Status of PVC Pipe Industry

- Aug 15, 2019-

As one of the products of the development of science and technology, PVC pipes are accessible in daily life. In Europe, the growth rate of plastic pipes from 1980 to 1990 was 8 %. In 2001, the output reached 3.5 million tons, of which PVC pipes accounted for 60 %. The production of plastic pipes in the United States was 1.6 million tons in 1985 and about 3.6 million tons in 1999, of which PVC pipes accounted for 78 %. The first UPVV expansion pipe in China was born in Shenyang Plastics Factory in 1983. Since then, mainland China has the production capacity of PVC pipes and drainage pipes. The late 1990s was a period of rapid development of PVC pipelines in mainland China. During the period, some factories with annual production capacity of more than 50,000 tons were successively completed and put into production, and more than 30 PVC pipeline factories with a production scale of more than 10,000 tons were completed. The annual production capacity of plastic pipelines is 2 million tons.
trend of development
PVC pipes have been praised by the engineering industry for their light weight, corrosion resistance, high compressive strength, safety and convenience. In recent years, under the rapid development of the domestic economy, China's PVC pipeline has developed very rapidly.
Industry analysts pointed out that by PVC's complete supporting industrial chain and domestic raw materials support, PVC pipeline production accounted for 55 % of the total in 2010. In recent years, the PVC pipeline market has been affected by various factors and its market share has continued to decline. The decline in PVC pipeline market share mainly has three major aspects:
First, the PVC pipeline market was affected by PE, PPR and other plastic pipelines, and was seized a certain market share;
The second is that the ban of lead stabilizers in PVC pipes that come into contact with food products has a certain negative impact on the development of PVC pipelines;
The third is that the development of PVC pipelines is in a period of rapid development, and the industry's production capacity has continued to expand. Many small and medium-sized enterprises, in order to seize the market, reduce costs, and fill large quantities of calcium carbonate in their formulas, have been used to improve the image of the entire PVC pipeline industry. It directly affected the PVC market share and accelerated the loss of PVC market share.
But overall, while PVC pipeline share is declining, it still dominates the plastic pipeline market. And the attractive prospects of the plastic pipeline industry is still a major highlight of the development of the PVC pipeline industry.
According to the "2011-2016 China Chemical Pipeline Market Analysis and Investment Strategy Research Report", at present, the processing capacity of small and medium-sized enterprises of PVC pipelines in China is mainly concentrated in PVC drainage pipes. During the "Twelfth Five-Year Plan" period, housing construction and municipal projects still provide stable domestic demand, which will increase the market demand for PVC drainage pipes. In the future, the demand of PVC pipeline market will still be driven by construction demand, especially in the completion of a large number of affordable housing construction. However, it is worth noting that PVC pipeline companies should also adjust the product structure according to the actual situation, and focus on environmental protection and quality as the core development of building materials products that meet the needs of the market, so that in the plastic pipeline market and invincible.
Status of development
Since the early 1980s, the state has vigorously promoted the application of upvc, formulated a series of policies, systems and standards, and accumulated a lot of experience. To this day, we already have perfect product standards, testing methods and methods, construction engineering technical specifications, etc., so as to unify the size and quality of the product, and achieve the interchangeability of the product. This shows that the development of the PVC water supply pipeline has entered a mature period, and the product quality and construction quality have been guaranteed, thus ensuring the use of the PVC water supply pipeline.
The international standard for PE pipes for water supply(ISO 4427) was not officially released until 1996. In 1999, China compiled the national standard GB/T13663 with reference to ISO 4427, and it was released and implemented in 2000. However, the standards and engineering technical specifications for PE pipe parts are still being improved. This shows that the quality of the domestic PE pipe is not yet stable, and the pipe pipe parts are not perfect, so it can not ensure the quality of production and construction.
China has a production capacity of 3 million tons of plastic pipelines, mainly PVC, PE and PP-R pipelines. PVC pipelines are the largest plastic pipelines in the market, accounting for nearly 70 % of plastic pipelines. More than 1,600 PVC pipe production lines. The annual production capacity is more than 2.5 million tons, and the annual output of PVC pipelines(pipes) reached more than 1.2 million tons in 2003. In plastic pipes, the share of PVC is 70 %, PE is 25 %, PP-R is 4 %, and others are 1 %.
Although the rapid development of PVC pipelines has attracted many companies to enter the industry for investment, among the many domestic manufacturers(more than 2,000), there are only more than 70 annual production capacity of 10,000 tons, and more than 20 enterprises with an annual output of 30,000 tons or more. More than 60 % of the industry's output.
Overall, the domestic small caliber, low value added pipeline enterprises, large caliber, high technology content of fewer enterprises. The distribution of processing capacity of PVC pipes is not reasonable. The processing capacity of small and medium-sized enterprises is mainly concentrated in PVC drainage pipes. At the same time, a large number of non-standard pipes are still flooded with the market, resulting in disorderly and chaotic market competition.
Pvc tube
Pvc tube
In some traditional PVC plastic pipes, PE and PP-R replacement momentum is obvious. The erosion of market share by other varieties and the ban of lead stabilizers in PVC pipes in contact with food products will have a certain negative impact on the development of PVC pipelines. In particular, PVC raw materials generally account for 70-80 % of the total cost. The change in the price of the main raw material PVC has a significant impact on the company. After 1998, production capacity expanded, market competition intensified, prices fell, PVC raw materials prices rose, and industry profits decreased. Many small and medium-sized enterprises cut corners to keep up, struggling to survive. PVC pipes themselves waste a lot of space for transportation loading, and the introduction of new road traffic regulations has further increased transport costs.