Global Vinyl Market Snapshot

Polyvinyl chloride (PVC) is one the most versatile thermoplastic and used in various applications. PVC is produced via the polymerisation of vinyl chloride monomer (VCM) and VCM is typically produced from ethylene dichloride (EDC). In China, large domestic coal reserves and competitively priced electrical power have led to the development of an alternative acetylene-based route to VCM. The PVC market is dominated by suspension PVC which is primarily used in the construction market with the major demand from pipe and conduit, window profile, siding, and wire and cable; a smaller volume is consumed in film and sheet. Whereas emulsion PVC addressed a smaller market of less than ten percent of total PVC market. Emulsion PVC is used in several industries including consumer products, automotive and construction such as in artificial leather, tarpaulins, flooring, wall covering, automotive underbody coating.

PVC End-Use Demand 2024-e

PVC End-Use Demand 2024-e

Global demand has recovered, mainly due to high growth in India and Southeast Asian countries. In the forecast, overall demand growth is expected to be lower than GDP due to maturity of applications and the trend to reduce plastic consumption (which mainly affects film and sheet applications). 

The re-structuring of the Chinese construction industry as well as lower economic growth than expectations has limited growth.  The stimulus package is not yet to be seen in short term forecast. Whereas India market has experienced a significant growth.  India had unprecedented increase of imports, with growth of almost 70% in 2023, this was due to government stimulation on agriculture, infrastructure, and construction activities.  South-East Asian market has been showing robust demand growth, driven by construction and infrastructure development, notably in countries like Indonesia and Vietnam.

North American PVC demand has increased, driven by recovery in the construction sectors of the United States and Mexico. In Europe, inflationary pressures have continued into 2025 leading to discourage new construction and refurbishment.

In the forecast, overall demand growth will be lower than GDP.  Markets in Asia are expected to be key demand growth driver globally for PVC.  However, high demand growth shifted to Southeast Asia, and India, which is propelled by government investments, a burgeoning population, and ongoing urbanization trends. 

The advantaged ethylene cost base in North America has resulted in major capacity developments supplying North American export markets.  The Middle East is similarly advantaged by low gas and power prices, but developments in PVC capacity still lag behind those  for EDC and VCM.  Capacity development in China had proceeded due to substantial demand growth with increasing in PVC from ethylene route.  The development of coal-based vinyl complexes has slowed in recent years, due to lower competitiveness from the decline in oil prices, more stringent environmental control.

India is expected to be leader of PVC capacity expansions. Many companies such as Reliance, and Adani are planning to build a world scale PVC plant to serve high demand growth. The country’s PVC consumption per capita remains lower than the global average.  In the other hands, an expected capacity development and Indian import duties could pose a challenge on international exporters who regularly supply to India.

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Market Analytic Vinyls – 2024 provides analysis of supply and demand of the global vinyls market including polyvinyl chloride (PVC), vinyl chloride monomer (VCM) and ethylene dichloride (EDC) with forecasts to 2050.  The report includes supply and demand analysis of 40 countries, with global capacity listings.