The Demand For Raw Materials Has Been Dragged Down By Polyester Chips.

Although international oil prices rose three times, Brent rose 0.85 to 72.62 dollars per barrel on the 16 day, but the overall trend of PTA and ethylene glycol of polyester chip raw materials was weak. In addition, the demand for downstream factories was generally more general. Under the influence of double negative effects, PET chips began to depreciate after they returned from May 1. Up to now, the market price of semi gloss chips has reached 7200 yuan / ton.

In May 13th, China formally announced that some tariffs were imposed on the United States in June 1st, and Sino US trade relations were becoming increasingly tense. The spread of polyester products on the macro bad news, the polyester industry was not optimistic about the future market, and this demand for the downstream downturn, had to use production to offset slowly accumulated inventory.

Ethylene glycol was also affected, the opening of early week slump, of course, polyester chip main raw material PTA has not escaped. In May 16th, as the PTA supplier repurchase strength weakened, PTA spot experienced a cliff style fall, PTA spot fell sharply, down to 455 yuan / ton, polyester chip cash flow can be widened, polyester chip market price began to decline in both raw material and demand side.

Dynamic assembly of polyester plant

At present, slicing factory downstream slicing factory demand is sluggish in recent years, the trading atmosphere in the field is slack. Recently, the slicing factories are taking the whole goods as a whole. The multi dimension holds 6-7 percent nearby. Although some production reduction has offset the stock, some slicing factories have started to store up. At present, the overall stock of polyester chip factories is about 9.97 days, and the higher inventory is around 15 days.

In the later stage, the macroeconomic environment is difficult to improve, which greatly affects the view of the polyester industry on the market outlook and increases the cautious attitude of downstream purchase.

Downstream polyester maintenance keeps expanding trend, and terminal weaving orders shrink, upward upward pressure to block polyester chip raw material rebounding amplitude, although sliced downstream has low price promotion, but still difficult to improve the situation of supply exceeding demand, will only lower the market price, comprehensive view polyester chip market price or difficult to stop the pace of decline.