PV EVA prices are under close watch, with differing opinions in the upstream and downstream markets. Where will prices head next? [SMM Analysis]

SMM, Oct 8: In August, PV-grade EVA market prices began to recover. In September, PV-grade EVA production increased by 38.02% MoM compared to August, with three new petrochemical plants scheduling PV-grade EVA production, while companies switching to cable-grade EVA cable gradually decreased. October's PV-grade EVA production schedule is expected to be almost flat compared to September, down 0.31% MoM. The price inversion between PV-grade EVA and foam-grade EVA led petrochemical plants to flexibly adjust production plans and sales strategies. October's PV-grade EVA production is mainly concentrated in companies like Yuheng Chemical, Tianli Gaoxin Petrochemical, and Baofeng.

From the September PV-grade EVA market situation, film manufacturers were actively purchasing, with both domestic and imported materials being traded. Domestic transaction prices ranged from 9,500 to 9,800 yuan/mt, with a slight downward adjustment of 100 yuan/mt at the end of the month.
In October, the EVA producers remain optimistic about PV-grade EVA prices. However, since the slight increase in PV-grade EVA did not pass through to the module sector, prices slightly decreased at the end of September, and bearish sentiment is strong. Downstream players are mostly waiting to see if prices would go even lower, increasingly focusing on EVA costs. By the end of September, PV EVA inventories at petrochemical and film plants were at low levels. Module production schedules increased continuously in October, with film production schedules also rising accordingly. The demand for PV-grade EVA in October is expected to be 140,000 mt. Supply and demand show a tight balance for PV-grade EVA, but market sentiment remains bearish. EVA demand depends on the actual production situation in the module sector in October.