Higher PVC prices boost Orbia’s revenue

Higher PVC prices boosted Orbia’s revenue at a year-on-year rate of 18% in the first quarter of 2021, to $ 1.914 billion.

In addition, while the profits of this company grew 125%, to 173 million dollars, its Ebitda climbed 46%, to 451 million dollars, in the same comparison.

As part of its various businesses, in that of Polymer Solutions, Orbia is partially integrated (approximately 65%) towards its main raw material, ethylene, and with this the production chain is integrated from salt extraction to production of plastic compounds.

The company also has facilities for the manufacture of salt for industrial consumption, ethylene, chlorine, soda, chlorinated derivatives VCM, PVC and specialty resins, as well as compounds.

Finally, Orbia is also integrated in the manufacture of plasticizers, towards one of the main raw materials: phthalic anhydride.


The company’s revenue amounted to $ 708 million from the Polymer Solutions business during the first quarter of 2021, increasing 21%, driven by shortages in the PVC market.

As of today, the market is experiencing historically high PVC prices due to strong global demand for infrastructure and construction, as well as limitations in the supply of PVC and ethylene caused by adverse weather conditions in the Gulf Coast region of United States during the first quarter.

Strong demand for compounds was limited by the availability of raw materials and supply chain disruptions, including those caused by the temporary blockage of the Suez Canal.


Polyvinyl chloride is a thermoplastic resin, a product of the polymerization of vinyl chloride.

On the other hand, PVC can be produced by four different processes: suspension, emulsion, mass and solution.

The main use of PVC resins is in the construction industry in wire and cable insulation, window and door frames, ducts and pipes for water and sewage, floors, tiles, etc.

It is also used to make, among other things, inflatable dolls, balls and toys.

In the automotive industry it is used in door panels, dashboards, seat upholstery, trim, electrical cables, air and oil filters, automotive sealants, and harnesses.

While in the textile industry it is used in the production of synthetic leather and canvas, in the packaging industry it is used to make jugs and bottles for purified water and cleaning products, films for food wraps, and foils for medicine packaging.

To conclude, in the medical sector it is the main material used in the production of bags for serum and blood, as well as other accessories for patient care.