Vinyls - Vinyls global monthly market overview January 2019

PVC producers in North America have shifted their price increase initiative to February, moving the timing but also the size of the price increase to 4 cents per pound in the domestic market. Lack of traction on any price increases has been the norm for recent months, even as caustic soda revenues have fallen. Rising ethylene feedstock costs in October have corrected, and our forecast is for muted ethylene movement through the next several months. As domestic demand normally wanes toward year-end and rebounds at the new year, producers continue to press for a margin-recovery price increase and an uptick in demand may be the market change needed to push their increase through.