As of July 14, 2026, the benchmark price of viscose staple fiber 1.2D remained stable at 14,200 yuan per ton, unchanged from the beginning of the month. This is not a simple 'flat' but a stalemate at a one-year high—the price has hit the highest point in the past 12 months, rising 1,400 yuan per ton from the year's low of 12,800 yuan, an increase of about 10.9%.
Industry Signals from High Prices
Annual statistics show this price level is not an isolated event. Over the past year, the average price of viscose staple fiber was 13,242.62 yuan per ton, meaning the current price is nearly 1,000 yuan above the average. More notably, the product has shown overvaluation trends for three consecutive years, indicating that cost pressures are transmitting from raw materials to midstream textile enterprises. For fabric and yarn producers that rely heavily on viscose staple fiber—where raw material costs typically account for 60%-70% of total costs—this high price directly compresses processing profit margins.
Upstream-Downstream Tug-of-War: Cost Support vs. Weak Demand
The main driver behind firm viscose staple fiber prices is upstream costs. High prices of dissolving pulp and caustic soda, combined with environmental production restrictions, have kept plant operating rates from rising significantly, maintaining a tight supply. However, downstream demand remains weak. The overall textile and apparel export growth has slowed, and domestic consumption faces challenges from weak consumer confidence. This structural contradiction—'cost-driven price increases versus demand-driven drag'—has created a stalemate where prices are high but transactions are scarce. Buyers generally adopt a 'just-in-time, low inventory' strategy to avoid stockpiling at peak prices.
Ripple Effects in Regional Industrial Clusters
Textile clusters in Keqiao, Shengze, and Nantong feel this impact most directly. Local fabric and yarn mills, which rely heavily on viscose staple fiber, are becoming more cautious in taking orders. Some small and medium enterprises have even reduced output or shifted to alternatives like polyester staple fiber, which has lower price volatility. For export-oriented companies, the combination of exchange rate fluctuations and high raw material costs further squeezes profit margins on export orders, particularly weakening price competitiveness against Southeast Asian markets.
