SunSirs: Chinese Polyamide Prices Fell in July

According to statistics from SunSirs, as of July 30, polyamide DTY in Jiangsu area reported 15,366 yuan/ton, a decrease of 734 yuan/ton from July 1, a decrease of 4.55%, and a year-on-year decrease of 15.72%; polyamide POY price was reported at 13,080 yuan/ton Tons, the price dropped by 580 yuan/ton, a decrease of 4.25%, and a year-on-year decrease of 17.22%; the price of polyamide FDY reported at 16,150 yuan/ton, and the price was 600 yuan/ton, a decrease of 3.58%, and a year-on-year decrease of 19.05%.

Although the support of pure benzene is strong, chemical fiber production and inventory have fallen, and downstream purchases have slowed down. The market is short-term bearish, generally letting profits go to inventory. The supply of cyclohexanone is abundant, and the polymerization and filaments have entered a period of weak market. Some factories have slightly reduced the negative load, and the overall supply is surplus. The transaction atmosphere was general, and the price of raw materials fell sharply. In July, the price of cyclohexanone fell 592 yuan/ton, a decrease of 9.66%, the price of caprolactam fell 834 yuan/ton, a decrease of 8.01%, and the price of PA6 fell 1,234 yuan/ton, a decrease of 10.11%.

In July, the textile market was in a traditional off-season, and under the influence of this year's epidemic, chemical fiber exports had a significant decline. From January to May 2020, China's chemical fiber output was 22.94 million tons, a year-on-year decrease of 3.16%. From January to May, my country’s chemical fiber exports were 1.666.1 million tons, down 16.90% year-on-year, and the export value was US$2.67 billion, down 28.08% year-on-year. In July, the ex-factory quotations of nylon manufacturers fell again, and the supply of raw materials was sufficient. Companies were cautiously purchasing and purchasing on dips. In the face of weak orders, low-price stimulus was the main factor, and preferential delivery was supplemented. The raw materials and orders are not strong, and the decline of nylon filament follows the market.

SunSirs analysts believe that, judging from the production and export data of the chemical fiber market in the past few months, domestic and foreign sales have declined to varying degrees. The polyamide industry is under pressure recently, and the improvement of orders in August may be limited, and the price of Polyamide is expected to continue to fall.

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