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    Low Inventory Of Spandex Is Expected To Usher In Price Increases

    2014/2/1 14:30:00 43

    SpandexChemical FiberTextile

    < p > it is understood that the current "a href=" http://www.91se91.com "spandex" /a "industry is in the traditional off-season, but the average stock days are only about 25 days, compared with the same period last year, nearly 40 days of inventory dropped significantly.

    According to the briefing, the rapid growth of downstream demand and the low volume of new capacity are the main reasons for the low inventory.

    < /p >


    < p > related enterprises said that the new capacity in the first half of this year was relatively low. After the Spring Festival, spandex products are expected to usher in a wave of price increase.

    Among them, Huahai spandex will raise its price in February 1st, and the products of 20D, 30D and 40D will be raised by 1000 yuan / ton.

    < /p >


    < p > spandex industry has been improving in the past year and has become a star in the chemical fiber industry.

    Due to the rapid growth of downstream demand and tight supply side, the average price range of varieties ranges from 10% to 20%.

    Data show that in 2013, spandex total capacity was converted to 40D of about 520 thousand tons, and its output was about 390 thousand tons.

    The year-round consumption increased by 30% to 363 thousand tons, and the supply and demand of the industry was basically in equilibrium, which laid the foundation for the price increase of spandex.

    < /p >


    < p > in addition, the price of PTMEG, which cost nearly 70% of spandex cost, was greatly reduced by the large quantity of new capacity.

    From 28000 yuan per ton in early 2012 to 25600 yuan, the rate was nearly 10%, which also played a supporting role in improving the gross profit margin of spandex.

    < /p >


    < p > the operation of related enterprises shows that in most years after 2000, the growth rate of spandex industry is higher than that of < a href= "http://www.91se91.com/news/index_c.asp" > textile > /a > industry.

    Spandex as a "monosodium glutamate" in textile industry, as people's consumption level and clothing comfort, beauty and other functions of the request to enhance, the application scope is gradually increased, and the price decline, also makes this noble fiber popularity trend is increasingly obvious.

    From the beginning, it was mainly used in socks, < a href= "http://www.91se91.com/news/index_c.asp" > underwear > /a > three, and gradually expanded to all parts of the clothing to add some spandex, resulting in a much higher demand growth than that in the same industry.

    < /p >


    < p > industry experts say that from the open data, the spandex boom can be maintained at least for the second half of 2014.

    The main reason is that the new capacity of this year is about 60 thousand tons, and the total capacity growth is 12%.

    It is mainly for the 20 thousand tons of production capacity put into operation in June, the 10 thousand tons capacity of Taihe new material in October and the 30 thousand tons production capacity at the end of Huafeng.

    However, although the new capacity in the second half of this year is nearly 12%, the profit level can still be maintained at a higher level compared to the 30% demand growth.

    < /p >


    < p > overall, the current low inventory plus the arrival of the traditional peak season will bring another opportunity for the spandex to rise again after the Spring Festival.

    In spring, summer clothing is mainly produced, and demand for fine denier yarn is more. < a href= "http://www.91se91.com/news/index_c.asp" > fine denier > /a > large capacity companies are most benefited.

    In terms of listed companies, Taihe new material has 34 thousand tons of capacity, which can be raised to about 45 thousand tons by the end of this year. At present, it has been loading at full capacity, and its inventory is about 20 days, which is lower than the average level of the industry.

    Huafeng spandex has 57 thousand tons of capacity, including 35% of fine denier yarn and 50% of 40D. At the end of the year, capacity is expected to rise to 87 thousand tons.

    < /p >

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