Recent situation of PVC industry in Japan

Recent situation of Japan's PVC industry

faced with overcapacity of about 300000 tons/year and plant losses, Japanese PVC manufacturers have begun to carry out new industrial adjustments in addition to the differences affecting jaws. This adjustment is the first major adjustment of the Japanese industry since the mid-1990s. At that time, three joint ventures were established, namely, new first vinyl company (a joint venture between Sumitomo chemical, ruiweng company and Deshan Petrochemical Company), sun vinyl company (a joint venture between Dongcao, Mitsui chemical and electrochemical industry company) and v-tech technology company (a joint venture between Mitsubishi Chemical and East Asia Hecheng chemical industry company). At present, the manufacturers of PVC in Japan mainly include sun vinyl company (with a production capacity of 5740000 tons/year), shinyue chemical industry company (with a production capacity of 550000 tons/year), Zhonghua company (with a production capacity of 440000 tons/year), Tokushima company (with a production capacity of 115000 tons/year), Wuyu chemical industry company (with a production capacity of 100000 tons/year) and Mizu company (with a production capacity of 70000 tons/year), etc

Wuyu chemical industry company recently announced that it would shut down its 100000 ton/year PVC production plant and withdraw from the PVC business at the end of 2002. Wu chemical also transferred its plastic additives business to romhaas. The withdrawal of Wuyu chemical industry company also means that Asahi nitko is separated from the PVC market in Japan. Because Wu Yu produces 20000 tons of PVC per year in the name of Asahi saltpetre. New first will provide relevant services for the prosperous development of the industry. Vinyl company will take over the customers of Wuyu chemical industry company, with an estimated annual sales volume of 50000-60000 tons. However, the PVC production of Asahi in Thailand, Indonesia and Pakistan is still possible to continue to develop. Wuyu Chemical Industry Co., Ltd. and xuniti subsidiary will also maintain their shares in Jingye monomer vinyl chloride monomer Co., Ltd., a joint venture between Wuyu Chemical Industry Co., Ltd. and Marsan Petrochemical Co., Ltd. the effective supply shortage of Wuyu Chemical Industry Co., Ltd. is still serious, and the company and xuniti Industrial Co., Ltd. each account for 25% of the shares. The company has a 200000 t/a vinyl chloride monomer plant in Chiba, Japan, and plans to increase exports to China and other Asian markets

the withdrawal of Wuyu chemical industry company and Asahi nitrate subsidiary from the PVC industry in Japan has a certain effect on improving the global development trend of the automotive industry and improving the market balance. However, many market observers believe that they are relatively small PVC producers, and it is possible to recover profits only with greater actions. It is reported that the new first vinyl company and v-tech technology company are negotiating to merge their PVC business. If this transaction is formed, it will become the largest PVC manufacturer in Japan, with a production capacity of 69. 70000 tons/year; At the same time, Zhonghua company plans to reduce its PVC production capacity, and will also stop its consignment agreement with misu company in March 2003. According to the agreement, misu company will provide 70000 tons/year of products to Zhonghua company, which marks misu company's withdrawal from the Japanese PVC market. This round of capacity reduction is expected to reduce the total production capacity of PVC in Japan to 2.34 million tons/year