SunSirs: Cost Support Weakened, and China's Spandex Prices are Finishing at a High Level

According to SunSirs price monitoring, the recent domestic spandex market has been adjusted at a high level. As of November 25, the average ex-factory price of 40D was 41,100 yuan/ton, a year-on-year increase of 29.82%. Nearly 90% of the spandex industry started, the supply of some sources is still tight, and individual manufacturers have made up for the increase. The actual contract receipts are discussed in detail, and the terminal enterprises have a strong wait-and-see atmosphere for the market outlook.

Current mainstream price statistics of spandex market (unit: yuan/ton)

The raw material pure MDI market is weak, the focus of trading has shifted downwards, and new orders are limited. Holders are actively shipping. Refer to 26,500-27,000 yuan/ton wire transfer barrels. The actual order negotiation shall prevail, and the downstream will cautiously cover up positions as needed. Wanhua Chemical's listing price of pure MDI barrels in November 2020 is 28,000 yuan/ton, an increase of 8,200 yuan/ton from October 2020. The industry started 4.8%, a slight adjustment. The PTMEG market is operating in consolidation, the demand side has cooled, and the wait-and-see intention has increased. The current mainstream quotation of 1800 molecular weight sources is 17000-18000 yuan/ton, and the actual order negotiation is 16200-17500 yuan/ton. The PTMEG industry started 77.8% of the start-up high, of which Yizheng Dalian 40,000 tons/year plant is shutting down.

Near the end of November, the domestic textile market in the traditional off-season continued to cool down. The downstream Xiaoshao and Shaoxing areas started generally, and the circular knitting and wrapping yarn markets remained at 70% to 80%; the Changshu region started to maintain stability, and the circular knitting market was maintained at around 60%; The start of construction in Fujian is acceptable, with lace remaining close to 60%, and warp knitting around 80%; in Guangdong, the start of construction is cautious, and the market for wrapping yarn, warp knitting, and circular knitting is maintained at 60 to 70%.

SunSirs analysts believe that the supply of spandex itself is still tight, and the tight supply of individual batch numbers has not yet eased, and the spandex market is at a high level. The cost-side support has weakened, and the off-season of superimposed procurement is approaching at the end of the month, and downstream customers purchase on demand. The atmosphere of all parties is relatively strong. The short-term spandex market is expected to fluctuate upward in a narrow range.

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