Polyester filament production and sales can continue to increase

Nowadays, the price transmission of the industrial chain has been hindered, and the phenomenon that grey fabrics are hard to rise has made the downstream resistance gradually stronger, so the loss of downstream weaving and texturing has increased significantly. Therefore, starting from the second half of May, the willingness to reduce downstream production has increased, especially during the Dragon Boat Festival, the start-up has declined, and the start-up of weaving has fallen to less than 60%.

Although the downstream boycotts, the effect of buying up and not buying down still exists. On June 7, the production and sales of polyester factories reached about 250%-300%, and the production and sales of some factories even reached more than 450%.

Since there is a lot of resistance in the downstream and the start-up is also declining, why can the production and sales of polyester filament continue to increase? In particular, the current downstream orders have not improved significantly, and this production and sales can still be achieved under the condition of buying now and making losses, which is indeed a bit beyond expectations. The editor believes that it is mainly due to the change in the downstream's attitude towards the trend of raw materials, and some downstream enterprises have gradually begun to accept the reality of high raw material prices.

Indeed, in the era of high inflation in the world, the US oil price has exceeded 120, and the cost of polyester raw materials has risen, especially the direct daily limit of PTA. It is estimated that the cost of polyester raw materials has risen by more than 300 yuan / ton. At present, there are layers of transmission in the industrial chain. There is a problem of decline. At present, polyester filaments are not as high as polyester raw materials. It is reported that some varieties of polyester filaments in polyester factories are currently in a state of slight loss and marginal status, but the degree of concentration of polyester filament manufacturers will not continue to cause product losses. In the later stage, the price will be raised again. After the foreseeable price increase, weaving manufacturers will naturally pay for the raw material inventory that is not much in advance.

Therefore, for polyester enterprises, they must also realize that the current terminal grey cloth prices are sluggish and the downstream cash flow is losing money. A small and steady increase is the best strategy, which may be beneficial to their own destocking and the upstream and downstream industry chains. healthy development, do not rise sharply. However, the risk to be aware of is that the current rise is overdrafting future expectations. Once the rising trend of raw materials changes, the industry chain will enter a negative feedback stage.