On June 12, the Hai'an nylon filament yarn market reported the latest prices: POY 86D/24F at 13,700 yuan/ton, DTY 70D/24F at 15,600 yuan/ton, with negotiable terms for actual orders. The simultaneous weakening of these two key varieties signals that short-term inventory pressure in the upstream nylon chain is being transmitted downstream.
Price Signals and Regional Industrial Belt Response
As an important nylon filament yarn production base in Jiangsu Province, Hai'an's price movements often serve as a bellwether for the East China market. The recent weakening of both POY and DTY, with explicit 'negotiable for actual orders' terms, indicates increasing flexibility among sellers. Compared to the first-quarter peak, the current POY quote of 13,700 yuan/ton represents a decline of approximately 3%-5%. This is not an isolated event—weaving mills in Shengze and Changxing report a significantly slower procurement pace, with just-in-time purchasing becoming the dominant strategy.
Notably, the FDY variety showed no price adjustment in this round, maintaining a neutral score. This suggests the weakness is not a systemic, all-category decline but is concentrated in specific standard stock varieties. As direct raw materials for the weaving process, the loosening of POY and DTY prices has the most immediate impact on downstream grey fabric costs.
Underlying Logic of Supply-Demand Imbalance
The pressure on nylon filament yarn prices stems from a phase mismatch between supply and demand. On the supply side, from late 2025 to early 2026, new production capacity from multiple domestic nylon polymerization and spinning enterprises was intensively released in Hai'an, Yiwu, and Changle. This incremental capacity gradually converted into marketable inventory in the second quarter, creating ample circulating supply.
On the demand side, a dual squeeze is at play. First, downstream apparel and home textile markets have entered a traditional off-season, with orders mainly for replenishment and small batches, lacking support for bulk centralized procurement. Second, the persistently low prices of cotton and polyester staple fiber have led some weaving mills to increase the proportion of these fibers in blended recipes to control costs, directly squeezing nylon's demand share.
According to publicly available industry data, the average operating rate for the nylon filament yarn sector in May 2026 was around 78%, but the production-sales ratio had dropped below 70%, with inventory days rising from 12 days in April to 18 days. If this 'high operating rate, low sales' pattern is not adjusted, further price declines are possible.
Transmission Effects on Buyers and Foreign Trade Enterprises
For weaving factories and fabric buyers, the current price window means a temporary easing of cost pressure. However, it is crucial to note that the negotiable nature of actual transactions means the realized price may be lower than the listed price. Buyers are advised to clarify volume discounts during inquiries and monitor raw material inventory turnover cycles.
Foreign trade enterprises need to be cautious about the price risk in their quotations. Weakening nylon filament yarn prices will directly reduce the export price competitiveness of nylon fabrics, but may also trigger price-cutting demands from overseas buyers. It is recommended to include raw material price adjustment clauses in long-term contracts or adopt short-term price-locking strategies.
Practical Recommendations
For Buyers - Consider moderately increasing procurement of regular-spec POY and DTY to lock in short-to-medium-term costs using sellers' concession space. - Monitor the price trend of FDY varieties; if FDY shows a catch-up decline, consider stocking up on differentiated specifications. - Avoid bulk stockpiling; adopt a 'batch procurement, rolling replenishment' strategy to guard against potential further price drops.
For Foreign Trade Enterprises - Shorten the validity period of export quotations to 7-10 days, and note 'price subject to raw material market fluctuations' in the quotation. - For European and American markets, prioritize blended or differentiated nylon fabrics to reduce sensitivity to standard-spec prices. - Leverage the current low raw material prices to negotiate quarterly framework agreements with brand clients, locking in volumes for better discounts.
Overall, the price weakening of nylon filament yarn in Hai'an results from the combined effect of capacity release and off-season demand contraction. This adjustment phase is expected to last until mid-to-late Q3 2026, when the start of autumn/winter fabric orders may help rebalance supply and demand.