The domestic textile market continued to fluctuate in June and mainly adjusted slightly. According to the SunSirs Textile Index, as of June 28, the textile index was 950 points, up 3 points from 947 points at the beginning of the month, down 17.82% from the highest point in the cycle of 1156 points (2018-09-03), and up 39.50% from the lowest point of 681 points (2020-08-13). (Note: The cycle refers to 2011-12-01 to the present)
Textile commodity price increase and decrease ranking from June 1 to 28: Yuan/ton
Among the 18 commodities in the textile sector in the SunSirs commodity price increase and decrease list, a total of 9 commodities increased month-on-month. Among them, the top three increasers were PTA (8.29%), spandex (8.07%), and polyester FDY (3.62%). There were 6 commodities that declined month-on-month. The top three products were rayon yarn (-4.21%), viscose staple fiber (-2.46%), and nylon POY (-1.87%).
The spandex market rose rapidly in June. As of June 29, the price was at 75,000 yuan/ton, an increase of 8.07% from the beginning of the month, and a year-on-year increase of 138.10 %, climbing to a 10-year high.
Demand has increased and the supply of spandex continues to be tight. As people’s demand for casual and sportswear products increases, the demand for spandex, an important raw material for elastic fabrics, has also increased accordingly. The current spandex industry’s operating start-up remains at a high level of around 90%, but inventory levels continue to fall to historical lows. Some manufacturers said they only have 3-5 days of supply, and some even said there is no inventory pressure for the time being. At the same time, spandex exports increased because some foreign markets have not yet fully recovered due to the impact of the epidemic, so orders have shifted to domestic markets. Exports in the first five months were approximately 40,500 tons, an increase of 58% compared with the same period last year.
In addition, the strong rise in raw materials is also an important reason for the rise in spandex prices. Affected by environmental protection this year, the PTMEG industry chain is booming. The market price of PTMEG for 1800 molecular weight supply is around 38,000 yuan/ton from mainstream factories, while the mainstream quotation for the same period last year was 14,000-15,000 yuan/ton. The mainstream negotiation price of pure MDI in the East China market is 19,600-20,000 yuan/ton for wire transfer in barrels and self-delivery, while the quoted price for the same period last year was 13,600-14,200 yuan/ton for wire transfer barrels.
Business News analysts believe that the dual benefits of domestic demand and export sales will promote the development of the spandex industry. The tight supply of spandex itself is difficult to improve in the short term, and some factories still have intentions to explore increases. The support performance of the superimposed raw material end is acceptable. It is expected that the spandex market is expected to maintain a high level in the short term. In the later period, we still need to pay attention to the changes in cost end and terminal demand. </p
