Price trend

According to the Commodity Market Analysis System of SunSirs, the domestic spandex price had been continuously declining since March this year, until the spandex price reached a low point in June, with the 40D specification at 33,250 RMB/ton, returning to the price level three years ago. Under the continuous high cost, there were two small price increases in mid June and early August, with the price of 40D spandex reaching 33,625 RMB/ton as of the end of August.

Analysis review

As of August 27th, with strong sales in the downstream spandex industry represented by sunscreen clothing, sales in some spandex factories had steadily increased. The terminal textile market was currently in a transitional period from off-season to peak season, with weaving machines operating around 60% in Jiangsu and Zhejiang provinces. The traditional market fabric enterprises in China Textile City had received more customer samples and orders, with most of the orders mainly for autumn and winter fabrics. Some manufacturers of elastic fabrics had seen an increase in startup rates, and corresponding customer orders were also continuously placed.

Market outlook

Analysts from SunSirs believe that the increase in spandex supply in the first half of 2023 had been realized, and the new production capacity in the second half of 2023 will be constrained by the tight supply of raw materials, making it difficult to quickly launch into the market. Moreover, the existing spandex factory equipment load will remain around 70%, and it is difficult to significantly increase. The prices of pure MDI and PTMEG in the raw material market both increased. The pressure on the cost side, coupled with the approaching peak season of traditional terminal textile, led to an increase in demand for hard goods and stock. There is an expectation of price increases in spandex factories, and prices are expected to continue to recover.

If you have any questions, please feel free to contact SunSirs with support@SunSirs.com.