Price trend

According to the price monitoring of SunSirs, the domestic spandex market maintained a downward trend in May, and the downward trend expanded significantly. As of May 31, the average market price of 40D specifications was 47,800 RMB/ton, down 10.15% from the beginning of the month and down 31.12% year-on-year.

Analysis review

The main reason for the continued decline in spandex prices was due to the weakening of both cost and demand. The pure MDI market on the raw material side was stable, and the reference price was 20,500-21,000 RMB/ton for self-pickup in barrels. Traders mostly shipped at stable prices, and downstream purchased through small orders. The PTMEG market was running weakly. The market price of (1800 molecular weight) was 38,000-40,000 RMB/ton. Although the supply side still had factory maintenance, the downstream spandex industry planned to reduce production and the demand was not good.

In addition, the terminal was in the traditional off-season, the start of construction in Xiaoshan and Shaoxing in Zhejiang fluctuated at a low level, the circular knitting market remained at 3-40%, the circular knitting operation in Changshu was maintained at 3-40%, and the lace and warp knitting in Fujian was at 5-60%, the circular knitting, yarn wrapping and warp knitting markets in Guangdong started at 30-60%. The overall operating rate of looms in Jiangsu and Zhejiang was below 60%. Some textile companies had holiday expectations and mainly purchased raw materials on demand.

Market outlook

Analysts of SunSirs believe that the current spandex industry has maintained a high level of more than 80%, and new production capacity has also been released, and the supply of goods is sufficient. With the gradual increase in factory inventory levels, some factories have negative expectations. The downstream purchase intention is weak, the overall wait-and-see atmosphere is strong, the characteristics of the off-season are more obvious, and the operating rate will be further reduced. Spandex prices are expected to remain weak in the short term.

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