The chemical fiber market faces new uncertainties. As of July 8, 2026, the benchmark price of domestic polyester staple fiber (PSF) fell to 7,267.80 yuan per ton, down 2.03% from 7,418.65 yuan at the beginning of the month. This price level sits exactly at the midpoint of the past year's trading range, neither touching the historical low of 6,267 yuan nor the peak of 8,426 yuan. What does this mean for the textile supply chain?
Price Dynamics
Annual statistics show PSF prices fluctuated between 6,267.17 and 8,426.02 yuan per ton, with a median of 7,346.6 yuan. The current price of 7,267.80 yuan is slightly below the median but still 1,000 yuan above the bottom, indicating the market is neither in deep deflation nor experiencing a strong rebound. Industry data reveals an average price of 6,974.06 yuan over the past year, meaning the current level is about 4.2% above the mean, suggesting a relatively healthy range.
A daily change of just 0.06% reflects thin trading and an unclear direction. This narrow fluctuation typically corresponds to a wait-and-see attitude across the supply chain: weaving mills hesitate to build inventory, while PSF producers, supported by raw material costs, are unwilling to cut prices aggressively.
Upstream and Downstream Pressures
As a key raw material for textiles, PSF's price trend directly impacts cotton-blended fabrics, pure polyester yarns, and end-use garment costs. The current price decline primarily stems from downstream weaving weakness. Industry surveys indicate that loom utilization rates in Jiangsu and Zhejiang provinces softened at the end of Q2, with small and medium-sized mills reducing raw material purchases due to insufficient orders. This demand weakness has forced chemical fiber plants to adjust quotes under inventory pressure.
Meanwhile, upstream PX and PTA price fluctuations provide cost support for PSF. Crude oil prices remained elevated in the first half of 2026, preventing PX costs from falling sharply, which in turn limits PSF's downside. Thus, the current price represents a balance between demand-side pressure and cost-side support.
Regional and Sectoral Impacts
For major textile clusters like Shengze, Keqiao, and Nantong, the PSF price adjustment has triggered divergent responses. Large weaving mills, with stronger financial positions, have begun phased restocking as prices approach the median, while smaller firms prefer just-in-time purchasing to avoid inventory devaluation risks. This divergence in procurement pace further dampens market turnover.
From a product perspective, PSF is mainly used in polyester-cotton blended yarns, pure polyester yarns, and nonwovens. The nonwoven sector, supported by stable demand for hygiene materials, provides a floor for prices, while the apparel fabric segment is more elastic due to sluggish end-consumer recovery.
Outlook
Based on historical data and current fundamentals, PSF prices are likely to remain range-bound in the near term. The upper resistance is around the median of 7,346 yuan, while support lies in the 6,800-7,000 yuan range. If downstream orders recover during the traditional peak season in Q3, prices could edge back above the median; otherwise, persistent weak demand may push prices toward the annual average of 6,974 yuan.