Introduction about PVC Capacity in China and Globally

According to the statistics in 2020, the global total PVC production capacity reached 62 million tons and the total output reached 54 million tons. All the reduction in output means that the production capacity did not run 100%. Because of natural disasters, local policies and other factors, the output must be less than the production capacity. Due to the high production cost of PVC in Europe and Japan, the global PVC production capacity is mainly concentrated in Northeast Asia, of which China has about half of the global PVC production capacity.

According to wind data, in 2020, China, the United States and Japan are important PVC production areas in the world, with production capacity accounting for 42%, 12% and 4% respectively. In 2020, the top three enterprises in the global PVC annual production capacity were Westlake, shintech and FPC. In 2020, the PVC annual production capacity was 3.44 million tons, 3.24 million tons and 3.299 million tons respectively. Secondly, enterprises with a production capacity of more than 2 million tons also include inovyn. China’s total production capacity is another 25 million tons, with an output of 21 million tons in 2020. There are more than 70 PVC manufacturers in China, 80% of which are calcium carbide method and 20% are ethylene method.

Most of the calcium carbide method are concentrated in places rich in coal resources such as Inner Mongolia and Xinjiang. The plant site of ethylene process is located in coastal areas because the raw material VCM or ethylene needs to be imported. China’s production capacity accounts for almost half of the world, and with the continuous expansion of China’s upstream industrial chain, the PVC production capacity of ethylene method will continue to increase, and China will continue to erode the international PVC share.