Recently, the textile factories at backward position are suffering from shortage of material due to the declined oil price, decreasing PX quota, especially the rising Anlun price and supply shortage. Some textile enterprises had to shut down because of shortage of Anlun is involved quickly.
The shutting down of textile companies lead to the decreasing demand on FDY with over 150D and the declined sales of part manufacturers. In the middle ten days of January, major factories in Xiaoshan decreased FDY price by 100 Yuan/ton, which resulted in the decline of terylene price.
Compared with DTY, FDY enjoy good production & sale rate, at 50%-60% but still lower than before. To change above circumstance, many factories cut down terylene price for promotion. The quota of DTY is forecasted to decline yet.
