Starting last week, nylon raw materials reversed the trend of falling prices and turned the tide, with prices rising all the way. Prices rose by 200-300 yuan/ton in a week. In just one day yesterday, nylon yarn POY and DTY rose by 200 and 350 yuan/ton respectively.
In fact, the price increase of nylon yarn started half a month ago.
Since mid-July, nylon yarn has continued to rise at a rate of 50 to 100 yuan/ton per day. Taking POY as an example, the current price has increased by 800 yuan/ton from half a month ago, and has basically returned to the price before it began to fall in May. level.
“Salted fish”, it’s time to turn over
Since the beginning of May this year, the price of nylon yarn has fallen sharply. The price of POY has dropped from the original 16,400 yuan to 15,300 yuan/ton. In two months, the price has dropped by more than 1,000 yuan/ton.
The decline must be because the upstream and downstream are not strong enough, so the rise must also be because of this.
The cost side has increased by leaps and bounds
Originally, most textile people were not optimistic about the market in July, but crude oil prices began to rise last week. The support of a strong reversal on the cost side and the positive support brought by the production reduction atmosphere continued, adding to the positive economic and demand prospects in Asia.
Under the support of crude oil and macroeconomic expectations, the pure benzene and caprolactam markets continue to rise, and the prices of upstream raw materials continue to rise. Currently, the price of pure benzene, which is the upstream of nylon yarn, has been raised to 7,190 yuan/ton, and the price of caprolactam has been quoted at 12,700 yuan/ton, which is higher than at the beginning of the month. 950 yuan/ton.
Although the current price is not the highest in the year, this rising rate is not only due to the help of the cost side, but also to the increase in demand.
Foreign trade improves and demand picks up
Some time ago, some textile bosses said that nylon products have been rising rapidly recently. The prices of 380 and 400 nylon yarns have increased by 0.2 yuan/meter in a short period of time. The main reason for the price increase is that the inventory has been sold out and there is not enough to sell.
It is because the increase in cost drives up the price of fabrics. That is absolutely not true. Only the existence of demand can drive up the price of fabrics. On the contrary, the increase in the price of raw materials is naturally an indispensable and important factor in the increase in fabric prices.
“I heard that it is because of the improvement in foreign trade that there are more orders in the market.” A market source said.
The oversaturated domestic demand market has already consumed all orders in the early stage. The current improvement is mainly due to foreign trade orders. Originally, foreign trade in the market was greater than foreign trade. Only the increase in demand is the capital for price increases.
Be cautious and wait for the peak season
On the whole, the current startup of weaving manufacturers is relatively stable. According to the startup rate of sample enterprises monitored by Silkdu.com, it can be seen that the current startup rate of local enterprises is around 68.3%, which is slightly lower than last week. It can be seen that at present, the startup rate of local enterprises is around 68.3%. The improvement in orders did not allow textile bosses to increase their production capacity for a while, and everyone was still very cautious.
On the whole, weaving manufacturers are more cautious in starting operations. Most downstream weaving factories are constantly compressing their profits due to large inventories, and the market is willing to further reduce prices. The current market has not yet shown an inflection point for recovery. Due to the lack of profits of small factories, there is the possibility of further production cuts. In addition, the current market’s large orders for autumn and winter have not been fully implemented, and the market is still waiting for the recovery of demand in August.
Generally speaking, the peak demand season generally starts in mid-to-late August. On the one hand, cost-side guidance supports it, on the other hand, winter orders are gradually issued, and the rebound in demand jointly promotes the steady improvement of nylon prices.
</p
