Polyester yarn market encountering winter in advance

As raw materials for cotton textile, cotton, VSF and PSF all face huge pressure in 2019. The sentiment of these three markets cools down obviously and the finished products are also affected negatively. Comparatively, polyester yarn is sold better among them. However, due to continuous fall of polyester feedstock, PSF price stays in downtrend and polyester yarn is also dragged down. From the chart below, it can be seen that polyester yarn price moved into the doldrums in line with raw materials. It has hit the lowest since 2017. Most spinners start to sell at around cost line, but even so, the sales cannot move smoothly. Some spinners suffered huge losses as they stocked up PSF during the decline of PSF or accumulated finished products, and some can run normally only by production cut and cautious operation.