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Operating rate of fabric mills moves up after end-user market improved
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Operating rate of fabric mills moves up after end-user market improved

Views:0     Author:Site Editor     Publish Time: 2019-11-27      Origin:Site

In view of the stocks reduction, different regions and various varieties have differences.
Stocks of knitted fabric dropped well in recent period, mainly winter fabric like plush fabric, while inventory of water-jet fabric slipped slower. Stocks of lining and silk-like fabric were especially high.

Operating rate of fabric mills moves up after end-user market improved
The operating rate of fabric mills was earlier expected to reduce in later period in Sep with mounting stocks and stunted sales, in order to lower stocks. However, with rapidly reducing stocks of knitted fabric, operating rate of fabric mills ascended periodically. With low feedstock price, some downstream plants have the possibility to hoard up some grey fabric inventory even after orders finished, so operating rate of fabric mills may be firm for a period.

If operating rate of fabric mills sustains in Nov, stocks of PFY may not change much in Nov.
Downstream plants have high possibility to hoard up stocks when feedstock price is low. In addition, if feedstock price sustains firm or hit new low to buyers’ psychological level, not ruling out some plants to prepare feedstock in advance.


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