Cost-side positives boost polyester staple fiber prices, ushering in a rebound

January 26 news

According to the commodity market analysis system, the recent polyester staple fiber market has seen a slight rebound. As of January 26, the average market price of polyester staple fiber (1.4D*38mm) in China was 6,587 CNY per ton, an increase of 2.19% from January 20.

Benefiting from favorable cost factors, the PX market is seeing a further tightening of supply as spring maintenance activities intensify. The second quarter will witness the peak period for global PX maintenance, with China’s planned maintenance capacity exceeding 7.6 million tons. Additionally, plant maintenance in regions such as Japan and South Korea is expected to reduce overall supply by around 5%. In China, several plants—including those operated by Sinopec and Zhejiang Petrochemical—have already scheduled maintenance during the first quarter. The anticipated contraction in supply has helped keep PX prices robust, and cost-driven dynamics continue to strengthen.

The PTA market has been experiencing volatile yet upward trends. As of January 26, the spot price of PTA in the East China region stood at 5,341 CNY per ton, up 6.63% from January 19. On the supply side, with low processing margins, maintenance activities at PTA plants have increased, and the current operating rate of the PTA industry is around 75%. In the first quarter, planned maintenance capacity for PTA is expected to exceed 12 million tons, while in the second quarter, it will surpass 27 million tons—accounting for over 40% of total capacity. Moreover, starting in 2026, the PTA industry itself will enter a period of zero new capacity additions, further tightening supply.

On the demand side, since January, the market has generally shown a pattern of strong external demand but weak domestic demand. External orders remain relatively robust, with the weaving sector seeing relatively good export orders for spring and summer apparel fabrics. Meanwhile, the domestic sales market has entered the traditional off-season, causing the utilization rate of downstream weaving mills to accelerate downward to 48%. Factories have begun to take concentrated holidays, primarily focusing on working through existing raw material inventories. As raw material prices have risen rapidly, some mills have been compelled to replenish their stocks passively. Those with smaller inventories are stocking up for one to two weeks’ worth of supplies—mainly covering needs before the Lunar New Year; whereas those with larger inventories can sustain operations for 15 to 30 days after the holiday.

Analyst, in the short term, the short fiber market in China is driven by the high sentiment in the chemical market, leading to an overall upward trend in the polyester sector, with prices fluctuating along with raw material costs. Going forward, it will still be necessary to pay attention to changes in costs and the pre-holiday inventory preparation of downstream sectors in China.