Polyvinyl chloride (PVC) suspension grade prices softened across the West Coast of South America this week, tracking the ongoing softness in the U.S. export market, while values in Brazil remained largely unchanged. Market participants told that regional buyers are watching U.S. pricing trends closely, as ample supply and uncertain demand from the primary supplier continue to set the tone for trade across Latin America.
Sources noted that opinions differ over the exact trajectory of U.S. prices. Some traders cited persistent weak demand and plentiful inventories as reasons for a gradual decline, while others pointed to localized restocking efforts and restricted spot availability that have lent limited support in certain pockets. This conflicting outlook has left buyers in West Coast South America reluctant to commit to significant purchases, adopting a wait-and-see approach until a clearer picture emerges.
Competitive offers from alternative suppliers such as Egypt and South Korea have further complicated market dynamics. Traders observed that these lower-priced options are influencing negotiations and keeping regional prices tethered to global competition. As a result, CFR West Coast South America PVC suspension prices slipped by USD 20 from last week to a range of USD 640–660 per metric ton by Friday.
In Brazil, sentiment was more stable. CFR Brazil PVC suspension prices held steady at USD 890–940 per metric ton, as buyers carefully evaluated offers from different suppliers. Despite subdued demand and minimal purchasing activity, Brazilian importers remained selective, with some expressing a preference for competitively priced Egyptian cargoes while continuing to avoid offers from Europe. Existing antidumping tariffs on U.S. and Chinese PVC have kept those sources largely out of the Brazilian market, leading some buyers to pursue longer-term arrangements with South Korean producers. One buyer disclosed a four-month supply agreement with a South Korean seller, though final pricing for the current month had not yet been confirmed.
The overall market backdrop remains characterized by ample supply and cautious demand, leaving regional pricing highly sensitive to shifts in U.S. fundamentals and international trade flows. Reflecting the downward pressure, FAS Houston PVC export prices in the U.S. fell slightly to USD 565–575 per metric ton, a decrease of USD 10 from the previous week.
Industry observers say that unless there is a meaningful change in U.S. demand or a disruption in global trade routes, Latin American PVC prices are likely to continue shadowing U.S. trends, with competitive import offers from alternative origins maintaining additional pressure.
