Analysis of China's PVC paste resin industry in 2022

Polyvinyl chloride (PVC) paste resin, as the name implies, is mainly used in the form of a paste. This paste is commonly referred to as plasticized paste, which is a unique liquid form of PVC plastic in the unprocessed state. Paste resin is usually prepared by lotion and micro suspension methods.

The domestic economy has entered a stage of high-quality development from rapid development, and the domestic industrial policies have increasingly strict regulatory and restrictive measures for the development of the PVC paste resin industry. They focus on the reform of the supply side structure, focus on resolving excess capacity, and take energy conservation and carbon reduction as the guide, including a series of policy adjustments such as the elimination of outdated capacity, cleaner production, safety, and environmental protection.

The outbreak of COVID-19 in 2020 has had a great impact on the petrochemical industry. As the main raw material of PVC gloves, PVC paste resin has been affected more significantly. Driven by downstream demand, the production plan of new PVC paste resin plants in China has accelerated, and the production capacity has rebounded after two consecutive years of decline. In 2020, the total production capacity of PVC paste resin in China reached 1.37 million tons, and by the end of 2021, the production capacity has increased to 1.535 million tons.

In terms of production, the production of PVC paste resin in China was about 670000 tons in 2012, increasing to 1044000 tons in 2021; In terms of demand, the demand for PVC paste resin in China was about 880300 tons in 2012, and increased to 1542500 tons in 2021.

In terms of foreign trade, with the improvement of domestic product quality and the enrichment of brand names, the external dependence of PVC paste resin has gradually decreased. In recent years, the import volume has decreased year by year, but the export volume has significantly improved. In 2021, China completed the import of 84600 tons of PVC paste resin, and exported 77100 tons of PVC paste resin throughout the year.

There is still a significant gap between the production technology level of PVC paste resin in China and the world's advanced technology level. The product variety, product quality, stability of product quality, and production scale are still at a relatively low level. There are many brands of PVC paste resin that cannot be produced in China. With the rapid development of current technology, related technologies are increasingly being applied in the production of PVC paste resins. With the continuous expansion of the application field of PVC paste resin, users not only require to improve product quality, but also require continuous innovation in variety. In the past, products that were only used in human leather, floor leather, wallpaper, toys, protective gloves, adhesives, and other products can no longer meet the current needs of some special requirements such as high strength, flame retardant, antistatic, high and low temperature resistance, and excellent paste performance. This will force PVC paste resin manufacturers to continuously open up innovative fields and improve production technology to meet market demand.