Polyester Filament Rally Slows, Yarn Market Diverges: Mid-August Textile Raw Material Analysis

In mid-August, the polyester filament market in the Shengze and Jiaxing textile belts showed subtle shifts: mainstream polyester plants raised prices by 50 CNY/ton across the board, with some varieties up 100 CNY/ton, yet trading volumes did not expand in tandem, with mostly small-lot transactions. This divergence between price and volume reflects differing views upstream and downstream, offering procurement teams a window to reassess inventory strategies.

Market Background

Looking at product mix, FDY fine-denier sales were stable, but semi-dull FDY 40D/72F, 75D/72F, and 75D/144F sold well, while 135D moved steadily for long-filament oxford fabric. Bright FDY above 150D saw decent demand, and black FDY 75D/36F was active for water-jet imitation memory fabrics. For DTY, fine-denier multi-filament varieties (e.g., 75D/72F, 120D/192F, 150D/288F) outperformed coarse-denier, while POY saw weak trading, and blended POY was nearly stagnant. This divergence indicates that end-demand is shifting toward differentiated and fine-denier products, intensifying competition in conventional specs.

In the yarn market, a different picture emerged: cotton yarn sales concentrated in 21s, 32s, and J40s, driven by jet-loom nylon-cotton fabric production; viscose yarn 30s was actively moving, with prices adjusting steadily, and viscose staple fiber averaged around 14,200 CNY/ton. Polyester-cotton yarn saw limited volumes with flat prices; polyester-viscose 40s/2 volumes rose but prices held; pure polyester yarn 50s sold briskly, while 45s was used for polyester-cotton lining, with polyester staple fiber (1.56*38 cotton-type) quoted at 7,650 CNY/ton ex-works. Overall, the yarn market lacks broad upward momentum, presenting mostly structural opportunities.

Industry Impact

The slowdown in polyester filament price increases stems from downstream weaving mills having stocked up after Friday purchases, coupled with fluctuating polymer feedstocks, leading to reduced purchasing power and intermediaries holding back. This suggests that earlier price hikes did not generate sustainable buying support, and the market may return to cautious观望. Polyester plant inventory levels vary, and a narrow consolidation for filament is highly likely in the short term, making it riskier for buyers to chase prices; replenishing on demand is more prudent.

For weaving enterprises in Shengze and Jiaxing, raw material cost fluctuations directly impact profit margins. If polyester filament enters a consolidation phase, fabric quotes may stabilize, but fine-denier and functional varieties command higher premiums, opening a window for differentiated product development. Meanwhile, the active movement of viscose yarn and steady VSF prices suggest the viscose chain may be bottoming out, warranting attention to demand recovery pace.

Practical Recommendations

For Buyers - For polyester filament, adopt a need-based purchasing approach in the short term; avoid chasing highs, and monitor plant inventory changes and crude oil trends. - For moving varieties like FDY fine-denier and black filament, consider modest stock increases, but control batch sizes and leverage small-lot purchases for flexibility. - In yarn, cotton and viscose yarns show selective activity; lock prices based on order needs, while polyester-cotton and pure polyester yarns remain on a watch-and-see basis.

For Foreign Trade Enterprises - Monitor how polyester filament consolidation affects export quotes; negotiate with clients on floating pricing or short-term contracts to hedge cost volatility. - Leverage the sales strength of differentiated varieties (e.g., DTY fine-denier multi-filament) to expand exports of high-value-added fabrics. - Track VSF price trends; if viscose yarn demand persists, consider early positioning in viscose-based orders.