13 Polyester Factories Limit Production Quotation: Announce Production Reduction Plan!

Polyester factory began to lose money, now cut production to limit production and protect price! Polyester plant production reduction plan announced in July!

?

1. Xinxin: the production of 2 lines and partial slices was reduced. The starting time was early July, and the ending time was not determined, involving product filament + slicing.

?

2. Hua Hong: maintenance, starting on July 2 and ending in late July, involving staple fiber.

?

() and filament section.

?

4. Haixin: the filament production is reduced by 3 lines, 120 tons / day. The starting time is early July, and the ending time is not determined, involving the product filament.

?

5. Hongtai: the production of slicing is reduced by 30 tons. The starting time is early July, and the ending time is not determined, involving product slicing.

?

6. Shenghong: the production of slicing is reduced by 150 tons. The starting time is early July, and the ending time is not determined, involving product slicing.

?

7. Hengyi: the production of slicing was reduced by 10%, the starting time was early July, and the ending time was not determined, involving product slicing.

?

8. Tiansheng: the output has been reduced by 25%, the part has been reduced, 90 tons / day, the starting time is early July, and the ending time is not determined, involving product filament + slicing.

?

9. Anxing: planned maintenance, starting on July 20, the end time is not determined, involving short fiber products.

?

10. Tenglong: round inspection, starting in early July and ending in mid July, involving product bottle pieces.

?

11. Dawao: it is planned to reduce the production by 200 tons. The starting time is in the middle of July, and the ending time is not determined, involving product filament.

?

12. Zhuo Cheng: it is planned to overhaul for one month, starting from the end of July to the beginning of August and ending at the end of August and the beginning of September, involving product filament + slicing.

?

13. Lianda: two lines of filament to slice, planned maintenance, 100t / D, starting from the end of July to the beginning of August, the end time is not determined, involving product filament + slicing.

?

Since last year, the price of polyester filament has been in a downward channel, and the positive news has occasionally stimulated the rise, but it does not last. Without the end of substantial good support, polyester prices difficult to improve. In particular, it has entered the traditional off-season of the textile market, and the polyester price has started to fall, so the part that has risen before should be dropped.

?

Up to now, the price center of polyester filament products has fallen seriously. The price of FDY products is around 5500 yuan / ton, that of POY products is about 5100 yuan / ton, and that of DTY products is 6700 yuan / ton. Compared with the peak of polyester in 2018, the decline of filament is simply lamentable.

The price has fallen, but still can't sell. July began to enter the traditional off-season textile market, in previous years is a weaving enterprise gray fabric accumulated inventory time. In the first half of this year, due to the impact of the epidemic, foreign trade exports basically stagnated, and a large number of inventories were overstocked in warehouses. The cloth owner joked that if you don't stack millions of meters of inventory in the warehouse now, you are embarrassed to tell others that you are a textile manufacturer. It can be said that in today's weaving enterprises, it's normal for the warehouse to be full of stocks. There is still room for cloth stacking in the warehouse. Either the business is very good, or the warehouse is built larger than others. According to the data monitoring, the average stock of grey fabric in Jiangsu and Zhejiang weaving enterprises has exceeded 43 days, reaching the highest level in the year.

In recent years, the production and sales of polyester filament have been maintained at around 40%. The weaving manufacturers have obvious wait-and-see mentality, and the preferential promotion methods of manufacturers have also failed, so it is difficult to make a breakthrough in production and marketing. As a result, polyester manufacturers fell into a difficult state of production and sales, and continued to accumulate inventory. At present, the average inventory of polyester factory has risen to 26-36 days, and shows an upward trend. At the same time, since the second quarter, the decline of polyester filament has expanded, raw materials have been running in shock, and cash flow has continued to shrink. On the whole, the profit level of POY and FDY fluctuates greatly. At present, most varieties are in deficit. The loss of POY is over 200 yuan / ton, and that of FDY is more than 350 yuan / ton. The profit level of DTY is relatively stable with a surplus of 100 yuan / ton.

At present, polyester prices are largely guided by the news. Today, the price of crude oil has reached $40, but it is still difficult to inject a strong agent into the polyester market. In addition to the weakening demand for downstream weaving, the most important reason is the lack of upstream PTA and glycol cost support. PTA and ethylene glycol prices have been at a low level, but they are still faced with production expectations in the later stage, the pattern of overcapacity is intensified, and the probability of price decline is relatively large. For the polyester market, it also exacerbates the uncertainty.

?

After a wave of hot speculation in the upstream, polyester market now more and more return to the guidance of the demand side, and many downstream weaving enterprises can not bear the dual pressure of inventory and capital and began to reduce production. At present, the starting rate of water jet loom in Jiangsu and Zhejiang market has dropped to about 60%.

It doesn't work when it comes to promotion After that, in order to not only accumulate more inventory in the off-season market, polyester manufacturers naturally opened the production limit and price protection! （

Source: Xingguang chemical fiber, China silk city network, network)