This week, the price of polyester bottle flakes (PET) showed a trend of first stabilizing and then slightly rebounding. From May 7th to May 9th, with the boost of raw materials, the price of PET bottle flakes rose. As of May 9th, the average sales price of PET (PET bottle flakes) was 5865 yuan/ton.
On the cost side, the main raw materials for polyester bottle flakes are PTA and ethylene glycol, and their prices are greatly affected by crude oil. From May 1st to May 6th, the decline in crude oil prices dragged down raw material prices, leading to a decrease in quotes from polyester bottle factories and a shift in market focus. From May 7th to May 9th, raw material prices increased, and the cost support for polyester bottle chips strengthened, leading to a corresponding rise in market prices.
On the supply side, multiple sets of bottle maintenance devices were restarted in mid to late April, resulting in an increase in bottle production and supply. However, the concentrated downstream procurement of bottle chips in the early stage led to a decrease in inventory in bottle chip factories, which to some extent alleviated the supply pressure.
On the demand side, the processing fees for bottle chips have been continuously compressed recently, resulting in a low valuation of bottle chips. The supply-demand contradiction is not significant, and prices mainly follow the trend of the raw material side. As temperatures rise, the peak season for soft drink consumption is approaching, and downstream beverage factories usually stock up 2-3 months in advance. The demand for polyester bottle chips is expected to increase in the second quarter, which will provide some support for prices.
In response to the current market situation, Shengyi Society believes that the PET market for polyester bottle chips still has support in the short term, but downstream follow-up is not as expected. In the short term, PET market prices may fluctuate and adjust, and the PET market will mainly fluctuate with the raw material side. The actual trend still needs to pay attention to the follow-up equipment, demand situation, and cost support under the traction of crude oil.