The monthly average price of PVC in December was $942.33/mt CFR Far East Asia, up $62.73/mt or up 7.1% from the November monthly average of $879.60/mt, despite weak demand in Asia, Platts data showed.

Compared with December 2010, the December 2011 average price fell $77.67/mt or 7.6%.

December prices had gone up due to higher offers seen for January-delivery PVC cargoes from Asian producers.

Market participants expect PVC demand to remain weak in January, with prices remaining under pressure as construction in China slows down in line with government efforts to cool the property market.

Meanwhile, feedstock vinyl chloride monomer gained $40.50/mt month on month, averaging $804.25/mt CFR Far East Asia in December due to supply tightness following a fire at Japanese producer Tosoh's plants on November 13.

Tosoh shut its 550,000 mt/year No.2 and 400,000 mt/year No.3 vinyl chloride monomer plants at Nanyo following an explosion at the complex. The cause of the explosion was being investigated, and two plants are still shut.

Tosoh's 260,000 mt/year No. 1 VCM plant at the same complex, meanwhile, was awaiting approval from authorities to restart. It was shut for a 30-day maintenance in mid-October and was scheduled to restart on the same week as the fire.