Price of polyester products accelerates reducing how will it move

Hot polyester market in Jun has cooled down rapidly in Jul.

The primary performance is continuously slack sales of PFY since early-Jul, with sales ratio mainly lingering around 20-30% or even lower sometimes in the first half of Jul, and stocks of PFY have started mounting.

With firm feedstock market, some polyester plants choose to curtail production in order to slash run rate, and the polymerization rate has below 90% by Jul 15. Many players concern about the future downward space.

This round of O/R slash concentrates on big plants, so the scale is huge. But many plants do not have confirmed plan to curtail output temporarily. Some plants have scaled down production before, and some plants witnessed sound sales before, so the stocks are low. The overall cash flow of polyester plants is not very bad, more appropriately to be described as moderate.