This site uses cookies to provide you with a more responsive and personalized service. By using this site you agree to our use of cookies. Please read our cookie notice for more information on the cookies we use and how to delete or block them.

Bookmark Email Print page

PVC markets of Europe and South-East Asia: analysis of profitability and production cost


DOWNLOAD  

The goal of the work is a comparative analysis of production cost and contribution margin of ethylene-based PVC production facilities of Europe and South-East Asia.

The analysis revealed the following:

  • The European PVC production contribution margin varies from 56,7 to 247,9 Euro / ton of PVC (excluding PVC production at Râmnicu Vâlcea facility that is facing negative contribution margin) and averages at 136,45 Euro / ton of PVC subject to the current average capacity utilization level of 67%. The potentially achievable contribution margin considering existing technologies and prevailing prices – 190,85 Euro / ton of PVC.
  • PVC production contribution margin in South-East Asia is negative (−65,10 Euro / ton of PVC). It is caused by the low capacity utilization (52% in 2009, including 44% in China). Subject to the full capacity utilization under prevailing prices the PVC production contribution margin is estimated at 81,47 Euro / ton of PVC.

 

Stay connected:
Get connected
Share your comments

 

More on Deloitte Russia
Learn about our site