A strong push from the cost side is reshaping the supply-demand dynamics of the polyester yarn market during the off-season. On July 18-19, light textile raw material markets in Shengze and Jiaxing saw a broad price hike, with weekend trading volumes significantly higher than the previous week. Polyester mills acted decisively to raise prices, backed by firm feedstock support.
Cost and Supply-Demand Dynamics
Crude oil prices rose on the night of the 17th and strengthened further on the 18th, directly driving up PTA and MEG prices. Polyester mills responded by raising polyester filament yarn quotes across the board, pushing the market into an upward trend. Although weaving utilization rates remain low due to the peak summer off-season, the strong cost transmission gives mills the confidence to raise prices. In the short term, PTA and MEG support remains solid, and the polyester yarn market is expected to maintain a modest upward trajectory. Buyers should be cautious about the risk of chasing prices at elevated levels.
Product Differentiation: Fine and Coarse Deniers Both Active
Looking at specific products, the market shows clear structural divergence. In semi-dull DTY, specifications such as 75D/72F, 75D/144F, 120D/192F, and 150D/288F performed well, reflecting resilient downstream demand for imitation silk and high-density fabrics. Fine-denier FDY varieties also led the rally, with increased purchases of 20D, 30D, 40D/72F, 50D/72F, 75D/72F, and 75D/144F, driven by replenishment orders for lightweight summer linings and fabrics.
On the coarse denier side, FDY 130D/36F became a highlight, benefiting from a surge in Oxford fabric orders. Bright FDY series in both fine and coarse deniers also attracted attention, with volumes for 300D and above rising, used mainly for Oxford and decorative fabrics, indicating recovery in outdoor and home textile demand. POY for texturing saw price increases, but downstream buying turned cautious; however, bright POY 75D/72F and 150D/288F saw large shipment volumes, while POY for intermingling remained stable.
Yarn Market: Cotton Stable, Rayon Faces Adjustment
In the yarn segment, the cotton yarn market remained calm with stable prices from July 18-19. Demand for 32s and J40s was relatively good, mainly for air-jet nylon-cotton fabrics, while other varieties traded thinly. Polyester-cotton yarn prices adjusted steadily; polyester-viscose yarn saw low volumes with prices stable. Some pure polyester yarn prices were raised, but overall sales were moderate, with 45s performing better than others. Polyester staple fiber prices consolidated, with 1.56*38mm cotton-type center price around 7,700 RMB/ton.
For rayon yarn, 10s and 30s saw some trading, but other specifications were quiet with little price change. Viscose staple fiber prices also adjusted, with center price around 14,200 RMB/ton. Given current supply-demand conditions, rayon yarn is expected to face moderate adjustment pressure, and buyers should watch cost transmission trends.