This week, the price of polyester bottle chips in China showed a slight decline

December 12th, News

This week, the overall PET bottle chip market in China showed a "slight decline." As of December 12, the average selling price of PET was 5,725 CNY/ton, down 0.61% from the beginning of the week. In the futures market, the main contract for bottle chips fell from the closing price of 5,748 CNY/ton on the 8th to 5,616 CNY/ton on the 12th, with a total weekly decline of 132 CNY/ton. The core driving factors were the continued weakness in terminal demand and insufficient cost support.

Demand is the main pressure: Currently, it is in the traditional off-season for demand, and downstream industries such as soft drinks are not very active in purchasing, mainly focusing on replenishing essential stocks. Weak terminal consumption has led to a lack of effective pull in bottle chip consumption, resulting in a light market trading atmosphere. This is the core reason for the price decline.

Cost support has shifted from strong to weak: Although the industry operating rate of PTA—the primary upstream raw material—remains steady at 73.81%, international oil prices fluctuated during the week, weakening cost support for polyester raw materials and failing to provide a robust boost to bottle flake prices.

Supply remains loose: The industry operating rate exceeds 73%, which is at a high level, and the market has ample spot supply. Against the backdrop of weak demand, the loose supply situation further exacerbates downward pressure on prices.

Market sentiment is cautious: The current production gross margin for the polyester bottle chip industry in China is still negative, and companies are maintaining a cautious attitude. The spot market is experiencing light trading, while the futures market, although maintaining a certain level of trading volume, is seeing continuously declining prices, reflecting a lack of confidence in the future market.

Overall, it is believed that the current market lacks strong upward momentum. With no significant improvement in terminal demand and limited cost support, it is expected that the polyester bottle chip market in China will continue to experience a weak and volatile situation in the short term.