Facing COVID-19 and persistent inflation, what are the effects of the trade about PVC film, PVC sheet, plastic playing cards and other plastic products?
The impact the COVID-19 outbreak has had on world economy showed in slow world economic growth and might lead to financial crisis. The global supply chain could not work concurrent processes simultaneously, freight cost increased, as a result there are gluts. Many enterprises, especially small and micro-sized businesses are going through the tough period.
According to Xinhua News Agency, Davos, Switzerland, May 25 (Xinhua), the International Monetary Fund (IMF) first vice president Gita Gopinath has warned that the impact of the Russian-Ukrainian conflict, the world economy to further encounter headwinds, global inflation will be a spiral. Gopinath said in an exclusive interview with Xinhua during the annual meeting of the World Economic Forum that the world economy has become weaker recently and inflation remains the biggest challenge facing the world economy. Gopinath also said that China is still one of the important engines of world economic growth, and that China's economic growth will have influenced global trade and growth prospects in other parts of the world.
Looking at current economic situation in China, a slowdown combine to weigh on economic growth, loose policy on all other fronts as it relates to monetary, fiscal, housing, decarbonization and big-tech regulation. To unlock a gradual recovery, it is favorable for us to export.
Demand for the main raw material PVC is down, and the spot market is in a state of deep appreciation, the downstream market is not very enthusiastic about purchasing, and raw material prices are falling.
The dollar strengthened against the yuan, the relative reduction of PVC product prices, consumers can enjoy the benefits of low prices and high quality products.
In conclusion, for Yongming Plastics, the current export market is an opportunity that should be seized to further open up the overseas trade market. Although at the same time it has to face some risks, such as higher freight and less profit.
