PVC Market Overview - The domestic PVC powder market prices have declined, with mainstream market prices dropping by 10-40 yuan/ton. The futures market has also seen a downward trend, leading to a slight strengthening of the basis as traders adjust their prices accordingly [1] - Downstream purchasing activity has shown a slight improvement, with localized enhancements in spot transactions. Current prices for 5-type calcium carbide PVC are reported as follows: East China at 4770-4880 yuan/ton, South China at 4820-4890 yuan/ton, Hebei at 4650-4780 yuan/ton, and Shandong at 4750-4830 yuan/ton [1] PVC Production and Inventory - The overall operating load rate for PVC powder this week is 78.84%, an increase of 1.09 percentage points compared to the previous week. The calcium carbide method's operating load rate is 79.21%, up by 1.38 percentage points, while the ethylene method's load rate is 77.92%, an increase of 0.37 percentage points [2] - As of August 14, the inventory of PVC production enterprises has decreased, with the number of days of inventory available for production at 5.4 days, down by 3.57% from the previous period. This reduction is attributed to sustained high pre-sale orders being shipped [2] PVC Market Outlook - The supply side is facing pressure from new capacity being released, with domestic trade remaining weak and spot transactions showing a lack of strength. Inventory pressure is expected to continue to rise, with no significant improvement in demand anticipated [3] - New capacities are expected to be released in August from companies such as Wanhua in Fujian and Tianjin Bohua, with Gansu Yaowang planning to start production in August and Qingdao Bay planning to start in September. This influx of new capacity adds further pressure to the PVC supply side [3] - Downstream production enterprises are operating at low rates, and purchasing enthusiasm remains weak, indicating that the industry is still in a seasonal downturn. Overall, the supply-demand pressure remains significant, suggesting a bearish outlook [3]