17th March 2026

Urgent PVC Supply Update – Force Majeure Event

 

We have received notifications from multiple manufacturers of PVC / HDPE product within the industry since late afternoon Thursday 12th that a “Force Majeure” event has been called and this will have immediate and far reaching impact on the supply chain for the petrochemical industries. Specifically, after multiple meetings with our supply chain partners over the subsequent days and as further information was attained it has been made clear that the immediate impacts will see serious supply chain shortages in the immediate future across the industry.

 

The direct impact on your PVC supply from UCS;

• All pricing for uPVC prior to 17th March 2026 is now invalid.

• Product lead times likely to exceed 3-4 weeks from order

• Scarcity / unavailability of product in immediate effect with likely ongoing market supply issues for the foreseeable future.

• This event is affecting all major PVC suppliers stock availability and capabilities.

 

To elaborate, the recent escalation of conflict in the Middle East has had a substantial impact on global petrochemical markets and logistics. Disruptions to shipping routes through the Strait of Hormuz and attacks on regional infrastructure have interrupted the export of polymers and petrochemical feedstocks from the Gulf region. As a result, global PVC and PE resin supply has tightened, and prices have increased. In addition, the conflict has caused a sharp rise in crude oil, energy, and freight costs.

 

The immediate impact felt across the Australian market has been:

• PVC and PE Resin suppliers have called “Force Majeure” cancelling all supply contracts and pricing.

• Resin suppliers have been unable to provide clarity on their ability to supply or the impact of the disruptions on the future price of their products.

• Spot offers for PVC resin scheduled for April 2026 delivery is currently up by as much as 50% compared with March 2026 pricing.

 

• Allocation of PVC resin for April and May 2026 has been halved by suppliers.

 

• PVC Resin suppliers have indicated potential shortfall in both product and logistics (no guarantees currently on shipping availabilities for April and May)

 

The result is a current market environment that is highly volatile, with a significant degree of uncertainty. Based on preliminary advice from our suppliers and the provisions of our long‑term supply agreements, we do not yet have clarity on how PVC and PE resin availability or pricing may be affected. A more definitive assessment is not expected until April 2026.

 

That said what can be determined currently and can be advised the following changes have been acknowledged:

• Across all of our suppliers effective immediately, all current quotations will be cancelled and deemed invalid.

• Effective immediately all current price files will expire.

• All Orders of PVC conduits must be accepted onsite when allocated by the PVC manufacturer, any declining or turn backs will result in allocations being cancelled.

• Current supply shortfalls will be manufactured and delivered as soon as practical.

 

Further to the above though it has been made clear from three major suppliers that the situation is highly volatile and as such the above information may again change if more up to date information is attained. The most clear and immediate effect of the current “Force Majeure” is a highly expected materials shortage in the coming months which will directly impact availability of raw materials for manufacture of PVC conduit products, coupled with expected pricing increases.

 

Moving forward pricing will be offered on 7-day validity based on pricing at time of quote. No new price files or long-term pricing can be issued during this period of market volatility. UCS will continue to work with our valued clients on finding the best possible outcomes for their projects

As information comes to hand I will keep you and the team updated as practically available.

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If you have any questions or require any clarification, please do not hesitate to call your Account Manager.

 

Kind Regards

Underground Civil Supplies