Whalesbook
Chinese Imports Undercut Indian uPVC Producers
India's uPVC profile makers are facing significant pressure, according to the All India uPVC Profile Manufacturers Association (AIUPMA). The group reported that around 1.6 lakh metric tonnes of uPVC window profiles were imported in 2025, with about 99% coming from China. AIUPMA president Eniyan Shivam said these imports are priced below what it costs local companies to produce raw materials, hurting Indian manufacturers' ability to compete. Over the last three years, imports from China have steadily increased, shrinking domestic players' market share to below 50%. The local industry's survival is at risk if these trends continue. As an example of the industry's potential, The Supreme Industries Limited, a major plastics maker, had a market capitalization of roughly ₹47,852 crore in March 2026. This valuation shows investor confidence, which is challenged by this aggressive foreign competition.
China's Global PVC Dominance and Export Strategy
China leads the global Polyvinyl Chloride (PVC) market and its uPVC profile exports. In 2025, China's PVC exports reached 4.6 million tons, making it the top global exporter. India is a major market, with Chinese PVC making up 40% of India's total PVC imports in 2024, and over 1 million tons exported to India in 2023. This aggressive export approach by China is not new; India's Directorate General of Trade Remedies (DGTR) has investigated and recommended anti-dumping duties (ADD) on other Chinese products, like PVC resin and plastic machinery, sometimes up to $339 per tonne. The Indian construction materials market, a significant buyer of uPVC profiles, is expected to grow robustly at 7.56% annually from 2025 to 2035, reaching $61.0 billion. Government programs like Pradhan Mantri Awas Yojana-Urban (PMAY-U) also boost housing and energy-efficient construction, creating demand that could be met by imports, potentially at unfair prices. uPVC offers benefits like energy efficiency and durability but faces competition from aluminum and imported price pressures.
Trade Policy Challenges and Industry Vulnerabilities
Relying on tools like anti-dumping duties (ADD) and the potential Minimum Import Price (MIP) points to weaknesses in India's manufacturing sector. While India has applied ADD to Chinese goods, questions remain about how effective these measures are, especially given China's vast export capacity. China has also faced similar trade investigations from other countries, like the US. An MIP sets a minimum price for imports, a measure previously used in India for steel and now considered for drug ingredients to counter cheap Chinese goods. However, these measures can be hard to enforce and may face challenges under international trade rules. A worrying development is an internal debate in India, with some government and industry voices favoring easier trade curbs on Chinese imports. They cite growing reliance and disadvantages for Indian firms competing with nations that import Chinese raw materials without duties. This presents a difficult choice: protect local industry or support growth with cheaper inputs. The uPVC profile issue shows how subsidized exports can harm domestic manufacturing.
Industry Seeks Stronger Protections Amid Growth
AIUPMA's requests for mandatory BIS certification, an MIP, and a full ADD review signal a call for stronger government backing. The worldwide uPVC market is growing, with Asia Pacific being the largest and fastest-growing region. India's government support for urban development, infrastructure, and energy-efficient buildings, including the Energy Conservation Building Code (ECBC), should keep demand for uPVC profiles strong. However, domestic manufacturers' ability to benefit from this growth depends heavily on the government ensuring fair competition against aggressively priced imports. If trade policies aren't effective or import strategies aren't adjusted, India's uPVC industry could be further sidelined, similar to other sectors struggling with raw material and intermediate goods competition. The industry's long-term strength will rely on managing these trade challenges while expanding domestic production and innovating.