Recently, the prices of mainstream polyester staple fiber factories in China have remained stable. As of January 23, the average ex factory price of 1.4D * 38mm in Jiangsu and Zhejiang regions was 7318 yuan/ton. Mainly due to the weakening of support for polyester staple fiber caused by cost decline, the prices of traders have slightly decreased, and downstream textile enterprises are basically on holiday near the Spring Festival, resulting in sluggish transactions.

After taking office, Trump’s previous sanctions may be overturned, and his policies such as increasing US crude oil production, imposing tariffs, and trade risks tend to be bearish on oil prices, leading to a short-term pullback in crude oil prices. On January 22nd, the settlement price of the main contract for WTI crude oil futures in the United States was $75.44 per barrel, and the settlement price of the main contract for Brent crude oil futures was $79.00 per barrel.

PTA followed the decline in crude oil prices, and as of January 23, the average PTA market price in East China was 5048 yuan/ton, a decrease of 0.63% from the beginning of the week. At present, the PTA plant has limited changes, and the short-term supply of goods is still sufficient. Downstream polyester demand is off-season, with slow decline in production and weakened PTA demand.

The atmosphere of the Spring Festival is gradually intensifying, and the terminal stocking phase is coming to an end. Downstream production is gradually being suspended for holidays, and most customers have already stocked up in the early stage. The demand for pre holiday purchases is becoming increasingly light. The weaving industry in Jiangsu and Zhejiang has seen a decline in production to below 25%, and there is still room for further reduction.

Business analysts believe that the production of polyester staple fiber industry may continue to decline, and the supply of goods will gradually decrease. The cost has weakened, downstream factories have successively shut down for holidays, and the festive atmosphere is becoming stronger. It is expected that the price of polyester staple fiber will remain stable and decline.