Viscose Staple Fiber Prices Continue To Fall In July

According to the price monitoring of the business agency, as of July 29, the average domestic ex factory price of 1.2D * 38mm viscose staple fiber was 9114 yuan / ton, a decrease of 343 yuan / ton or 3.52% compared with the beginning of July, and a year-on-year decrease of 23.63%. The market quotation of cotton linter is still firm, the price of viscose staple fiber is generally lower, and the mainstream quotation is 8500-9300 yuan / ton.

In July, the cotton linter market was basically stable and the supply was limited, but the downstream demand was not ideal. Some manufacturers of viscose said that there was no market and the external price was unreasonably high. Chemical fiber factories and refined cotton factories purchase as they are used, and the start-up situation is not ideal, which restricts the purchase of cotton linter. Short cotton market stable. However, viscose staple fiber manufacturers offer a significant decline, or even lower.

Exports are weak and domestic demand is flat. According to statistics, the total export volume of viscose staple fiber from January to may 2020 is about 137800 tons, with a year-on-year decrease of about 17%. On July 29, the commodity price index of viscose staple fiber and man-made cotton yarn was 93.39, which was the same as yesterday, 6.96% lower than 100.38 (2019-07-21), and 9.96% higher than the lowest point of 84.93 on January 05, 2020. (Note: cycle refers to the period from January 1, 2019 to the present)

As of July 29, the average ex factory price of 30s cotton yarn in Shandong was 13733 yuan / ton, down 133 yuan / ton or 0.96% compared with the price at the beginning of July, with a year-on-year decrease of 18.74%. Some manufacturers entered the holding period after substantial price adjustment. From January to may 2020, the monthly export volume of single yarn of man-made cotton tends to be weak, with a total export volume of about 32200 tons, with a year-on-year decrease of about 13%. The prices quoted by manufacturers vary from 12200 yuan to 15000 yuan / ton. The price of raw materials has dropped significantly. The undercurrent of man-made cotton yarn is surging, and the price is expected to drop.

The manufacturers without actual transaction continued to stop production in stages, and the manufacturers who supported the price before appeared loose. Business agency analysts believe that, on the one hand, it is the needs of manufacturers to remove inventory and withdraw funds; on the other hand, there is no significant change in downstream demand. Considering that the supply of cotton linter will increase over time, the cost may fall again, which is also in line with the market trend. It is expected that staple fiber and man-made cotton yarn will continue to bear pressure in August.