DTY Price Divergence: Chemical Fiber Market Enters ‘Structural Game’ Phase

DTY Price Divergence: Chemical Fiber Market Enters ‘Structural Game’ Phase

As of July 6, 2026, public quotes for polyester DTY (150D/48F, semi-dull low-elastic) in China have shown a spread of 550 CNY/ton. Tongkun Group leads at 9,550 CNY/ton, while Zhejiang Juxing Chemical Fiber offers only 9,000 CNY/ton. This gap is not accidental but the result of uneven raw material cost pass-through, differing inventory strategies, and weak downstream demand.

The Logic Behind Price Divergence

Among seven major Zhejiang-based firms, quotes are clearly stratified: Hangzhou Kaisi, Zhejiang Senkai, and Zhejiang Jisi cluster around 9,250-9,300 CNY/ton; Rongsheng Petrochemical and Zhejiang Juxing offer 9,050 and 9,000 CNY/ton respectively. This divergence reflects differentiated market judgments under similar raw material costs.

While upstream PTA and MEG prices have been relatively stable, DTY processing margins are squeezed by low weaving mill operating rates. Some firms maintain high quotes to protect margins (e.g., Tongkun), while others cut prices to grab orders (e.g., Zhejiang Juxing). This signals a shift from a seller’s to a buyer’s market.

For buyers, price divergence means greater bargaining power but also higher risk. Low prices may indicate inventory pressure, potentially affecting product consistency or delivery stability.

Impact on Downstream Weaving and Trade

DTY is a core raw material for weaving; its price movements directly affect grey fabric costs and fabric quotations. The current divergence has heightened buyers’ wait-and-see attitude, potentially triggering a price spiral as firms seek to cash out.

Notably, weaving clusters in Zhejiang’s Shaoxing and Hangzhou regions are operating at around 70% capacity, down about 5 percentage points year-on-year. Weak apparel orders have led to grey fabric inventory buildup, further suppressing DTY demand. If this trend continues, the DTY price center may shift downward.

Practical Recommendations

For Buyers - Adopt a “just-in-time, small-lot, multiple-batch” approach to avoid inventory pressure. - Focus on suppliers quoting near 9,000 CNY/ton, but verify their capacity stability and quality records. - Establish communication with 2-3 suppliers across different price ranges to leverage spreads in negotiations.

For Foreign Trade Firms - Include price adjustment clauses in contracts involving DTY or related fabrics to hedge against raw material volatility. - Monitor operating rate changes among Zhejiang firms; a widespread reduction could trigger price rebound. - When quoting overseas clients, build in a 1%-2% profit buffer to cover raw material uncertainty.