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Released October 10, 2025 | NEW DELHI
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Researched by Industrial Info Resources (Sugar Land, Texas)--The global vinyl chloride monomer (VCM) market continues to witness steady growth, driven primarily by its role as the key precursor for polyvinyl chloride (PVC) production. According to ChemAnalyst, the global VCM market stood at approximately 47 million tonnes in 2022 and is projected to grow at a compound annual growth rate (CAGR) of 4.2% until 2032.
VCM consumption is mostly tied to the market for PVC, with more than 99% of worldwide VCM production directed toward PVC production. Of end-use applications, construction is the largest, considering PVC is a predominant material for such critical infrastructure elements as pipes, fittings, siding and electrical wiring, accounting for nearly 60% of all PVC demand globally.
Industrial Info is tracking 42 projects worldwide, worth about US$4.8 billion, geared at producing VCM. About 64% of the total investment is geared at unit additions, and plant expansions represent roughly 19% of the total spending. Subscribers to Industrial Info's Global Market Intelligence (GMI) Metals & Minerals Project Database can click here for the project reports.
Regions like Asia-Pacific, North America and Europe are witnessing significant investment in the production of VCM. Asia leads the way with investments totaling nearly US$3 billion. Notably, over 70% of these investments are directed toward new unit addition projects.
Following Asia-Pacific, North America emerges as the second-largest investment hub with spending worth US$2.45 billion, primarily due to its abundant and low-cost ethane-- a shale gas byproduct which makes ethane-based ethylene production cheaper than in regions relying on oil-based naphtha (like Europe and Asia).
Europe is investing US$65 million. European investment in VCM is in high-added value and sustainability-driven production. The market focuses on premium quality VCM/PVC for end uses such as the healthcare and automotive sectors.
By country, the U.S., China, and Iraq are the key spending drivers. The U.S. is the dominant player with substantial investment worth US$2.45 billion accounting for a share of approximately 50%. China follows with spending worth US$1.72 billion. Iraq and India are emerging as notable players, with spending worth US$500 million and US$277 million, respectively.
Key players in the market include Shin-Etsu Chemical Company Limited (Tokyo, Japan), Iraq's Ministry of Industry and Minerals and Westlake Corporation (Houston, Texas), accounting for a market share of 60%.
Shin-Etsu Chemical Company Limited is investing about US$2 billion across three projects. With a related investment of US$1.6 billion for one of the projects, the company is planning to construct Plant 4 in Louisiana, which includes chlor-alkali (C/A-4), vinyl chloride monomer (VCM-4), ethylene dichloride (EDC) and hydrochloric acid (HAPF-5) units plus associated utilities. Completion is targeted for September 2030. Subscribers can click here for the Plant 4 project report.
Indian Oil Corporation is another significant investor, planning for an ethylene dichloride/vinyl chloride unit addition at the existing 300,000-barrel-per-day Pradip Refinery, aiming to produce VCM as part the Paradip Refinery Petrochemical Complex in Paradip, Odisha. The project, which is currently in the planning phase, is scheduled for completion by December 2028. Subscribers can click here for the related project report.
The vinyl chloride monomer industry is seeing consistent growth, dominated by the construction, automobile and packaging sectors. Still, about 60% of the projects face kickoff slippage, delaying more than half of the planned investment, a sign of persistent headwinds. As projects worth 72% of the investment are being planned, while 13% is attributed to projects being engineered, and merely a portion are being constructed, capacity additions are progressing slowly. In spite of these delays, the market's strong demand base and continued capital commitments underscore confidence in long-term expansion.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
VCM consumption is mostly tied to the market for PVC, with more than 99% of worldwide VCM production directed toward PVC production. Of end-use applications, construction is the largest, considering PVC is a predominant material for such critical infrastructure elements as pipes, fittings, siding and electrical wiring, accounting for nearly 60% of all PVC demand globally.
Industrial Info is tracking 42 projects worldwide, worth about US$4.8 billion, geared at producing VCM. About 64% of the total investment is geared at unit additions, and plant expansions represent roughly 19% of the total spending. Subscribers to Industrial Info's Global Market Intelligence (GMI) Metals & Minerals Project Database can click here for the project reports.
Regions like Asia-Pacific, North America and Europe are witnessing significant investment in the production of VCM. Asia leads the way with investments totaling nearly US$3 billion. Notably, over 70% of these investments are directed toward new unit addition projects.
Following Asia-Pacific, North America emerges as the second-largest investment hub with spending worth US$2.45 billion, primarily due to its abundant and low-cost ethane-- a shale gas byproduct which makes ethane-based ethylene production cheaper than in regions relying on oil-based naphtha (like Europe and Asia).
Europe is investing US$65 million. European investment in VCM is in high-added value and sustainability-driven production. The market focuses on premium quality VCM/PVC for end uses such as the healthcare and automotive sectors.
By country, the U.S., China, and Iraq are the key spending drivers. The U.S. is the dominant player with substantial investment worth US$2.45 billion accounting for a share of approximately 50%. China follows with spending worth US$1.72 billion. Iraq and India are emerging as notable players, with spending worth US$500 million and US$277 million, respectively.
Key players in the market include Shin-Etsu Chemical Company Limited (Tokyo, Japan), Iraq's Ministry of Industry and Minerals and Westlake Corporation (Houston, Texas), accounting for a market share of 60%.
Shin-Etsu Chemical Company Limited is investing about US$2 billion across three projects. With a related investment of US$1.6 billion for one of the projects, the company is planning to construct Plant 4 in Louisiana, which includes chlor-alkali (C/A-4), vinyl chloride monomer (VCM-4), ethylene dichloride (EDC) and hydrochloric acid (HAPF-5) units plus associated utilities. Completion is targeted for September 2030. Subscribers can click here for the Plant 4 project report.
Indian Oil Corporation is another significant investor, planning for an ethylene dichloride/vinyl chloride unit addition at the existing 300,000-barrel-per-day Pradip Refinery, aiming to produce VCM as part the Paradip Refinery Petrochemical Complex in Paradip, Odisha. The project, which is currently in the planning phase, is scheduled for completion by December 2028. Subscribers can click here for the related project report.
The vinyl chloride monomer industry is seeing consistent growth, dominated by the construction, automobile and packaging sectors. Still, about 60% of the projects face kickoff slippage, delaying more than half of the planned investment, a sign of persistent headwinds. As projects worth 72% of the investment are being planned, while 13% is attributed to projects being engineered, and merely a portion are being constructed, capacity additions are progressing slowly. In spite of these delays, the market's strong demand base and continued capital commitments underscore confidence in long-term expansion.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
