Polyvinyl Chloride (PVC) Market Insight Report: Key Factors Influencing Market Behavior

Polyvinyl chloride (PVC) is a versatile thermoplastic polymer with high structural strength and chemical resistance properties. Its applications range from pipes, window profiles, cables, flooring to medical devices. PVC finds wide use in construction industry for applications such as pipes, doors & windows, flooring, and roofing owing to its cost-effectiveness, durability and UV resistance.

The global Polyvinyl Chloride (PVC) Market is estimated to be valued at US$ 55.73 Bn in 2023 and is expected to exhibit a CAGR of 3.8% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Opportunity
Use in construction applications: PVC has emerged as the preferred material for construction applications such as pipes, doors & windows, flooring and roofing due to its excellent durability and lower weight compared to conventional materials such as metal, wood, and concrete. The growth in construction industry particularly in emerging economies is expected to boost the demand for PVC for construction applications during the forecast period from 2023 to 2030.

Porter’s Analysis

Threat of new entrants: Low capital requirements and availability of raw materials lowers the barriers for new companies. However, established players benefit from economies of scale and brand recognition.

Bargaining power of buyers: Buyers have moderate bargaining power due to availability of substitutes and differentiated products from different manufacturers.

Bargaining power of suppliers: Supply of key raw materials like ethylene and chlorine is concentrated, increasing suppliers' bargaining power.

Threat of new substitutes: Substitutes like polyethylene are increasing competition. However, established use and versatility of PVC provides some defense against substitution.

Competitive rivalry: Intense competition exists among major players to increase market share through product innovation and expansion.

SWOT Analysis

Strength: High demand from construction and automotive industries. Variety of applications and good physical properties.

Weakness: Environmental and health concerns regarding production and disposal. Recent price fluctuations in raw material costs.

Opportunity: Emerging applications in pipes, films & sheets are expected to drive future growth.

Threats: Stringent regulations associated with production and usage may hamper demand. Increased competition from substitute materials.

Key Takeaways

The global PVC market is expected to witness high growth during the forecast period. The global Polyvinyl Chloride (PVC) Market is estimated to be valued at US$ 55.73 Bn in 2023 and is expected to exhibit a CAGR of 3.8% over the forecast period 2023 to 2030.

Regional analysis: The Asia Pacific region is projected to be the fastest growing as well as the largest PVC market during the forecast period led by China, India & other ASEAN countries. Rising infrastructure development programs are driving the demand.

Key players: Key players operating in the PVC market are Shin-Etsu Chemical Co., Formosa Plastics Group, Ineos Chlorvinyls Ltd, Solvay S.A., Westlake Chemical, and Occidental Petroleum Corporation.