The June 28 quotation sheet from the Changshu polyester filament market sends a clear signal: polyester filament yarn prices have entered a bearish channel with notable divergence among varieties. FDY 100D/48F dropped from 8,800 yuan/ton on June 25 to 8,700 yuan/ton, a decline of over 1%, while fine-denier varieties such as FDY 68D/24F and 75D/36F barely held flat. This structural loosening indicates that cost pressure from raw materials is being transmitted downstream to finished products, but end demand has not responded positively.
Background
The direct driver of this price adjustment comes from the weak polyester raw material side. PTA and MEG have been trending lower recently, weakening cost support and forcing polyester filament producers to cut prices on certain specifications. FDY 100D/48F became the leader of this round of decline, with both Tiansheng Chemical and Xin Fengming lowering their quotes by 100 yuan/ton, reflecting inventory pressure for this specification.
In contrast, the decline in DTY varieties is more subtle but broader in scope. Multiple DTY specifications such as 75D/36F, 100D/36F, and 150D/144F all saw drops of 100 yuan/ton, with major producers like Taicang Draw Texturing and Xiaoshan Kaisi following suit. Notably, DTY 150D/96F and other fixed-weight varieties held firm, suggesting that draw-texturing mills are trying to offset losses from other products by stabilizing high-value-added items.
From a regional industrial cluster perspective, Changshu, as an important polyester filament distribution center and weaving hub, often serves as a bellwether. This price adjustment coincides with the end-of-June semi-annual capital repayment pressure, and actual transaction prices between traders and weaving mills may be more flexible than the listed quotes, but overall market volume is low with a strong wait-and-see sentiment.
Industry Impact
The impact of the bearish polyester filament price trend is gradually spreading across the supply chain. For upstream polyester plants, price cuts on FDY and DTY varieties mean profit margins are further compressed. Although PTA prices are currently low, the faster decline in polyester filament finished product prices has narrowed the price spread. If raw materials remain weak, polyester plants may increase production cuts in July to stabilize market prices.
Downstream weaving mills face a dilemma: on one hand, lower polyester filament prices reduce raw material procurement costs; on the other hand, grey fabric prices are also under pressure, and terminal apparel orders have entered the traditional off-season, making mills reluctant to stockpile. This 'buy on rising, not on falling' psychology is exacerbating market liquidity contraction. For the Jiangsu-Zhejiang weaving clusters represented by Changshu, Wujiang, and Taicang, operating rates may further decline in July, with some small and medium-sized mills opting for staggered production or temporary shutdowns.
The foreign trade sector is also under pressure. While lower polyester filament prices help reduce the cost competitiveness of exported fabrics, overseas customers are highly sensitive to price fluctuations and often demand longer payment terms or lower lock-in prices. For export-oriented enterprises focused on polyester fabrics, it is more important to monitor exchange rate fluctuations and shipping cost changes that could erode profits.