U.S. PVC exports fell 23.7% year-on-year from January to October

According to data released by the U.
S.
International Trade Commission on December 8, U.
S.
PVC exports in the first 10 months of 2021 fell by 23.
7% from a year earlier
.

U.
S.
PVC shipments stood at 1.
6 million tonnes from January to October, down from 2.
1 million tonnes in the same period in 2020, the data showed
.

U.
S.
PVC exports fell in 2021 due to strong domestic demand and tight supply, mainly due to weather-related shutdowns, in addition to maintenance and operational issues
.
This pull in U.
S.
domestic demand has led to a reduction in the overall supply of PVC, reducing typical outflows
.

Canada remains the largest export market for U.
S.
PVC, exporting a total of 470,689 tonnes in the first ten months of 2021, an increase of nearly 26% compared to 374,004 tonnes in the same period a year earlier
.

However, exports to China fell sharply to 197.
37 million tonnes in the first October of 2021, compared to 2,218.
6 million tonnes at the same time in 2020
.
Market sources believe the slump is due to a largely shut-down of arbitrage throughout Asia in 2021
.
Prices in Asia have been lower than in the U.
S.
all year as shipping rates in the region hit record highs
.

Mexico was the second-largest destination for U.
S.
PVC exports in the January-October 2021 period, totaling 228,928 tonnes, or 14% of all exports
.

Egypt imposes anti-dumping duties on US PVC

Egypt was the third-largest export market with a total of 86,393 tonnes, accounting for 5.
3% of total exports, ITC data showed
.

The Egyptian Ministry of Trade and Industry announced on December 6 that it will impose a new anti-dumping duty of 9% on the CIF (including cost, insurance and freight) of PVC imports originating in the United States
.

The announcement said the tariffs would be levied for five years
.

Ibrahim al-Seginy, assistant secretary of the Ministry of Economic Affairs and head of the ministry's trade remedy unit, said in a statement that the move was made after receiving a recommendation from an advisory committee investigating Egyptian manufacturers over U.
S.
PVC imports.
Claims that harm domestic industry
.

A U.
S.
market source said: "I think the Egyptian government is killing the chicken and taking the egg
.
"

U.
S.
PVC export prices rose 42% from $1,450/t FAS Houston in December 2020 when Egypt’s anti-dumping duty investigation began to $2,065/t FAS in November 2021
.

But prices have retreated from record highs
.
On December 1 last year, US export PVC was valued at $2,005/ton, down nearly 3% from the previous week
.

U.
S.
market sources expect PVC supplies to remain tight in the first quarter of 2022 amid the upcoming overhaul period
.
Producers are also not fully restoring inventories, as domestic and export demand remains strong throughout 2021 amid weather- and operations-related production disruptions
.