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Spandex Price is to Kick the Bottom


http://www.texnet.com.cn  2011-08-01 16:22:52  来源:168Tex.com 收藏
华兴纱管

Previously, in the article of “Spandex: Whether the Rainbow Will Come Out after the Rain or Not”, I have pointed out that spandex bottom price has been taken shape. Afterward, spandex price is in consolidating trend. With domestic spandex output gradually increased, the overall spandex dominant price system keeps stable. Currently, 20D spandex price is fluctuated around 57000-65000CNY/t, 40D spandex price is maintained around 43000-46000CNY/t.

Throughout last year, July to October, spandex came through the basing period with less orders and weak demand. Afterwards, it is boosted by textile feedstock increase, rebounding sharply. Whether spandex price will rebound this year or not?
 
20D Spandex Contrast Graph 2010-2011
See from spandex device operation status, spandex has stepped into loss situation, manufacturer production enthusiasm obviously curbed, device load and stock is reduced. According to report, a spandex plant in Zhejiang Province, for the low market demand, its loss situation is aggravated, and with its increased stock, some spinning device slowed down production, and the left device is to stop production for checking and repairing work on 25th. A foreign capital spandex enterprise in Zhejiang province began to alternately stop production to check and repair the device. The original load transfer plan still exists, but the detailed period is on policy requirements. Another spandex plant, whose yearly output is 3500ton, stop feedstock procurement for the mounted up stock and depressed aftermarket expectation, the plant plans to stop production to check and repair the device, which will last a month. A medium sized spandex enterprise in Zhejiang province, for the government load shedding program and weak production and consumption rate, it plans to stops a 8000 ton production capacity device, and time to recover production is depend on the market trend. To sum up, enterprises device load has decreased to 69.9%, which is 1.4% down, in compare with that of the previous week, and stock amount has reduced to 46.8 days situation, which dropped 3.7%, comparing with the previous week.

See from upstream market, BDO price in China market continue to go up, according to source, aftermarket price is expected to rise up. Now manufacturers quotation is around 22000-23000CNY/t, actual negotiate price is between 22000-22500CNY/t, small order price is relatively high around 22700CNY/t. The quotation has been increased by 500CNY/t previously. With BDO device stop to check and repair, product supply is in short, in addition with a good expectation of the aftermarket, suppliers are reluctant to sell out the goods. Therefore, BDO aftermarket still has the room to rise up.

PTMEG and pure MDI price stay stable, at present, PTMEG mainstream strike price is maintained at 29600-34500CNY/t. Pure MDI market mainstream negotiate price is kept at 19000-21000CNY/t. Although the downstream spandex enterprises lessen or stop production rate is increasing, which leads low feedstock procurement rate, yet BDO rebound sharply, which brought about a strong cost support for PTMEG and MDI. Thus PTMEG and pure MDI aftermarket price will stay high.

See from downstream industry chain, spandex plays the function of monosodium, thus its demand is closely related with the main feedstock of polyester and cotton yarn. Recently, although cotton price is not optimistic, polyester products price rebound up high. Some end use products needs increased, which supported some enterprises’ production to some extent, keeping a certain rate of operation rate. 

Generally speaking, spandex upstream feedstock price is rising, which forms a support to spandex cost, and spandex enterprise loss is serious, device stop rate is increasing, which leading to spandex quotation in China market stabilized. Therefore, I believe once textile demands recovered, spandex will see in a new wave of rebound.
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文章关键词: Spandex Price  Bottom 
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