When overcapacity meets volatile oil prices, the competitive logic of the nylon industry is being rewritten. In August 2026, the annual meeting of the China Chemical Fiber Industry Association's Nylon Branch sent a clear signal: the industry has shifted from a crude model of scale expansion to a new phase centered on quality and efficiency. Attendees reached a consensus to 'reject ineffective involution,' with technological breakthroughs and supply chain collaboration identified as key to breaking the deadlock.
Overcapacity Forces Transformation
The nylon industry chain is currently at a stage of 'slowing capacity expansion but intensifying competition.' Industry public data shows that periodic overcapacity has worsened supply-demand imbalances, squeezing profit margins. Analysts from Longzhong Information noted that the industry is undergoing a profound transformation from 'scale expansion' to 'quality improvement,' with high-quality, differentiated, green, and intelligent development becoming the main themes. This means that simply expanding capacity is no longer sustainable; companies must seek new growth through technological innovation and product differentiation.
Technological Breakthroughs as Key
Several cutting-edge technologies captured attention at the meeting. Donghua University's anionic ring-opening polymerization of caprolactam and nylon 6 melt direct spinning technology compresses the polymerization cycle from hours to just over ten minutes, reducing cyclic dimer residue below 0.01wt% and achieving spinning performance close to commercial levels. This breakthrough cuts energy consumption and costs while improving product consistency, offering a new path for high-speed spinning. Meanwhile, Zhejiang Sci-Tech University's three-stage intelligent manufacturing path applies AI across design, manufacturing, and marketing, predicting that embodied robots will become the next core, enabling semi-unmanned smart factories. These technologies imply that nylon companies can achieve higher-quality, stable production while reducing costs.
Shantou Cluster as Testbed
As the meeting venue, Shantou is moving from 'fragmented and extensive' to 'full-chain aggregation.' The local nylon and nylon-spandex knitted fabric production bases show strong momentum, with complete industrial supporting facilities, providing an ideal scenario for technology implementation. Weng Chuangjie, chairman of Hongjie Underwear, stated that the agglomeration effect of Shantou's textile and apparel industry allows companies to quickly respond to market demands and validate new technologies. For nylon companies seeking transformation, this cluster advantage means lower trial-and-error costs and faster commercialization paths.
Supply Chain Collaboration to Address Challenges
The pain point in the nylon 66 industry chain lies in the dual stability of quality and supply. Lv Wenjuan, deputy director of Shenma Industrial's Nylon New Materials Research Institute, emphasized the need for raw material linkage optimization and application-side expansion to achieve upstream-downstream collaborative innovation. Additionally, technological upgrades in auxiliary materials like oil agents and masterbatches are equally critical. Zhejiang Transfar's high-speed spinning oil agents have tested performance comparable to international competitors, while Jincai New Materials' graphene masterbatch offers over 99% antibacterial rate, with more than 20 functional products including EGCG deodorant masterbatch, supporting differentiated nylon. These developments indicate that competition in the nylon industry has extended from individual products to the collaborative capability of the entire supply chain.
Green and Functional as New Tracks
Under carbon neutrality goals, green and low-carbon practices have become a mandatory course for nylon companies. Sian New Energy's smart integrated energy solutions, tailored to the high electricity and heat demands and complex energy systems of nylon production, provide carbon management platforms and full-scenario intelligent control, facilitating systematic cost reduction and decarbonization. Meanwhile, halogen-free flame retardant technology has achieved breakthroughs. JLS's spinning-grade halogen-free flame retardant nylon chips have an oxygen index of 30%-32%, and when blended with Lyocell, they solve the melt-drip problem while meeting domestic and international flame retardant standards. These innovations mean that green and functional attributes are no longer add-ons but prerequisites for entering high-end markets.