Alarming the serious shortage of raw materials for the plastic industry

It was discovered that the shortage of plastic beads is currently at an alarming level after the Vietnam Global E-commerce Association signed and collaborated with the Plastic Association and domestic plastic firms.

The difficult COVID scenario has disrupted the supply, making plastic beads increasingly hard to come by.

Chairman of the association Steven Nguyen attended the inauguration ceremony of a plastic factory in Binh Thuan

The scarcity of raw materials for the plastic industry is forecasted to continue to increase because the frost in February 2021 caused a large-scale blackout in the state of Texas – USA, not only making the people here miserable but also causing serious problems. Other consequences are for many chemical plants to close, and disrupt the global supply chain.

Prices of polyethylene, polypropylene, and other chemical products used to make auto parts, computers, and a wide range of plastic products have hit multi-year highs in the US amid limited supply. For example, the price of PVC products has doubled since last summer, according to statistics from S&P Global Platts.

The high price of PVC products is not only due to limited supply, but also affected by the shortage of containers, making the freight rates for import and export goods increase rapidly. Imported PVC K67 price is assessed to increase from 90 USD/ton to 120 USD/ton at 1400-1500 USD/ton CIF China, 1440-1530 USD/ton CIF Southeast Asia and 1560-1650 USD/ton CIF India Degree. At these levels, prices are at their highest levels since ChemOrbis started to hold records in 2008. The producer is likely to announce April offers next week while business forecasts are falling. calls for a three-digit increase.

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