Insight
Signs of stress or just moving on? Announcements by chlor-vinyls players beg the question.
Report summary
Prices for PVC and caustic soda, the key outputs of the chlor-vinyls chain, are approaching multi-year lows. Global producer margins are being squeezed in a lackluster demand environment. Even though North American producers have among the lowest cash costs to produce these basic commodities, recent announcements include the intent to close capacity and shed exposure to the vinyls segment. Here, we take a closer look at announcements by Olin, PolyOne and Orbia and what may be driving their decisions.
Table of contents
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Three recent announcements seem to indicate that low prices are taking a toll on players throughout the chlor-vinyls chain. But a deeper look suggests the motivation for each announcement is unique.
- Prices for PVC and caustic soda, the key outputs of the chlor-vinyls chain, are approaching multi-year lows. Global producer margins are being squeezed in a lackluster demand environment. North American producers have among the lowest cash costs to produce these basic commodities, but recent announcements include intent to close capacity and shed exposure to the vinyls segment. Here, we take a closer look at announcements by Olin, PolyOne and Orbia (formerly Mexichem).
- Olin
- PolyOne
- Orbia (Mexichem)
- Summary
Tables and charts
This report includes 4 images and tables including:
- Olin (OLN) stock price vs. caustic soda price
- ECU cash cost (membrane)
- 2019 ethylene production cash costs
- USGC Vinyl Chain Prices
What's included
This report contains:
