May Pure Polyester Yarn Trend: "Internal And External Troubles" Continued Downturn

In May, the market of pure polyester yarn continued to slump, and the price center of gravity declined.

On the one hand, the price of raw materials is generally down, and the pure polyester yarn is obviously fluctuating with the raw materials. On the other hand, the pressure of storage and shipment under the background of the off-season has forced the price reduction of the yarn enterprises. However, the demand for the downstream textile enterprises is weak, and the change of profits and profits can not alleviate the pressure on the yarn enterprises.

The market of pure polyester yarn showed "gold, three silver four" not prosperous, and continued to decline in May.

Raw material end: the raw material market of pure polyester yarn after the May Day holiday has been in a tense atmosphere. The industry faces the rising PTA disk processing fee. It always worries that its high profit state will eventually collapse, which will cause both PTA and polyester products to fall.

Therefore, even if PTA continues to exist in the supplier's buyback supporting spot behavior, but the spinning enterprises continue to be careful about the polyester staple fiber picking, and the polyester staple fiber inventory is gradually higher and the profit is compressed. In mid May, pet market maintenance news began to increase. However, due to the limited strength, it did not have a significant impact on PTA. However, in May 10th, the macro information level increased, and the products such as Zheng cotton and PTA futures declined sharply.

At the close, the price of PET staple in Fujian was 8325, down 325 from the beginning of May.

Recently, the PTA supplier repo has slowed down, and there may be further compression of the disc processing fee. Therefore, even if the polyester staple fiber is overhauled, but the cost side will fall down, the polyester staple will not be able to stand alone.

Demand side: in recent months, the world trade volume has experienced the most serious downturn since the financial crisis, and the economic environment has been depressed and the market has been saturated.

Pure polyester yarn downstream textile enterprises, with the implementation of the previous orders, the new single follow-up is slow, inventory is rising, inventory of medium-sized enterprises has reached 40-60 days, with a half month increase compared with the same period last year, and a few grey cloth inventory up to 80-90 days. With the influx of gray cloth in the central and southern regions, the cash flow of textile enterprises has been continuously compressed and is on the verge of loss. The operating rate of the circular machine has dropped to 48%, and some small mills have been shut down.

The Sino US economic and trade frictions escalated in May 10th. The tariff rate on goods imported from China was raised from 10% to 25%, which increased from 10% to 25%. This factor continued to dominate the foreign trade order market, especially forcing American buyers to pfer orders to Southeast Asia and other places. Traders cautiously purchased.

According to past practice, weaving will gradually enter the off-season after May. The shortage of overall orders and the higher inventory of finished products will be the common market of pure polyester yarn.

In conclusion, the market price of pure polyester yarn has been on the decline.

In the off-season, inventories increased significantly. Although the price in most regions was reduced by 200-300, the effect on orders and inventory was limited, and some yarn enterprises were stored for more than 20 days. Raw material prices continued to fall, and yarn businesses were mostly dominated by just needed replenishment, and the industry was more pessimistic.

At present, Changle's T32S mainstream talks focus on 13100-13200, offer slightly higher than 13300; Jinzhou area of knitting, woven dual use pure polyester yarn T32S (large) tax mainstream negotiation price is concentrated in 12600-13000; Xiaoshao area weaving large T21S T21S tax factory quoted price is concentrated in 12300-12500; Rugao area industrial large T16S tax inclusive factory price is concentrated in 12200-12300.

(unit: yuan / ton)