Price trend

According to the Commodity Market Analysis System of SunSirs, the domestic spandex market had maintained a slight downward trend since April. As of April 22, the price of 40D spandex was 30,000 RMB/ton, a decrease of 1.23% compared to the beginning of the month. As of April 22, some spandex manufacturers had reduced production, but there were also some manufacturers that had increased production to full load operation, and the overall operating rate remained stable. The factory was actively shipping, but downstream demand was maintained, resulting in inventory pressure for some spandex manufacturers.

Analysis review

The cost support effect was still acceptable, and the main material PTMEG market was undergoing narrow consolidation. Under the pressure of factory losses, there was relatively limited room for profit margins, and negotiations were deadlocked. The domestic spandex industry had negotiated and evaluated a price of 15,500-16,000 RMB/ton for 1800 molecular weight PTMEG dispersion. The pure MDI market fell first and then rose, with spot prices in the East China region ranging from 18,800 to 19,000 RMB/ton. Spot prices were tight, and traders were mainly hesitant to sell.

As of April 22nd, the performance of terminal orders was average, and the operating rate of the weaving industry in the Jiangsu and Zhejiang regions was stable at around 73%. Factories were taking appropriate purchases and still had a wait-and-see attitude towards spandex. The overall trading atmosphere in the market is weak, with a stable to weak trading focus. Considering the gradual shift towards the off-season, as well as the May Day holiday, downstream production will be reduced. Holiday expectations, as well as poor new orders, demand expectations will be weaker.

Market outlook

SunSirs’ analysts believe that in the future, spandex factories are expected to reduce production, but there was still sufficient supply of goods as of April 22, making it difficult to provide favorable support for the spandex market. In a long-term loss making state, manufacturers adhere to a high intention to offer, and it is expected that the short-term market price of spandex will remain stable.

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