Price trend:

Last week (November 17-21), polyester filament prices remained generally stable. At the beginning of this week, some manufacturers raised prices slightly, with the transaction center increasing by 25-50 RMB/ton compared to the previous week. However, this upward trend did not continue, and overall prices stabilized. On the 21st, polyester filament prices saw some sporadic adjustments. The market was affected by insufficient cost support and weak downstream demand, resulting in generally moderate production and sales. According to data from SunSirs, as of November 21, mainstream polyester filament factories in Jiangsu and Zhejiang quoted POY (150D/48F) at 6,500-6,700 RMB/ton, polyester DTY (150D/48F low elasticity) at 7,750-8,000 RMB/ton, and polyester FDY (150D/96F) at 6,750-6,900 RMB/ton.

Market Analysis

Weak cost support: Brent crude oil prices fell slightly last week, reaching $63.38 per barrel on November 20th, a 0.20% decrease from the 19th; MEG prices saw a significant drop, with the price in Zhangjiagang at 3,876 RMB/ton on November 20th, a 1.25% decrease from the 19th; PTA prices also declined slightly by 0.15% to 4,633 RMB/ton. The overall weakness in upstream raw materials resulted in a lack of strong cost support for polyester filament.

Overall, inventory and supply pressures were not significant. Benefiting from improved export orders and low inventory levels, the inventory pressure on production enterprises, especially leading enterprises, had been alleviated.

Demand-side procurement was weak: After the "Double Eleven" orders were fulfilled, downstream weaving enterprises faced insufficient follow-up orders and focused mainly on digesting finished product inventory, leading to a decline in procurement enthusiasm. Meanwhile, the weaving operating rate was trending downwards, making it difficult to drive market volume growth for the essential demand for polyester filament. Last week, the polyester filament market saw only moderate production and sales, with downstream users primarily focused on fulfilling existing orders and showing less acceptance of continued raw material price increases. However, demand varied among weaving enterprises in different regions, with enterprises producing seasonal autumn and winter fabrics showing relatively good demand.

The positive export stimulus, including India's cancellation of BIS certification for polyester filament in mid-month, was expected to revive exports to India. However, due to the rapid development of India's domestic industry and the fact that India was not China's main export market for polyester filament, the policy had a limited impact on the market and failed to change the weak supply and demand situation. Nevertheless, industry inventory levels were at a moderate to low level, with a significant year-on-year decrease in POY inventory, which had to some extent prevented a sharp price decline.

Market Forecast:

Overall, SunSirs predicts that the polyester filament market will continue to fluctuate and consolidate in the short term.

If you have any inquiries or purchasing needs, please feel free to contact SunSirs with support@sunsirs.com.