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    Home > Chemicals Industry > Rubber Plastic News > PVC: The downstream enterprises have resumed work one after another and the work load is relatively low

    PVC: The downstream enterprises have resumed work one after another and the work load is relatively low

    • Last Update: 2022-08-22
    • Source: Internet
    • Author: User
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    [Introduction] The speed of resumption of work by enterprises in various places has gradually accelerated.
    Most of the downstream PVC products enterprises have resumed work, but due to the problem of labor and terminal demand, the current load is relatively low


    .


    [Introduction] The speed of resumption of work by enterprises in various places has gradually accelerated.


    On February 23, the general secretary clearly pointed out in his speech at the conference on coordinating the promotion of the new crown epidemic prevention and control and economic and social development work deployment work on the economic and social development work: it is necessary to implement the precise resumption of work and production at different levels
    .


    On February 23, the general secretary clearly pointed out in his speech at the conference on coordinating the promotion of the new crown epidemic prevention and control and economic and social development work deployment work on the economic and social development work: it is necessary to implement the precise resumption of work and production at different levels
    .
    To promote the resumption of work and production of enterprises, it is necessary to implement the strategy of precise prevention and control by zoning and grading, open up the flow of people and logistics, and release the restrictions on freight logistics to ensure that employees can come back, raw materials can be supplied, and products can go out
    .
    The industrial chain is interlinked, and one link is blocked, and upstream and downstream enterprises cannot operate

    .
    It is necessary to strengthen the connection between upstream and downstream production and sales between regions, and promote the coordinated resumption of work and production in all links of the industrial chain

    .
    It is necessary to actively expand domestic effective demand, speed up the construction progress of projects under construction and newly started construction, strengthen the guarantee of labor, land, capital and other factors, make good use of investment in the central budget, special bond funds and policy finance, and optimize the investment structure

    .
    Local governments have also responded positively and introduced effective measures to vigorously promote the resumption of work and production of enterprises in various regions, and all walks of life have begun to resume work one after another
    .
    From the perspective of PVC downstream products companies, companies in various regions have gradually resumed work since last week, and most companies have completed their resumption of work this week
    .
    However, the overall operating load of the downstream is still low

    .
    Through research, some large downstream enterprises in East China currently maintain a relatively high operating load at about 40%, but most downstream enterprises are operating at 2-30%

    .
    The overall start of downstream construction is still hovering at a low level.
    Some traders said that the sold orders are still in the warehouse, and the overall warehouse outbound volume is also low

    .
      The main problems restricting the start-up of downstream product enterprises mainly include the following three points:
      First, the resumption of work downstream of the final terminal is relatively slow
    .
    At present, some terminal construction sites and building materials markets have not resumed work.
    For construction sites, preparations for the early stage of resumption of work will take a certain amount of time

    .
    Therefore, in the case of a slightly slower resumption of work downstream at the final terminal, downstream product companies start low-load production and prepare some finished product inventories;
      Second, there is a shortage of workers in downstream resumption enterprises
    .
    Although the downstream is gradually resuming work and employees are returning one after another, some employees still face isolation measures, and some employees have not yet returned.
    A large downstream enterprise in East China responded that the current employees are only 40-50% of the previous ones, and some companies are on the job.
    lower rate

    .
      Third, the product accessories are insufficient
    .
    Some downstream companies in East China said that logistics and transportation are gradually recovering, the supply of the main raw material PVC is guaranteed, and some auxiliaries can also be purchased from nearby areas for the time being.

    .
      The above three points are basically the main reasons for restricting the start-up of downstream product enterprises.
    Regarding the progress of downstream start-up improvement in the later stage, it is also necessary to pay attention to the arrival of workers and the recovery of terminal demand

    .
    Some downstream companies expressed optimism that the terminal construction site will gradually recover in mid-March, and the worker arrival rate will increase significantly around mid-March

    .
    Therefore, it is optimistic that the start of downstream products will return to a neutral level at least until mid-March

    .
    For some large factories, the start of construction in March of last year has basically risen to a relatively high level

    .
      Although the overall start-up of downstream products companies is still at a low level, after the holiday, I heard that there will be replenishment operations on dips one after another, but the volume is not large.
    It is basically to prepare for the resumption of work, mainly because the downstream inventory level before the holiday is low

    .
    In addition, there are also forward replenishment downstream, mainly from March to May, so it may overdraw part of the later demand

    .
    However, most of the large-scale downstream product enterprises have a certain amount of inventory before the festival, and they choose to wait and see after the festival, and the purchasing activity is not high

    .
      Therefore, the resumption of downstream work is a good start for demand recovery, but it will take time for the start-up load to increase.
    Later, with the gradual resumption of work at terminal construction sites and workers, the demand may increase faster

    .
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