Downstream Demand Increases Gradually, Spandex Price Rises Sharply

On July 21, the price of spandex was 78200 yuan / ton, up 15.68% over three months ago and 2800 yuan / ton, or 3.71%, compared with the beginning of the month. Since July, the overall trend of spandex has been on the rise. In mid July, the price of spandex has declined slightly, but after that, it has rapidly recovered. At present, the spandex market remains at a high level, the cost side support performance is fair, the spot supply is tight, manufacturers continue to hand over orders, new orders are not received temporarily, and the overall market supply is still in short supply.

The main reason for the price increase of spandex is the raw materials. On July 2, costron sent a letter to announce that its 420000 T / a MDI plant in brunswitt, Germany, will take effect from now on. It is reported that the MDI unit was shut down for routine maintenance and stock up in August to September due to an unexpected fault in the production system. It is not clear how long this situation will last, but it is expected to lead to a significant delay in the delivery of all MDI products.

In addition to the rise in raw materials, the rebound in demand is an important reason for the price rise of spandex. In terms of demand, the export volume of spandex increased by 58% from January to May compared with the same period last year. In addition, after the epidemic, people pay more attention to sports and health, and the downstream demand for comfortable fabrics, especially yoga clothes and sportswear, increases. Benefited from this, the proportion of spandex application increased, ordinary sportswear spandex accounted for 10% ~ 20%, some even reached 30%. In addition, the recent downstream is also preparing for autumn fabrics.

Affected by the rapid rise of spandex, a large number of counterfeit spandex have appeared in the market recently. Xinxiang Chemical Fiber Co., Ltd. has issued a solemn statement on the appearance of fake egret Spandex Products in the market in the near future. The article said: egret spandex product quality in the industry advantage highlights, by the industry wide praise and the majority of customers. But some time ago, it was found that a number of spandex products were produced and sold under the brand of "Egret". The egret spandex produced by the company is produced in Xinxiang, Henan Province, without any production branch or entrusted factory. Please purchase egret Spandex Products from Xinxiang Chemical fiber and spandex marketing department or official cooperation dealers, so as to avoid unnecessary losses. Our company has nothing to do with the loss caused by customers purchasing products through informal channels.

Business agency analysts believe that since 2021 / 4 / 18, the 7-day moving average across the 30 day moving average started the upward trend, and the current two moving average continue to go up in the same direction. According to the calculation of 2021 / 7 / 18, the probability of operation situation change in the next 7 days (that is, the 7-day moving average below the 30 day moving average) is only 5.18%.