VCM

Robust selling offers across the region have strengthened VCM prices by ten dollars to US$800/MT in Asia in the week of February 4, 2008. Prices kept firm as downstream PVC market steadied at US$1040/MT levels on tight supply in the market of mainland China. Heavy snowfall in Eastern China has created an obstacle for scheduled delivery, increasing prices in the region by larger margins. Offers for February delivery by VCM producers in Northeast Asia at high level of US$850/MT CFR China is anticipated to be met with resistance from buyers in China, moderating prices almost thirty dollars lower.