PVC pallets and the supply and demand affect the market price, the primary reason affecting the PVC pallets is the price fluctuations of the PVC production process.

The main production processes of PVC are calcium carbide process and ethylene process.

PVC pallet 2

1.Calcium carbide PVC should consider coal, coke, electricity

China's industrial electricity is still dominated by thermal power generation, and coke also comes primarily from coal, so the prices of the three are simply bound, with power costs accounting for more than 50% of output costs. Therefore, the price fluctuations of coal, coke, electricity and other power will directly affect the market price of PVC.

2. Ethylene-based PVC should consider crude oil, ethylene, vinyl chloride (VCM), dichloroethane (EDC)

From a worldwide perspective, the production of PVC is still dominated by the ethylene method. Price fluctuations of crude oil, ethylene and imported vinyl chloride (VCM) and dichloroethane (EDC) will also directly affect the price trend of PVC.Energy conservation and emission reduction have been the top priority of our government, and the PVC industry is a typical high-energy industry. Recent domestic power tensions, and the early arrival of the peak of electricity, is bound to affect domestic PVC prices, ethylene, one of the important supplier countries Japan previously suffered heavy losses in the earthquake, affecting the world PVC prices rise, the recent epidemic affects import and export trade brought about by the impact of short-term recovery is difficult.

Thus PVC to plate by the rising influence of PVC quality materials, the recent price increases will be the inevitable trend.