Polyester
Polyester staple fibre offers were raised in China during February 2022, particularly sharply by end of month as surging crude oil and raw materials significantly boosted sale/production status. In Jiangsu and Zhejiang, offers were largely on an uptrend, underpinned by elevated costs and rising futures. Nominations from PSF sellers were also lifted in firm deals under negotiations. In Fujian, offers were increased, with both 1.2D and 1.4D materials dearer and firm deals were talked higher. Offers for 1.4D direct-melt polyester staple were raised in Jiangsu and Zhejiang to 7.47-7.75 Yuan a kg (US$1.18-1.22 a kg, up US cents 2-4 from January) while the same in Fujian and Shandong were up US cents 3-5 at US$1.19-1.23 a kg.
In Taiwan, polyester fibre values were higher on rising cost led by surge in energy complex. Offer for 1.4D were lifted US cents 4 to US$1.19 a kg FOB.
In India, producers lifted their offers twice in February with a sharp rise on second week for both 1.2D and 1.4D fibre following the hike in global prices. Offers were raised to at INR120.75 a kg (US$1.58 a kg) for 1.2D and to INR120 a kg (US$1.57 a kg) for 1.4D.
In Pakistan, producers’ offers moved higher in Karachi market although cotton prices were by month end week on weakening demand. 1.4D PSF offers were raised to PakRs.268-270 a kg (US$1.52-1.53 a kg).
Acrylic
Acrylic staple fibre prices moved flat to down across Asian markets during February, although there were some upward movement in cost of acrylonitrile. Offers for Taiwan origin 1.5D acrylic fibre were down month on month at US$2.70-2.75 a kg FOB, US cents 10 down from January.
In China, reference prices were rolled through the month over amid quiet market sentiment and balanced supply and demand fundamentals. They were last raised in the second week of January. Acrylic fibre producers did not feel the pressure of any goods as downstream spun yarn mills released limited fresh orders. They were mainly focused on digesting earlier inventories. Overall demand was limited, while the volume of orders signed in earlier days were sufficient to ramp up operating rate. Prices for medium-length and cotton-type acrylic fibre 1.5D and 3D tow were rolled over at 18.20-18.50 Yuan a kg (US$2.86-2.91 a kg).
In Pakistan, overseas supplier kept their offers steady amid weak demand and poor outlook. Offers were stable at PakRs.510-515 a kg (US$2.91-2.94 a kg) in Karachi market.
In India, producers had fixed their offers for February on low cost and demand. Offers for February at INR207-209 a kg (US$2.76-2.79 a kg).
As feedstock cost edged up, and fibre producers having ample orders, fiber prices are expected to rise further as there was room for adjustment in a short run.
Viscose
Viscose staple fibre producers in China raised offers successively during February with a sharper lift in the last week of the month, impacted by hikes in feedstock and auxiliary materials cost. Some producers intended to restrain offtake volumes as the markets remained weak due to lack of demand from downward processors. Following the price hike, producers anticipate that downstream buying interest will be boosted then. Spot prices for 1.5D were lifted to average 13.06 Yuan a kg (US$2.06 a kg, up US cents6) while 1.2D were up at 13.12 Yuan a kg (US$2.07 a kg, up US cents 8).
Lyocell fibre market was quiet while industrial run rate was at a low level of around 20%, since production recovery was slower than expected. Producers generally stuck to their indications, and actual transactions were moderate. G100 offers were stable at 15.50-16.00 Yuan a kg (US$2.45-2.53 a kg).
In Taiwan, offers for 1.5D were raised US cents 5 in the second week to US$2.20 a kg FOB.
In Pakistan, offers in Karachi remained frozen during the month at PakRs390-400 a kg (US$2.18-2.23 a kg).
