Why is disposable vinyl glove price coming down all the time?
Jacky Chan,Apr.18, 2021
I think main reason is in the relationship between supply and demand. That is buyer and seller changed.
1.Customers are buyers
Most of customers cancelled orders after Chinese New Year, especially USA customers are the summit.In 2019, 70% vinyl gloves orders are placed by USA customers. More and more importers, distributors and dealers are starting to sell disposable gloves as well as PPE products in USA. Among them, someone didn’t work in PPE before, their major jobs are plastic packing, food packing, cleaning products, clothes and so on. They found PPE products are sold very well and join in this field. For instance, disposable face mask are sold best at the beginning, most companies are selling and stocking face mask. However, one month later, face mask price is plummeting.Chinese situation is an obvious example. Disposable vinyl gloves are more demand than face mask in USA. In USA people’s life, disposable vinyl gloves are essential consumables. During covid-19 period, vinyl gloves are used more than before while other consumables are sold very bad. So many merchants are eyeing at disposable gloves, especially vinyl glove because its price is lowest among latex/nitrile/vinyl gloves. That is why customers placed over one hundred containers once.
In 2021, COVID-19 are controlled better by USA government. USA people reduce the vinyl glove demand, its sale is getting bad. Many importers’ warehouse is full of disposable vinyl gloves. As a result, some unfinished orders are cancelled. The business scale are moving to the demander.
2.Suppliers are sellers
Most of vinyl glove suppliers are located in China. Chinese investor found vinyl gloves price on the summit in history and profit is very high. Before 2019, there are around one thousand vinyl glove productions lines in total in China. By now, there are about three thousand lines, it is triple as before. When customer’s orders are fewer and fewer, price war is started. I remembered vinyl glove price is USD48 before Chinese New Year. After that timeline, on March, price is USD35 and April price is USD30.Until now, the price is around USD25. I thinks this price will be holding for a moment as PVC material is increasing recently.
At last, I guess vinyl glove price will recover to normal price, that is USD15-18, it’s same as historical price. As its price is coming down, some new plants will be closed as well as vinyl glove lines will be stopped.
Beside the above main reason, there are ocean freight and government policies to effect International business trade. Exporting to USA, ocean freight is more than 10,000 dollars for 40 HQ and ships are fewer than before. European Countries and USA are not good relationship with China. So vinyl gloves orders will keep few for a long time. At the same time,disposable vinyl glove price will be lower and lower.