Polyester Filament August Profit Rise Follow-Up Field Still Has Certain Support.

In the whole August, the polyester industry chain appeared obvious profit transfer, PTA 8 monthly profit decreased 67.42% compared with July, while polyester filament POY and FDY August average profit increased 66.26% and 594.82% respectively compared with July, polyester filament profit increased significantly.

Comparison of PTA processing fee and polyester filament profit trend in 2019

Judging from production and marketing, the market trading atmosphere of polyester filament Market in Jiangsu and Zhejiang provinces has picked up recently. According to statistics, the production and sales of mainstream factories have risen to 120-130%, and some of the higher manufacturers have reached 200% and 300% respectively.

In terms of inventory, the polyester filament factory has many preferential promotions to maintain low inventory. At this stage, inventory is at a low level. FDY stocks are mostly near 5-9 days. Some POY and FDY factories are in an empty state; DTY stocks are mostly near 13-20 days. And there is still a certain demand for rigid replenishment in the late stage. Low inventory status will continue throughout September.

In terms of demand, textile and garment is still the main force of polyester filament as rigid demand. Industrial yarn and home textiles still face certain downward pressure. If trade war moderates or further devaluation of the renminbi, it will stimulate export growth.

Therefore, on the basis of supply and demand, polyester filament is facing downward pressure, but the current high profit situation continues to the 4 quarter. During the year, 3 sets of new melt direct spinning polyester filament plant were put into operation, all of them were POY products, with a total capacity of 850 thousand tons / year. The new plant will be concentrated in the leading enterprises such as Tong Kun, Heng Yi and Xin Feng Ming. The impact on the market will not be obvious soon. After all, the impact on the market will be too fast.

On the whole, there is still some good support in the late polyester field. There will not be a noticeable decline in the price in September, but we should be vigilant against the influence of bad factors on the price of polyester filament. Follow up concerns about the stock pressure of polyester filament, the new production capacity and the fluctuation of raw materials. (source: long Zhong information, chemical logic dehydration)