Oct 08, 2023
With the approaching peak season for textiles, prices of yarns are easier to rise than to drop with partially tighter supply, and there have been an increase in inquiries in grey fabric market, coupled with improving sales. The operating rate of weaving mills has also climbed up. It is reflected that many weaving mills in Shandong, Jiangsu and Guangdong were shut for holidays during Jun-Jul affected by the off-season and high temperature, but the run rate has been gradually picked up when the market is warming up recently. Although there is no significant improvement in orders for downstream dyeing and printing mills, with the upcoming launch of autumn and winter clothing and an increase in sample orders, the overall operating rate has been around 70%.
In conclusion, driven by seasonal demand and stocking in advance, rayon yarn market activity is passable with minor price rise, and rayon fabric market is preparing for the peak season with sales partially better than before. The traditional "golden September and silver October" may be affected by the foreign trade this year, but the market is still expecting the arrival of peak season.