Recently, downstream users concentrated cover positions, polyester filament enterprises inventory pressure to slow down, and the current cash flow of some models is still a loss, the company is willing to support the market is strong, the market trading atmosphere at the beginning of the week is stable.

Since December polyester filament market “promotion” rumors continue, the downstream user sentiment is high, polyester filament manufacturers inventory pressure slow growth, some manufacturers are strongly willing to ship, the market talks loose, the focus of transactions gradually moved down. In the middle of the month, most manufacturers focus on profit shipments, downstream users meet the procurement cycle, there is a certain demand for cover, on the other hand, under the stimulus of low prices, focus on stocking at the end of the year, so the previous stage of polyester filament production and sales pick up. Under the end of Thursday and Friday polyester filament overall production and sales rate continued to increase, most enterprises inventory pressure relief, it is understood that the leading enterprises POY inventory fell to 7-10 days, individual factory inventory is basically sold out, giving enterprises a certain confidence boost.

Throughout the outbreak of public health events, polyester filament market transaction focus continues to move down, although the current corporate prices continue to rise, cash flow also repair, but compared to the outbreak of public health events, the market negotiation price is still at a low level. Therefore, the willingness of enterprises to repair cash flow is strong, and after the current experience of downstream users concentrated cover positions, business confidence is boosted, and the willingness to support prices is strong. On the other hand, the recent shipping obstruction, rising oil prices to support the chemical industry, the main raw materials PTA, ethylene glycol at the beginning of the week closed up across the board, polymerization cost growth to give the market a certain positive support, polyester filament market transaction increased.

In the medium and long term, the polyester filament market has entered the off-season demand, and with the completion of the delivery of the tail, the polyester filament market will gradually enter the cold winter. Since mid-December, the downstream field of polyester filament in addition to the elastic industry, weaving, printing and dyeing industries have shown a downward trend. Although the temperature in many regions of the country has plunged, making the demand for winter cold clothing has increased sharply, but shops mainly digest inventory, the recent domestic orders are less, and near the end of the year, downstream manufacturers plan to deliver orders, return funds, and the willingness to stock raw materials is not strong. In view of the drag on the demand side, it is expected that the upward resistance of the polyester filament market is difficult, and the market is still at risk of decline at the end of December.

Source: Chemical fiber headlines