The supply of goods has decreased, and the price of polyester staple fiber remains on the rise

Recently, there has been a reduction in production and an increase in maintenance of domestic polyester staple fiber facilities, resulting in a significant decline in the industry’s operating load rate. The supply of goods has also decreased, which has driven favorable prices. According to the Commodity Market Analysis System of Shengyi Society, as of January 20th, the average ex factory price of 1.4D * 38mm in Jiangsu and Zhejiang regions was 7318 yuan/ton, an increase of 2.69% from the beginning of the month.

In addition, the strong cost also supports the price of polyester staple fiber. Under the relay of many favorable factors, crude oil prices have risen continuously for several days, and the increase is significant. As of January 17th, the settlement price of the main contract of WTI crude oil futures in the United States was $77.39 per barrel, and the settlement price of the main contract of Brent crude oil futures was $80.79 per barrel.

The PTA spot market trend followed the rise of crude oil, and a 1.25 million ton PTA plant in South China was shut down for maintenance. In addition, the official announcement of maintenance plans for multiple PTA plants by major suppliers also boosted the PTA market. As of January 20th, the PTA market price in East China was 5081 yuan/ton, an increase of 6.08% from the beginning of the month.

But the demand side continues to drag down the price of polyester staple fibers, and downstream yarn factories are gradually shutting down and taking holidays, resulting in a decrease in demand. The atmosphere of the Spring Festival holiday is gradually becoming stronger, new orders are being placed slowly, market participants’ trading enthusiasm is decreasing, and their stocking mentality is cautious.

Business analysts believe that in the short term, demand will remain weak, downstream factories will gradually start holidays, production will gradually decrease, and there is a trend of weakening on the cost side. It is expected that the price of polyester staple fibers may decline.