SunSirs: National PET Market Turns Warm (Feb.20)

The mainstream manufacturers offer in the vicinity of 6300-6400 RMB/ton, the mainstream market spot talks about 6150-6300 RMB/ton.

Products: Polyester enterprises gradually return to work and production. However, it is less likely to restore to normal production in a short period of time. Currently, the demand is weak whiel the order of future of ester bottle is sufficient. After improving logistics and transportation, the pressure on inventory will ease to some extent. 

East China market pet bottle flakes price is sideways. Now the mainstream manufacturers offer in 6200-6400 RMB/ton while the spot market mainstream talks about nearly 6150-6300 RMB/ton. Zhejiang Wankai's latest quotation is 6225 RMB/ton. China resources chemical holding co., LTD reports at 6225 RMB/ton. And Anyang polyester material factory talks at 6225 RMB/ton.

Industry Chain: Polyester bottle chip downstream enterprises mainly to digest inventory during the festival. Due to the impact of public health emergencies, the raw material PTA fell by 10% immediately after the opening. A few bottle chip factories resumed their quotation, with the price dropping 200-300 RMB/ton compared with the pre-holiday period. The quotation range was 6250-6400 RMB/ton. After the holiday, the factory resumed the normal quotation on February 10th, but most of them work at home. However, the company has the requirement of personnel quota, so all employees are not available.

Supply Side: Polyester bottle chip manufacturers start a narrow range down. Mainly because of the holiday shipment is not smooth, manufacturers bottle chip inventory increased day by day. Under such pressure of inventory, the only solution is to reduce the operating rate. Among them, Sanfang lane starts down to about 60%; Changzhou China resources equipment reduced to 70%; Yizheng chemical fiber 250,000 tons of equipment parking, 200,000 tons of equipment at 50%; Anyang chemical adjustment for 50%; 70% of the equipment of Shanghai yuan textile started; Jiangsu baosheng adjusted to 50%; A 1.2-million-ton bottle chip plant in east China is scheduled to restart on February 20, and relevant procedures are being completed to resume production. As of February 17, polyester bottle chip industry utilization rate fell to 63.24%.

Market Forecast: SunSirs PET analysts think in the short – term, bottle manufacturers have quite low probability of shipment. Coupled with the support of raw materials, bottle market was in stable warm operation. 

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