Polyester staple fiber encounters enemy rear lines on the belly and back, and export may already be the only way out

  The current operating level of the pure polyester yarn market remains at 80.89%, which is still at a relatively high level in the same period in recent years. However, it is worth noting that most pure polyester yarn enterprises currently have no orders to produce, mostly for regular model orders or for popular orders in previous autumn and winter, with a model of waiting for orders. With the recent gradual increase in inventory levels of pure polyester yarn enterprises, some enterprises have high inventory pressure and have now reduced production and stopped operation. It is expected that in the future, the situation of insufficient orders will still be difficult to improve. It is expected that the downstream pure polyester yarn market's operating level may gradually decline after mid December. Moreover, the industry does not have high expectations for the demand prospects of the yarn market in 2024. Therefore, it is expected that the demand for polyester staple fibers from yarn factories will also be biased towards empty expectations in the future.
  The domestic market has been in a slump, but exports have seen a significant improvement. According to customs data, in October 2023, a total of 105200 tons of polyester staple fiber (55032000) were exported, an increase of 36.74% year-on-year and 5.52% month on month. From January to October 2023, a total of 1.0096 million tons of polyester staple fiber were exported, an increase of 22.62% year-on-year.
  In my opinion, with the continuous imbalance between domestic supply and demand, and the current overcapacity, the export boom of polyester staple fibers has given enterprises a glimmer of hope, and may also be an important way for polyester staple fibers to digest production capacity in the later stage!