How Long Can The Rise Caused By Loss Reduction Last?

Aug 30, 2023

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    In the recent stage, with the help of the strong increase in raw materials, not only the polyester market has improved, but the price of nylon has also ushered in a strong rise. As of August 10, the mainstream transaction center of gravity of nylon DTY70D/24F semi-dull is 18,000-19,500, which is higher than that in early July. It rose 7.14%, the peak of the year.

    On the one hand, with the rise in the price of PA6, the cost of nylon raw materials has increased, and the nylon industry has been in a state of long-term loss. Under the mentality of reducing losses, the price of nylon has followed.

    On the other hand, the demand for "off-season is not short" is also supporting the price rise. As far as the textile industry is concerned, terminal demand has shown a downward trend since May, and will gradually enter the off-season. Affected by this, the start of work in the downstream weaving field of nylon usually shows a downward trend from June to July, but the start of work in the field of looms has not fallen this year, and the overall start-up level remains relatively good around 66%.
    In addition, as the market prices from raw materials to nylon continue to rise, and the price of nylon has risen at a relatively low level in the past three years, the "buying up" atmosphere stimulates the continuous buying mentality of downstream weaving companies, which further drives the increase in demand. The rise in nylon prices played a supporting role.

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